Central Bank says government will miss its housing targets - Eoin Ó Broin TD
Sinn Féin spokesperson on Housing, Eoin Ó Broin TD, has expressed deep concern following commentary from the Central Bank that the government is going to miss their housing targets out to 2025.
Deputy Ó Broin has called for Minister for Housing Darragh O’Brien to respond to the Central Bank commentary by setting out what changes to policy he intends to make, not only to meet his housing plan targets, but to exceed them.
Teachta Ó Broin said:
“The government’s housing plan is now two years old. It sets out housing completion targets of 29,000 for 2023, 33,450 for 2024 and 36,600 for 2025.
“In their latest Quarterly Economic Bulletin, the Central Bank says that house completions are forecast to be approximately 27,500 this year, 29,000 in 2024 and 30,000 in 2025.
“The Central Bank's estimates are based on a fall-off in new home commencements arising from factors such as rising interest rates, construction sector inflation and concerns over project viability.
“If the Central Bank's estimates are correct, this means that the government will miss their targets for the remainder of their term of office by at least 12,550 homes.
“Given that the Central Bank also argues that the government's targets are significantly below what is required, this news is deeply worrying.
“Government has been missing its social and affordable housing targets since 2020. This is directly resulting in rising rents, high house prices and rising levels of homelessness.
“If private sector supply starts to miss its targets, this will have a very significant impact on housing need and the cost of housing for people looking to rent and buy.
“Government must not be a spectator in all of this. They must come up with a credible, counter-cyclical plan with increased levels of investment in public housing, to increase investment in the delivery of social and affordable homes.
“We need at least 20,000 public homes a year to meet current need in addition to increased private sector supply. Government must not allow a private sector slowdown result in even greater pressure on supply resulting in increased costs.
“Darragh O’Brien must set out what the government intends to do differently in the coming months to ensure that his targets are not only met but are significantly exceeded, particularly in the delivery of much needed social and affordable homes.”