Cian O'Callaghan (Dublin Bay North, Social Democrats)
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294. To ask the Minister for Housing, Planning, and Local Government the housing capital underspend to date in 2022; the amount that he expects will be carried forward into 2023; if this will exceed the 10% cap; and if he will make a statement on the matter. [61686/22]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Capital expenditure in 2022 progressed slower than profiled as a result of construction, and consequently expenditure on construction related activities, being significantly impacted as a result of ongoing economic issues including the restricted operating environment under Covid-19 health and safety protocols that prevailed up to early 2022. This was coupled with the significant level of price inflation to construction materials, supply chain disruption and inflation in the prices of fuel and energy.

There has, however, been an improvement in the delivery environment, supported by measures introduced by this Government to address material inflation and energy costs, through the introduction of the Inflation/ Supply Chain Delay Co-operation Framework.

As is the norm with major capital programmes, the bulk of housing capital expenditure occurs during Q4 when local authorities submit large volumes of claims for recoupment. This level of activity is expected to result in a very significant increase in capital expenditure on housing programmes in the final weeks of the year.

The Finance Act 2004, section 91, provides for the carryover of up to 10% of the REV allocation (Capital) from one year to the next.

For 2023, I have confirmed to the Minister for Public Expenditure and Reform that I am seeking full capital carryover of 10%, amounting to €340m. The details of the allocation of that funding will be published in the REV in December.