It was announced on 10 June 2025 that Rent Pressure Zones (RPZ) are to be extended to cover the entire country and amendments to rent regulation will be introduced to promote investment and protect all tenants nationally.
The Changes
- All of Ireland will fall under RPZ protections – a first ever national rent control regime.
- Existing tenancies remain subject to the 2% cap per annum or capped at the inflation rate (Consumer Price Index), whichever is lower.
- The 2% cap will no longer apply for new-build apartments. Instead, to incentivise new development of apartments, rent increases in new developments subject to a commencement notice to planning authorities on or after 10 June 2025, will be capped by the Consumer Price Index.
- New tenancies created from 1 March 2026 will offer six-year minimum rolling tenancies. At the end of the six-year tenancy, all landlords will have the right to reset rent where the rent is below market at the end of each six-year tenancy, unless a "no-fault eviction" occurs. Rent re-setting for new tenancies will only be allowed where a tenant leaves a tenancy of their own volition or has breached their tenant obligations. Re-setting of rents will not be allowed during any tenancy created on or before 28 February 2026.
- Additional restrictions on evictions will be introduced and for these purposes, a distinction is made between "small landlords" and "large landlords". Small landlords (three or fewer tenancies) will be able to terminate tenancies via a "no-fault eviction" in limited circumstances, such as economic hardship or to move a family member in. At the end of each six-year tenancy, a smaller landlord will have the right to terminate a tenancy due to: 1) intention to sell, 2) renovation of the property 3) Requiring property for family member and 4) change of use.
- Large landlords, defined as having four or more tenancies, will be banned from carrying out no-fault evictions for tenancies beginning from 1 March 2026.
- All landlords will be able end a tenancy where there is a breach of tenant obligations or where the dwelling is no longer suited to the tenants. All landlords will be able to sell a property with tenant in-situ at any time.
- The Government is considering higher fines for landlords who breach rental rules and there may be a level after which the courts have jurisdiction instead of the Residential Tenancies Board (RTB).
The Legal Implications
- RPZs derive legal authority from Section 24A/B of the Residential Tenancies Act 2004 (as amended) (RTAs). The RPZ system, due to expire at the end of the year, has in effect been extended nationwide.
- In relation to existing tenancies, there is no real change to the existing rules save that the remaining one fifth of tenants in Ireland not previously in an RPZ will now benefit from the existing rent controls (i.e. the 2% cap).
- In relation to new tenancies, the proposals will introduce enhanced security of tenure, including 1) A six‑year minimum tenancy before landlords can reset to market rent, 2) tenancies of unlimited duration to be enhanced by introduction of rolling-six year tenancies of minimum duration with restricted grounds for ending a tenancy for smaller landlords and 3) Removal of "no‑fault" evictions for large‑scale landlords except in very limited circumstances.
- Minister Browne intends to seek further Government approval, before the summer recess, for Heads of a Bill as a basis for the priority drafting of legislative amendments to the RTAs to provide for the proposed changes.
- Landlords will be required to navigate: 1) RPZ rules for both existing and new-build properties, 2) Inflation-linked increases for new build apartments, 3) Enhanced eviction protections for new-tenancies and 4) Extended tenure durations for new-tenancies.
Conclusion
The national RPZ extension represents a landmark shift in Irish housing policy.
The changes are intended to balance tenant protections with incentives for new supply – many of the changes announced won't come into effect until 1 March 2026, to allow for sufficient time to develop the necessary legislation.
It remains to be seen how institutional investors react to the proposed changes in the RPZ rent review regime, particularly as cost inflation has typically outpaced CPI-index increases. The changes to no-fault termination for large landlords should not have a significant negative impact. The ability to reset to a market rent on grant of new tenancies is however a welcome one, but in practice that may only occur every 6 years (unless the tenant has left in the interim, or the lease is terminated for breach). The combination of in-term rent reviews being pegged to CPI as well as the extended period between re-marking rent to open rent, may be seen as any incentive to international capital being too little, too late.
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