Dáil Éireann Debate, Tuesday - 14 November 2023
118. Deputy Mairéad Farrell asked the Minister for Finance if there are schemes in which the State provides loans to developers/builders for housing development projects; if he can provide details of any such schemes; and if he will make a statement on the matter. [49385/23]
View answerThrough Home Building Finance Ireland (HBFI), the Government is supporting access to debt finance for residential development.
By the end of June 2023, HBFI had approved total loan approvals to €1.44bn, an increase of 15% on the €1.25bn at the end of 2022, to support the delivery of 6,357 new homes in 117 developments in 22 counties. Social or affordable housing accounts for 30% of the new homes approved for funding.
As at the end of June 2023, 1,978 HBFI-funded units have already been sold, with a further 1,688 contracted for sale or sale agreed. Of the €1.44bn approved, drawdowns have taken place in respect of facilities totalling €979m (68%), for 66 developments supporting 4,258 homes where construction is in progress or has completed.
A periodic 2-year review of HBFI was published in May 2023 and found that HBFI has had a positive impact on access to development finance. The review also found that funding gaps in the market persist, and HBFI should continue in operation at this time and should remain agile in responding to emerging funding gaps.
