Once again, Limerick has seen the largest rent increases in the country, up more than 20%, the latest Daft.ie report for the first four months of this year shows.

Rents have risen in Limerick city so much in the last year that the average is €2,405 a month, up 5.9% year-on-year and a 95% change from pre-Covid in March 2020.

In the rest of Limerick, market rents were €1,704 on average, up 4%, and an 83% rise on before the pandemic.

The average listed rent is now €1,639, up 76% from the level prevailing when the Covid pandemic broke out.

Market rents in Munster rose by 4.7% on average in the first four months of this year, the largest quarterly increase in the province on record.

There has been double-digit inflation; compared to a year ago, rents in the first four months of the year were 12.6% higher in Munster – in line with the rate of inflation 18 months ago.

Fianna Fáil TD for Limerick City, and former minister for defence, Willie O’Dea said the reason the rents are skyrocketing above the national average is largely down to the type of housing being offered in the city.

“The situation in Limerick is related to the fact that 60% of housing is social and 40% is private housing so obviously it is not very balanced,” he said.

“This, as a result, is feeding the accommodation rental problems.”

Limerick Chamber chief economist Seán Golden said that while Limerick and the Mid West region have done “incredibly well” at encouraging development, the area’s ongoing housing issues have the potential to undo all the good work.

“Limerick has performed incredibly well at attracting investment and jobs over the last number of years,” he said.

“However, housing issues, if continued unchecked, will lead to a drastic loss in competitiveness of the region.”

Mr Golden added that “not only is housing causing upward pressure on wages for business, workers need affordable accommodation if they choose to stay or relocate to Limerick and businesses need access to this talent pipeline”.