Dr. Tom Healy:

Rural Ireland faces huge challenges apart from Brexit, such as the imminent closure of certain peat or coal-burning stations and the related impact on the midlands, as well as the position in respect of Moneypoint in County Clare, which will cause the loss of a significant number of jobs and will have a serious impact on the local communities. The extent of one-off housing and the reliance on solid or fossil fuel heating in many parts of rural Ireland are noticeable. Car dependency is a huge issue. The majority of those living in rural Ireland depend on a car to get to and from key services, shops and workplaces. Brexit is another reason for us to invest in public transport and the reskilling of some workers who are facing job losses whether Brexit goes ahead or not. The creation and loss of jobs is always a feature of economic change but there is currently an imbalance in Ireland in that regard.

A development bank for the north west of Europe is an important proposal in terms of economic change and Brexit. In the context of negotiating a Brexit transition and to deal with job losses and some of the issues raised by the Senator relating to the rural areas of Ireland, a development bank modelled on the KfW bank in Germany would lend and advise and help SMEs to re-orientate their activities and undertake new ones. Such activities could initially involve a radical retrofitting of more than half a million houses, many of which are in rural areas and badly insulated, to take advantage of the current technological possibilities in terms of solar and wind power.

The Senator asked for a summary of construction-related impacts. It is likely that there will be higher costs, a possible temporary shortage of materials and continuing pressure on skills, which will probably be worsened by some of these adjustments. We do not know whether the availability of skilled labour from Northern Ireland will be assured post Brexit. The net effect will probably be greater demand, although it will be dampened by economic slowdown in some sectors. That gives further credence to the importance of a European cost-rental model, which would provide greater choice, security, affordability and quality accommodation both to those in need of social housing and to all income groups. Mixed income groups living in public housing and that being done off balance sheet would not solve all of our problems but it is one important way of solving the housing crisis.

Doing it off balance sheet is one way. It is not going to solve all our problems but it is one important part of tackling the housing crisis.