Pa Daly (Kerry, Sinn Fein)
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45. To ask the Minister for Housing, Planning, and Local Government his position on pricing within the building providers' sector; and the engagement he has had with the industry since taking up his role. [33084/21]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Increasing the supply of housing is a priority for the Government and for my Department in particular.

I am fully aware that the Construction Sector has faced a number of considerable challenges over the past year, not least the restrictions on construction activity introduced to combat the spread of COVID-19 and the impact of Brexit and related supply issues. Throughout this period, my colleagues across Government and I have engaged with representatives from across the Sector.   I met the Irish Homebuilders Association most recently on 12 June, where the issue of increases in materials was one of the issues raised.

Across Europe, supply issues have been effecting the price of various construction materials due to increased demand and such materials, including timber, steel, concrete and plastics have also been affected and these developments and are being monitored closely internationally.  However, while the Society of Chartered Surveyors Ireland Tender Price index reveals that national construction tender prices increased by 1.3% in the second half of 2020, it is still significantly less than tender price inflation levels being experienced before the Covid-19 pandemic. While there was elevated construction sector inflation in 2019, construction price inflation slowed overall in 2020 as a result of Covid-19.

The Department of Public Expenditure and Reform facilitates the Construction Sector Group.  This Group considers opportunities to introduce reforms to assist with tackling inflation in the wider construction sector.