Did the Celtic Phoenix actually rise?

The Celtic Tiger is dead, and now the Celtic Phoenix has arisen. There have been a lot of similar taglines and catchy headlines associated with Ireland’s economic recovery in the last two years. However, the austerity measures that preceded this have not disappeared and prove that the ‘Celtic Phoenix’ has not fully risen from the ashes. Despite a growth in Gross Domestic Product (GDP) in 2014 and in the first half of 2015 as well as a slight increase in employment, conversely homelessness in the country has markedly increased.

From January to August 2015, the number of homeless families rose by 76 per cent according to figures from the Department of the Environment. The majority of the homeless families were situated in Dublin and an average of 70 to 80 families become homeless every month in the capital alone. The key reason reported by homeless charities is the struggle to keep up with rent increases.

There is a supplement one can apply for via the Social Welfare, the Rent Allowance Scheme, that would enable low-income families access to housing. However, just last August, an analysis of rent markets by homeless charity Focus Ireland revealed that only 7 per cent of properties advertised to the public fell within the rent supplement parameters.

The solution? An abolition of the Universal Social Charge, which at the time of introduction in 2011 was declared a temporary tax at any rate, is now being touted by political parties, and an increase to the minimum wage, which is still below the estimated living wage. Both would help enormously, but also introducing a cap on the amount landlords can charge for a particular property would be an additional boon. The current two-year rent freeze planned by the government may actually drive landlords to raise their rates before the freeze comes into effect, and also may not be reinforced after the two-year period runs its course.

This is not something revelatory but lessons learned in austerity can be forgotten in the afterglow of a rise in fortune. The political drive to follow through on what is needed is still missing, so while the Celtic Tiger may indeed be dead, it remains to be seen what will be its lasting legacy.

— The reader is an Irish journalism graduate based in Dublin, Ireland