DUBLIN: The number of homes built in Ireland last year fell 6.7% to 30,330, in a blow to the recently re-elected government that had hoped for more building to combat an acute housing shortage and to get on track to a target of 50,000 new homes each year to 2030.
Ireland has struggled to house a rapidly growing population since the construction industry melted down in the wake of a 2009 crash, with house prices surging almost 160% from a 2013 trough and rents roughly doubling in parts of the country.
House completions recovered to a 15-year high of 32,500 in 2023, though that was still far below the level analysts say is needed to meet demand.
A 14.5% year-on-year drop in fourth quarter completions, almost entirely due to the construction of fewer apartment blocks, pushed the 2024 total lower, Central Statistics Office data showed.
Prime Minister Simon Harris said last August that almost 40,000 new homes would be built in 2024.
Analysts expect a sharp rise in commencement notices for new homes over the last year to increase supply again this year, with the Irish central bank forecasting that completions will rise to 37,500 in 2025 and 41,000 in 2026.
However the central bank has also warned that Ireland faces significant challenges to make construction more financially and practically viable to build the more than 50,000 homes needed per year from now until 2050.
The re-elected coalition’s policy plan published last week pledged to cut red tape, increase the amount of zoned land and funds for services such as water to accelerate housing supply.
Source Homevior.in
