Dáil Éireann Debate, Wednesday - 17 May 2023
149. Deputy Michael Healy-Rae asked the Minister for Housing, Local Government and Heritage if he will address an issue of the cost of building in a ten-year period (details supplied); and if he will make a statement on the matter. [23551/23]
View answerConstruction costs depend on a range of variables including inflation, location, regulations and standards, house type, energy prices, labour, and supply chain and demand. An assessment of the allocation of price increases to individual cost drivers is not currently available.
General increases in labour and material rates are available on the CSO database for various timeframes.
The CSO Wholesale Price Index shows a 12-month increase in price of construction materials of 13.5% to March 2023. The Building and Construction Index (i.e. Materials and Wages) fell by 0.1% in the month but rose by 8.5% in the 12 months to March 2023.
On 4 May, I published the Residential Construction Cost Study report. The study found that overall construction costs using Irish specifications on a cost-per-square-metre rate for the same apartment building are broadly in line with construction costs in the four European comparator locations.
Housing for All and the Residential Construction Cost Study have recommended a series of actions aimed at reducing the cost of residential construction. My Department, in collaboration with Government and Industry, is working hard to implement these measures.
