Construction BUSINESS

The government today published the second quarterly update on progress of the implementation of Housing for All.

It shows significant progress towards the government’s plan to increase the supply of housing to an average of 33,000 units per year, and fundamentally reform the housing system to ensure it is sustainable into the future.

Recent data gives confidence that the targets for delivery of homes for 2022 will be met and very likely exceeded. During 2021, 30,724 new homes were commenced – the highest since 2008. In addition, over 39,000 planning permissions were granted in the 12 months to end-September 2021.

There has been strong pick-up in the construction sector, with employment now close to pre-pandemic levels and a welcome increase in construction apprenticeship registrations in 2021, which increased by over 40% compared to 2019.

Of 213 actions in Housing for All, a total of 123 have either been completed already or are being delivered on an ongoing basis.

Achievements in Q4 include:

• Project Tosaigh launched to accelerate delivery of 5,000 units where planning permission has already been granted, but not yet activated
• every Local Authority has submitted a Housing Delivery Action Plan, outlining delivery of social/affordable housing for 2022-2026
• over 200 new staff approved for Local Authority housing delivery teams and 24 additional posts sanctioned for An Bord Pleanála
• scaling up Cost Rental delivery, with a further 1,580 homes to be delivered in 2022
• new Zoned Land Tax introduced in Budget 2022
• new Local Authority Home Loan – for those on modest/low incomes who cannot get sufficient funding from commercial banks to purchase or build a home
• Help to Buy Scheme extended to end-2022
• new owner-occupier guarantee which requires Local Authorities to ensure home ownership is factored into Housing Strategies
• rent increases in Rent Pressures Zones capped at 2% per annum or the rate of inflation, whichever is the lower
• legislated for tenancies of unlimited duration to enhance security of tenure for renters
• Town Centre First policy approved by Government to provide more housing as part of the revitalisation of towns. €2.6m has already been made available to 26 towns
• Housing Commission to examine long-term housing policy has been established
• new Large-scale Residential Developments planning process– decision making restored to local level, enhanced public participation on developments of 100+ units
• fundamental reform of planning legislation underway, led by Attorney General, with Planning Advisory Forum established to engage stakeholders
• significant reform of our land value system with proposals agreed by Government on Land Value Sharing and Urban Development Zones
• transfer of state lands to Land Development Agency, with potential to produce 15,000 affordable housing units, underway
• initiation of a feasibility study on transfer of the Cathal Brugha barracks site to use in social and affordable housing
• employment in construction close to pre-pandemic levels and construction apprenticeship registrations in 2021 increased by over 40% compared to 2019
• CAO portal now provides information on further education and apprenticeships
• international recruitment campaign for construction workers planned to run this quarter
• construction trades added to list of eligible work permit categories
• very strong interest in tender to establish a Construction Technology Centre (CTC) which will be operational by the end of this year to drive adoption of innovation and technology in residential construction
• legislation to establish the Construction Industry Register Ireland (CIRI) published
• innovation and productivity related projects in the domestic residential construction sector eligible for a range of grant programmes provided by Enterprise Ireland
• over €4 billion will be invested by the State in housing every year to 2026. That’s the largest housing investment programme in our history. This will complement an estimated requirement for €10 billion private investment, up from €6 billion at present
• Housing First Plan published, targeting over 1,300 new Housing First tenancies over the next 5 years
• publication of a new National Housing Strategy for People with a Disability, which promotes equality of opportunity, individual choice and independent living
• Design of Croí Cónaithe (Cities) Fund, to subsidise apartment development for sale to owner-occupiers in our cities

Commenting on the publication of the report, the Taoiseach, Micheál Martin TD said:

“When we launched Housing for All, we said there would be a strong focus on delivery across Government. Increasing the supply of homes is our top priority, and I’m happy to report that we’ve made good progress in building new homes and reform of our housing system.

“Recent figures show over 30,000 new housing commencements, the highest levels since 2008, and this gives me the confidence that we will not only meet, but exceed, our Housing for All targets this year.

“We will continue to focus our attention on delivery of new homes, where they are needed, and continue to hold ourselves to account in the months and years ahead.”

Tánaiste and Minister for Enterprise, Trade and Employment Leo Varadkar TD said:

“A big focus for me in the coming years is increasing the level of home ownership. Owning a home is part of our culture and our history. We cannot accept that an entire generation will be locked out of home ownership, stuck in a rent trap as house prices increase. Housing for All is our plan to change that – to turn the aspiration of home ownership into reality, to ensure everybody has access to sustainable, good quality housing, to give stability for renters and protection for people at risk of homelessness.

“The Department of Enterprise, Trade and Employment is building up capacity in the construction sector by encouraging modern construction methods and planning for the labour market. We have announced comprehensive changes to the employment permits system with an extra 8 categories of occupation now eligible for a General Employment Permit including masons, roofers, plumbers and carpenters.”

The Minister for the Environment, Climate, Communications and Transport, Eamon Ryan TD, said:

“Building a sustainable housing sector is at the heart of Housing for All. We are ensuring that all new homes delivered by the State are Nearly Zero Energy Building Standard homes, while rolling out the Better Energy Homes Grant to support retrofit for vacant properties.

“The government is also investing in critical infrastructure, including transport and communications services to enable the supply of new homes in the right places. This includes the establishment of a working group to consider opportunities for transport-led development in major urban centres.”

Commenting on progress since publication of the Plan, the Minister for Housing, Local Government and Heritage Darragh O’Brien TD said:

“There has been a considerable amount of progress made since the publication of Housing for All last September. Milestone deliverables including the launch of Project Tosaigh, the significant enhancements to the Mortgage to Rent scheme and legislation to reform the planning process for large-scale housing developments demonstrates that the government is serious about improving all aspects of our housing sector while fundamentally increasing supply and affordability.

“I am encouraged by the positive trends in the data we have seen and my focus remains steadfast on delivering our Housing for All supply targets.”

Source gov.ie