Only 32,500 homes will be built this year, Central Bank warns
The Central Bank has again reduced its forecast of how many houses will be built this year, saying it now expects 32,500 – just 2,000 more than last year. It is the second time this year that the bank has reduced its housing forecast. In March, it lowered the prediction to 35,000 from 37,000. The latest development will heap further pressure on the Government, which has set itself a target of delivering 41,000 homes this year, which now seems unattainable. Even that target is less than what most housing experts say is needed to meet demand and clear the backlog – about 52,000 units a year. Explaining its forecast, the Central Bank pointed out that completion of dwellings was below expectations in the first three months of the year. Starts dropped sharply, to just 2,981 units compared with 17,017 in the last quarter of 2024 when builders were rushing to avail of a development-levy waiver. The bank said its new lower forecast may have to be reduced further, “given current bottlenecks in housing supply and infrastructure”. It believes increased productivity in the construction sector is essential to meet the increasing demand for housing, but also for water, energy, transport and communications projects. Read John Burns’ full story here: https://www.independent.ie/business/only-32500-homes-will-be-built-this-year-central-bank-warns/a793559389.html Credit to : Irish Independent