Ken O'Flynn (Cork North-Central, Independent Ireland Party)
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323. To ask the Minister for Enterprise, Trade and Employment if his Department will commission, in partnership with Enterprise Ireland and the Local Enterprise Offices, a survey of construction SMEs in Cork city and county to identify barriers to starter-home delivery including material costs, labour shortages, access to finance and regulatory burdens; and if he will make a statement on the matter. [65731/25]

Peter Burke (Longford-Westmeath, Fine Gael)
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Since 2022, Enterprise Ireland’s Built to Innovate programme has focused on driving productivity and innovation, including Modern Methods of Construction (MMC) adoption, amongst residential offsite manufacturing and housebuilding companies in the domestic market all over the country, including in Cork City. Through this programme, Enterprise Ireland is establishing a close relationship with SMEs in the sector, all over Ireland. There is no plan currently to undertake a survey of construction SMEs in Cork city.

Under the new Housing Plan Delivering Homes, Building Communities, Enterprise Ireland will increase its level of company engagement under Built to Innovate, promoting tailored financial and soft supports, aiming to achieve a doubling of the €6.5 million already invested in small and medium sized firms in the residential construction sector.

Built to Innovate offers different grant aid packages across four areas. The Digital package supports the implementation of Industry 4.0, digitally enabled Lean systems to develop offsite manufacturing capability to increase output and produce more complex, higher value products. The Lean construction grant package is designed to deliver higher levels of on time and on budget project delivery, through implementing Lean methodologies onsite and the increased use of offsite and near site production. The Research & Innovation grant package is designed to support the development of products that will increase Pre-Manufactured Value (PMV), and reduce the embodied carbon, in residential construction. Finally, through the Sustainability package, Enterprise Ireland can support clients on their journey to sustainability through targeted grants that enable them to develop high impact carbon reduction plans.

To date, 45 companies have been supported under the Built to Innovate programme, including Primary Structure Offsite Manufacturers, Homebuilders and Main Contractors, and Subcontractors and design teams. A total of over €6.5 million in grants has been allocated to supporting these businesses over the last three years and Enterprise Ireland has also facilitated industry workshops to explore challenges and opportunities for the residential construction sector.

My Department is engaged in work to identify and address barriers to adoption of Modern Methods of Construction (MMC), and has established and chairs the MMC Leadership and Integration Group. The Group involves a range of Departments and Agencies and engages directly with industry representative bodies to better understand the challenges for the industry. This Group is taking an ecosystem view on addressing barriers to wider deployment of MMC and innovation adoption in residential construction, including a range of industry and public sector challenges across: procurement; regulation and standards; skills development; enterprise capacity and capability; research & innovation; and access to finance.

My Department is also represented in the implementation structures for the Government’s Housing Plan, including the Industry Capability Working Group, which meets monthly and to which my Department and Enterprise Ireland provide regular updates on barriers and enablers relating to SME development and scaling in the residential construction sector.

The Deputy may also be aware that in response to concerns expressed by the ESRI, Irish Fiscal Advisory Council and the National Competitiveness and Productivity Council around the major demands on construction workforce, the Department of Further and Higher Education have appointed Indecon to complete a report analysing skills supply and demand, and to develop a national framework for meeting priority construction workforce needs. The research for this report is being managed by an oversight group of officials led by the Department of Further and Higher Education, and including my Department, the Department of Housing, Department of Climate, Energy and the Environment, and the Department of Public Expenditure. The conclusions of this draft report, which is currently being finalised, reflect on a number of factors including: Multi-Sector demand pressures, Low productivity in the construction sector, Skills shortfall, especially in skilled trades, and Domestic training limitations

In relation to cost of building homes, the Housing for All Total Development Cost report was published in September 2024 by the Department of Housing, Local Government and Heritage. This provides a detailed examination of overall development costs across four building types. The study was disseminated to the construction sector in Ireland so as to inform decision-making on construction projects by clients and design teams at design, planning, tender and construction stages.

Finally, the Build Report is an annual overview of construction sector performance and capacity, by presenting the latest data and policy developments to show construction sector trends in: investment, planning and delivery, costs, employment, skills, MMC adoption, productivity and sustainability. In doing so, the report assesses construction sector capacity and identifies policy implications for delivery of the National Development Plan (NDP). Built Report 2025 was published this month by the Department of Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, and can be accessed here: assets.gov.ie/static/documents/48e002fa/Build_Report_2025.pdf

Ken O'Flynn (Cork North-Central, Independent Ireland Party)
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324. To ask the Minister for Enterprise, Trade and Employment if his Department will publish regional breakdowns of construction SME challenges, including specific data for Cork city and county, as part of its annual reporting from 2026 onwards; and if he will make a statement on the matter. [65732/25]

Peter Burke (Longford-Westmeath, Fine Gael)
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In line with the Government’s new housing plan, Delivering Homes, Building Communities, my Department, working closely with the Department of Housing, Local Government and Heritage (DHLGH), and other relevant stakeholders, is progressing work to increase innovation and delivery capacity in the residential construction sector through promoting the adoption of modern methods of construction (MMC). More widespread adoption of MMC can help deliver the Government’s ambition of high-quality affordable housing for everyone.

The MMC Leadership and Integration Group, established by my Department, involves a range of Departments, Agencies and industry representative bodies. The Group takes a broad ecosystem view on identifying addressing barriers to wider deployment of MMC and innovation adoption in residential construction and to drive further development and greater adoption of MMC in residential construction. The work of this Group is nationwide in scope and does not generate data on a regional or county basis.

Arising from the work of the MMC Leadership and Integration Group, my Department and DHLGH jointly published the Roadmap for increased adoption of MMC in public housing delivery in July 2023. The Roadmap addresses a range of industry and public sector challenges across: procurement; regulation and standards; skills development; enterprise capacity and capability; research & innovation; and access to finance. The MMC Leadership and Integration Group will continue its work under the Government’s new Housing Plan, engaging with industry bodies, and supporting the implementation of a range of new actions contained in the Plan to boost MMC adoption and delivery capacity in the residential construction sector.

The Deputy may also be aware that the Construction Sector Group (CSG), comprising representatives of key industry bodies, as well as senior representatives of relevant government departments and agencies with responsibility for policy and delivery of infrastructure, is chaired by the Secretary General of the Department of Public Expenditure, NDP Delivery and Reform and reports to the Minister for Public Expenditure, NDP Delivery and Reform. The CSG ensures regular and open dialogue between government and industry on how best to achieve and maintain a sustainable and innovative construction sector positioned to successfully deliver on the commitments in Project Ireland 2040.

The Deputy's attention is also drawn to the "Build Report", which is an annual overview of construction sector performance and capacity, and presents the latest data and policy developments to show construction sector trends in: investment, planning and delivery, costs, employment, skills, MMC adoption, productivity and sustainability. In doing so, the report assesses construction sector capacity and identifies policy implications for delivery of the National Development Plan (NDP). Built Report 2025 was published this month by the Department of Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, and can be accessed here:

Finally, Enterprise Ireland’s Built to Innovate programme, which commenced in 2022 and is funded by my Department, provides grant support packages for homebuilders and construction SMEs throughout the country, including Cork city and County, to help increase innovation and productivity, including MMC adoption, in the domestic market. Built to Innovate offers different grant aid packages across: Digital, Lean, Research & Innovation, and Sustainability. To date, 45 companies have been supported under the Built to Innovate programme, including Primary Structure Offsite Manufacturers, Homebuilders and Main Contractors, and Subcontractors and design teams. A total of over €6.5 million in grants has been allocated to supporting these businesses over the last three years. Under the new Housing Plan Delivering Homes, Building Communities, Enterprise Ireland will increase its level of company engagement, promoting tailored financial and soft supports, aiming to achieve a doubling of the €6.5 million already invested in small and medium sized firms in the residential construction sector.