Galway City Rent Hike Confirmed: 18% Increase Set for 2026

BREAKING NEWS: Galway City Council has confirmed a significant rent hike for social housing tenants, effective January 2026. Despite opposition from city councillors, the rent calculation will increase from 17% to 20% of tenants’ assessable income, resulting in an 18% increase in rent for approximately 2,700 social housing tenants.

This urgent update comes as city management has also announced plans for a separate ‘global rent review’ scheduled for June 2026, which could further escalate rental costs. The new rent structure, known as the Differential Rate Scheme, was originally set to take effect in September 2025 but has been postponed following pressure from councillors.

In a concession, the City Council will maintain the rent rate for old age pensioners at 17% of their assessable income. However, pensioners will feel the impact of the new policy as the €5 weekly discount, previously provided to them and to families with dependent children, will be eliminated starting January.

City Council officials stated, “Details of the criteria for a hardship clause will be made available to tenants,” indicating some support for those struggling with the increased costs. This decision aims to alleviate the financial burden facing vulnerable residents.

Galway City Council Chief Executive Leonard Cleary faced backlash from constituents and local representatives who argue that the rent increases will deepen housing insecurity among low-income families.

This developing situation highlights a growing crisis in affordable housing in Galway, where rising living costs and economic pressures continue to strain household budgets.

As this situation unfolds, tenants and advocates are urged to stay informed about the upcoming changes and potential assistance programs being discussed by the Council. The impacts of these decisions will be felt broadly, making it critical for affected residents to prepare for the upcoming adjustments.

Stay tuned for more updates on this urgent issue as we continue to follow the developments from Galway City Council.