Dáil Éireann Debate, Tuesday - 8 December 2015
570. Deputy Michael McGrath asked the Minister for the Environment, Community and Local Government to set out the average cost of the construction of completed social housing units in each of the years 2011 to date in tabular form as well as the estimated future average cost; and if he will make a statement on the matter. [43752/15]
Amharc ar fhreagraThe averages for the all-in construction costs for a local authority house from 2011 up to 2013, which is currently the last full year for which this analysis is available, are set out in the following Table.
|
Year |
Average Cost Nationally |
|
2011 |
€162,305 |
|
2012 |
€162,500 |
|
2013 |
€167,375 |
In general terms, the cost of delivering a social housing unit is dependent on a wide range of factors, including the type, size and geographic location of the units and on the contractual arrangements leading to its procurement. Social housing is procured in accordance with the relevant EU and domestic legislative and policy requirements as determined by the National Public Procurement Policy Guidance and Capital Works Management Framework published by the Minister for Public Expenditure and Reform.
The prevailing economic conditions at present suggest that housing costs, including social housing costs, are more likely to rise rather than fall during 2016. This is due to the fact that housing supply currently falls significantly short of housing demand and construction input costs are subject to inflationary pressures, as the construction industry transitions from under-activity over an extended period to significant growth in all sectors (i.e. residential, commercial and civil construction).
It is not possible, however, to state the estimated future average cost of construction of social housing units given the range of factors that apply. Over and above cost issues, the nature of the social housing units that might be developed in any one year, as well as their location and various other factors, will all impact on such a figure. Value for money is and will remain a critical and inherent objective of the process to develop future social housing.
