The total number of houses whose construction began in June has fallen by more than 30% compared to the same month last year, according to figures from the Ministry of Housing.
The Central Bank has projected that around 25,000 new homes will be built this year, followed by 30,000 homes next year and 35,000 in 2024. That 35,000 figure roughly matches the estimated level of demand on the market, although some say it is higher.
According to the Department of Housing, 2,060 notices to launch new residential accommodation were received by building control authorities in June. This figure is 30.2% lower than the number of notifications received in June 2021.
However, the department noted that the June 2021 figure included some of the backlog from previous months due to significant Covid-19 related restrictions on construction activities in early 2021.
Notices of commencement for 29,343 new units were received between July 2021 and June 2022. On a rolling 12-month basis, the total number of housing starts received is 7.6% higher than the figure of 27,264 during the previous 12 month period.
Notice of Commencement data shows the number of homes that have started construction in a given month.
The ministry said that with the exception of 2020, when significant restrictions on home construction were in place due to the pandemic, the number of homes for which notices to start have been received has increased every year since 2015. .
In recent weeks the International Monetary Fund has raised concerns that Ireland needs to do more to address housing shortages.
Homelessness has increased by 16% in the past six months, with 10,325 people living in emergency homeless accommodation, including more than 3,000 children.
Last month, the Dublin Simon Community reported a ‘huge growth’ in the number of women presenting as homeless and said it was ‘gravely concerned about the cataclysm caused by the growing number of people who find themselves homeless each month “.