In late January / early February 2026, the Irish government approved a new Residential Tenancies Bill. The legislation introduces significant changes to the regulation of the long-term rental market and is aimed at strengthening tenant protections amid an ongoing housing shortage and rising rental prices.

📜 According to the approved version of the Residential Tenancies Bill, the following changes are introduced:

— Limits on rent increases: in most segments of the market, annual rent increases will be capped at approximately 2% per year or linked to the inflation rate, whichever is lower;
— Expansion of Rent Pressure Zones (RPZs): controls on rent increases will effectively extend to a large share of the national rental housing stock;
— Longer tenancy terms: standard rental agreements may be concluded for periods of up to six years, reducing the frequency of evictions and contract renegotiations;
— Stronger tenant protections: the range of grounds on which landlords may terminate leases early is further narrowed.

📊 The bill was approved against the backdrop of sustained rent growth in recent years, as a measure to curb further price increases. According to national statistics and industry data:

— average rents in Ireland in 2024–2025 increased at rates exceeding inflation;
— the supply of rental housing remained constrained, particularly in Dublin and other major cities;
— the share of private landlords exiting the rental market increased due to rising costs and regulatory pressure.

🏠 Market experts and participants note that the law’s entry into force may lead to several consequences:

— slower growth in rental prices in the short to medium term;
— greater predictability of rental conditions for households;
— additional pressure on private landlords, especially those with small portfolios;
— a risk of further supply contraction if some property owners decide to exit the rental sector.

As a result, the overall impact of the legislation will largely depend on whether tenant protection measures are accompanied by incentives for new construction and an increase in housing supply.

⚠️ The law’s entry into force is set for March 1, 2026. During February, lawmakers are expected to clarify certain technical provisions and secondary regulations. Overall, Ireland’s rental market is entering a phase of stricter and more long-term regulation.