Growing Numbers of Older People Renting Expose Ireland’s Deepening Housing and Pension Crisis

Dublin: The number of people living in rented accommodation in Ireland is rising sharply with age, with figures showing a doubling over the past 15 years, according to a new study by Royal London Ireland. The findings underline the severity of the country’s housing crisis and raise serious concerns about retirement security.

The study highlights a fundamental flaw in pension planning, which traditionally assumes that housing costs fall after retirement. However, the growing prevalence of older renters challenges this assumption and points to increased financial vulnerability among pensioners.

According to Central Statistics Office (CSO) data, around 8,500 people aged over 65 were renting in 2011. By 2022, this figure had doubled to 17,000. The sharpest rise occurred after 2016, despite Ireland’s overall population increasing by just 12% during the same period.

In contrast, the number of renters under the age of 35 declined between 2011 and 2022, largely due to high rents forcing many younger people to return to the family home. This trend has contributed to a significant increase in renters aged over 35.

The report notes that the average age of a first-time homebuyer in Ireland has now risen to 39 and continues to climb. Many people over 40 in the private rental market face persistent affordability challenges and may never be able to purchase a home.

Looking ahead, the report forecasts that Ireland’s homeownership rate could fall to around 60% by 2035, compared with more than 80% at the turn of the century. This would mean that close to half of the population will be renting.

Concerns are compounded by findings from the Pensions Council, which last year estimated that a single person needs at least €1,600 per month to maintain a basic standard of living in retirement. This calculation assumes housing and utility costs of €600 per month—an amount widely regarded as unrealistic for private renters. As a result, older renters face a significantly higher risk of poverty.

Previous research by the Economic and Social Research Institute (ESRI) found that 14% of people over 65 were living in poverty after housing costs in 2022. If homeownership continues to decline, this figure could rise to as high as 31%.

As Ireland’s population ages, the number of pensioners experiencing housing poverty is expected to grow, alongside an increase in house-sharing among those over 65.

To address the issue, the ESRI has called for a large-scale expansion of affordable rental housing, recommending rents set at least 25% below market rates. While some progress has been made—around 4,500 affordable rental homes have been delivered since 2021, with a further 5,000 planned by 2027—experts warn that this falls far short of demand.

Moreover, existing schemes are not targeted specifically at older people, meaning seniors may be outcompeted by younger applicants. The ESRI has therefore recommended that older tenants receive priority access to affordable rentals, alongside measures to help households build stronger retirement resources.

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