Ireland’s rental system will undergo its most significant reform in over a decade when the comes into force on 1 March 2026.
Approved by Government on 27 January, the legislation replaces the outgoing Rent Pressure Zone (RPZ) framework with a new national rent regulation model alongside expanded tenant protections and revised eviction rules.
The reforms, introduced by Housing Minister , are described by the Government as a recalibration of rent controls designed to stabilise prices while restoring investor confidence in rental supply.
End of Rent Pressure Zones — What Replaces Them
Rent Pressure Zones expire at the end of February 2026. In their place, a nationwide rent cap will apply.
Under the new system:
- Annual rent increases are capped at 2% or the Consumer Price Index (CPI), whichever is lower.
- For new apartments, rent increases will track CPI even if inflation exceeds 2%.
- Landlords may reset rent to full market value when a new tenancy begins on or after 1 March 2026.
- Rent resets are not permitted following a no-fault eviction.
- Where a tenancy lasts more than six years, landlords may reset to market rent at the end of each six-year cycle.
This represents a clear departure from the RPZ model, which restricted rent increases even when a tenancy changed.
Stronger Security of Tenure for Tenants
In exchange for allowing rent resets at change of tenancy, the legislation introduces enhanced security protections.
Most tenants entering new agreements from 1 March will receive a minimum six-year tenancy. This replaces the previous rolling tenancy structure and significantly limits landlords’ ability to terminate without specific grounds.
A no-fault eviction ban will apply to larger landlords, while smaller landlords will retain limited grounds for termination, albeit more restricted than under previous rules.
Minister Browne told the Dáil the legislation is:
“Finely balanced between the interests of tenants and the need for further private investment in the rental market.”
The (RTB) will receive €22.8 million in Exchequer funding in 2026 a 70% increase on its initial 2025 allocation to enforce compliance and manage what is expected to be a higher volume of disputes under the new framework.
Housing Supply: The Government’s Central Argument
The policy shift is rooted in supply economics.
According to data, 36,284 new homes were completed in 2025 a 20.4% increase on 2024 and the highest annual output since records began in 2011.
Apartment completions rose particularly sharply:
- 12,000+ apartments delivered in 2025
- A 38.7% increase year-on-year
- The highest annual apartment output on record
Since July 2020, more than 161,300 homes have been delivered nationwide.
The Government argues that strict RPZ rules were discouraging institutional and private investment in rental supply. A review conducted by the Housing Agency concluded that the existing rent control model was restricting new supply and recommended reform.
The new long-term housing strategy, , targets 300,000 additional homes between 2025 and 2030.
Capital backing for the strategy stands at €275 billion over ten years, with more than €9 billion allocated to housing in 2026 across the Exchequer, the Land Development Agency and the Housing Finance Agency.
Market Reaction and Political Opposition
Opposition parties criticised the legislation during its passage, arguing that allowing rent resets for new tenancies risks accelerating rent inflation in the short term.
Their concern is that market resets even with a 2% annual cap thereafter could lead to immediate rent spikes in high-demand areas.
The Government’s position is that without improved investment conditions, rental supply will stagnate or shrink, leading to even greater rent pressures over time.
This debate reflects a broader policy tension: whether rent controls should prioritise short-term affordability or long-term supply stability.
What This Means in Practice
From 1 March 2026:
- Tenants signing new leases gain stronger long-term protection.
- Landlords regain the ability to reset rents between tenancies.
- Rent increases within tenancies remain tightly capped.
- Enforcement capacity expands significantly via RTB funding.
For existing tenants, annual increases remain limited. For new tenants entering the market after March, starting rent levels may vary depending on market conditions at the time of signing.
The reforms aim to create what the Government describes as a more predictable and sustainable rental system — though their real-world impact will become clear only as new tenancies begin under the revised rules.
Key Facts at a Glance
Legislation:
Effective date: 1 March 2026
Annual rent cap: 2% or CPI (whichever lower)
New apartments: CPI-linked increases without 2% ceiling
Market rent resets: Allowed for new tenancies from 1 March (not after no-fault eviction)
Minimum tenancy: Six years for most new agreements
RTB funding 2026: €22.8 million (+70%)
New homes completed 2025: 36,284 (record high)
Housing target 2025–2030: 300,000 new homes
Source: Dáil debate, 4 February 2026; Minister for Housing James Browne; Residential Tenancies (Miscellaneous Provisions) Bill 2026; CSO New Dwelling Completions Q4 2025.
