One auctioneer believes it will contribute to an exodus of landlords from the market.
Social welfare recipients will be able to rent out a room in their home for up to 14 thousand euro a year, without it affecting payments such as the fuel allowance or housing benefits package.
The measure aims to encourage more households to rent a room to Ukrainians fleeing war, but isn't exclusive to households renting to refugees.
It's in line with the Rent a Room Relief Scheme, which has been in operation for years by the Revenue.
Minister for Social Protection, Heather Humphreys, says she hopes the measure will free up rooms across the country.
Allowing social welfare recipients to rent out a room in their home is a "disaster waiting to happen".
That's according to Portlaoise auctioneer Clement Herron, who believes it'll be another reason landlords are leaving the market.
Aimed at easing the accommodation crisis, a new government measure gives recipients of the social welfare payment the option to rent out a room for a limit of €14,000 a year.
The Owner of Clement Herron Real Estate says the government are punishing hard-working people: