Peadar Tóibín (Meath West, Aontú)
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116. To ask the Minister for Housing, Planning, and Local Government the steps being taken to ensure that house building in 2023 does not decrease. [3536/23]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Housing for All commits to increasing the supply of housing to an average of 33,000 new homes per year. It has secured and sustained levels of State investment of over €4bn a year, giving the construction sector the certainty it needs to help ensure the ambition of the Plan is realised and 300,000 new homes are built by 2030.

Supply is increasing. The 2022 target of 24,600 homes will be exceeded. Recent indicators show that the Plan is working:

- 7,544 homes were completed in Q3 2022, a rise of 62.5% from the same quarter in 2021.

- The number of new home completions for the first three quarters of 2022 was 20,807, which is more than was seen for the whole of 2021 (20,560) or any other year since the series began in 2011.

- In 2022, building commenced on almost 27,000 new homes.

- Planning permission was granted for 40,030 homes in the year ending Q3 2022. This is a 2.4% increase when compared to the same time period to Q3 2021 (39,077).

The ERSI forecast that 54,000 homes will be completed in the two years 2022 and 2023 (28,000 and 27,000, respectively), which is in line with Housing for All projections for the period.

Housing for All has in-built flexibility to review actions and targets, as needed. The first annual update of the Plan was published on 2 November 2022 and sets out how the Government is responding to the current challenges in the housing sector. The update identifies 33 high-priority actions to activate and accelerate the delivery of housing supply, whilst also continuing to deliver on the fundamental reforms set out in the Plan.

Critical to ensuring a sustainable housing supply, now and into the future, is addressing the cost of construction and ensuring innovation in how we deliver our homes. In this regard, my Department is close to finalising the Residential Construction Cost Study which will identify opportunities for cost reduction for consideration by relevant Government Departments and industry. The study complements work being carried out by my Department on other development cost areas, such as site acquisition and land value, planning, and utilities. The Department of Enterprise Trade and Employment is taking a lead role in supporting the adoption of Modern Methods of Construction (MMC). MMC has the potential to improve the speed of construction of new homes through the adoption of innovation by 30%, with a potential 25% reduction in costs. My Department is working closely with local authorities to increase the use of Modern Methods of Construction in social and affordable housing, which in turn will build capacity and demand for MMC.

The updated Action Plan can be accessed on my Department’s website at the following link:

www.gov.ie/en/publication/da0d1-action-plan-update-and-q3-2022-progress-report/

The challenges arising for the construction sector and the housing market are under constant review right across Government and the Government and I continue to explore options to ensure there is robust delivery of housing in 2023 and in the years to come.

Richard Bruton (Dublin Bay North, Fine Gael)
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117. To ask the Minister for Housing, Planning, and Local Government if he will provide an update on the initiatives being developed to activate some of the many outstanding planning permissions for apartment developments which have not yet been commenced; and if he will make a statement on the matter. [2837/23]

Colm Burke (Cork North Central, Fine Gael)
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162. To ask the Minister for Housing, Planning, and Local Government the supports the Governments intend putting in place to assist the development of residential apartment blocks in view of the fact that the cost of erecting same far exceeds the sale value once completed; and if he will make a statement on the matter. [3672/23]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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I propose to take Questions Nos. 117 and 162 together.

Housing for All commits to increasing the supply of housing to an average of 33,000 new homes per year. It introduced a number of viability measures to unlock stalled housing developments and increase the supply of new housing and in particular for apartments.

The Croí Cónaithe (Cities) Scheme supports the building of apartments for sale to owner-occupiers. The Scheme aims to bridge the current “viability gap” between the cost of building apartments and the market sale price (where the cost of building is greater). The scheme is targeted principally at activating planning permissions already in place for such homes.

The scheme launched on the 10 May 2022 with an Expressions of Interest process which is being managed and administered by The Housing Agency on behalf of my Department. The closing date for receipt of proposals was 21 June 2022.

On receipt of applications in June, The Housing Agency has been actively undertaking the various appraisal stages (3) which deal with the following:

1. Eligibility of proposals

2. Ranking of suitable proposals and

3. A detailed due diligence process leading to designation (the current stage of progress).

Alongside this, the Croí Cónaithe (Cities) scheme is currently subject of an application in respect of State Aid to the EU’s Directorate-General for Competition (DG COMP) with a decision due shortly.

A second call for expressions of interest is expected in Q2 2023.

Furthermore, and as part of the review of Housing for All last year, my Department has also committed to submitting proposals to Government for a new viability measure to help bring forward Cost Rental homes at scale. Work to examine how such a proposal could be structured is underway.

The Land Development Agency is also tasked with unlocking stalled private, planning-consented developments in the shorter-term through its market engagement initiative - Project Tosaigh. An expressions of interest process was launched at the end of 2021, and the LDA now has a pipeline of projects anticipated to deliver affordable for sale and cost rental homes.

The LDA recently launched a renewed expressions of interest process under Project Tosaigh seeking proposals from the homebuilding sector for the forward purchase of unbuilt residential units with a particular focus on activating apartment developments in Dublin and Cork that have not yet commenced.

Work is underway in assessing proposals submitted.

Jennifer Murnane O'Connor (Carlow-Kilkenny, Fianna Fail)
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118. To ask the Minister for Housing, Planning, and Local Government if he will provide an update on the provision of modular build homes in County Carlow; and if he will make a statement on the matter. [3423/23]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Housing for All is the Government’s plan to increase the supply of housing to an average of 33,000 per year over the next decade. This includes an average of 10,000 new build social homes each year in the period to 2030. Housing for All is supported by an investment package of over €4bn per annum, through an overall combination of €12bn in direct Exchequer funding, €3.5bn in funding through the Land Development Agency and €5bn funding through the Housing Finance Agency.

Modern methods of construction (MMC) has been identified as a key measure to address increased housing delivery and methods to support increased use of MMC are set out in Pathway 5 of Housing for All. The development of MMC will improve productivity in construction and increase efficiency in residential construction.

The Housing for All Action Plan Update and Quarter 3 2022 Progress Report, which was published on 2 November, includes a new action to develop a roadmap with targets for increased use of MMC in public housing. My Department is now working closely with the local authorities, including Carlow County Council, to increase the use of MMC in social and affordable housing.

Modern Methods of Construction is used to describe a range of offsite manufacturing and innovative onsite techniques that provide alternatives to traditional house building. Modern Methods of Construction can be completed dwelling units manufactured in a factory setting and transported to site, or panelised components manufactured in a factory and assembled on site. All Modern Methods of Construction systems must be of a high quality, comply with all requirements of the Building Regulations and have a 60-year durability.