Housing for All Q1 2022 Progress Report - Prepared by the Department of the Taoiseach gov.ie/housingforall
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Housing for All Q1 2022 Progress Report Prepared by the Department of the Taoiseach gov.ie/housingforall
Table of Contents Executive Summary 1 Increasing Housing Supply 5 Construction Sector Capacity 8 Financing Development 11 Eradicating Homelessness and Supporting Social Inclusion 13 Addressing Vacancy and Efficient Use of Existing Stock 15 Sustainability 17 Overview of Housing for All Actions in Q1 2022 19 Q1 2022 Updates 20 Pathway to Supporting Homeownership and Increasing Affordability 21 Pathway to Eradicating Homelessness, Increasing Social Housing Delivery and Supporting Social Inclusion 21 Pathway to Increasing New Housing Supply 24 Pathway to Tackling Vacancy and Efficient Use of Existing Stock 25 Supporting the Four Pathways: Enabling a Sustainable Housing System 27 Appendices 30
Housing for All | Q1 2022 Progress Report
Executive
Summary
Housing for All is the Government’s significant inflationary pressures, supply chain
plan to increase the supply of housing disruption and instability, all of which pose
challenges in delivering the plan. On the other
to an average of 33,000 per year over hand, our commitment to welcome those
the next decade. fleeing Ukraine leads to an immediate need for
The plan provides for an optimal mix of social, accommodation and a longer-term requirement
affordable and private housing for sale and rent. for additional housing.
The plan is underpinned by measures to support Against this backdrop, the delivery of Housing
availability of the land, workforce, funding and for All at scale and pace is now more important
capacity to enable both the public and private than ever.
sectors to meet the targets.
Housing for All is an ambitious plan, backed Quarter 1 Progress
by unprecedented state investment, which Early indicators suggest a strong pipeline of
will provide increased housing supply and housing for 2022. There were 20,433 new
affordability, whilst fundamentally reforming our home completions in 2021, despite the COVID
system of housing to ensure it is sustainable into restrictions imposed on the sector in the early
the future. This is the third quarterly progress part of the year. Commencement notices for
report for the plan. Good progress has been almost 4,200 new homes have been received
made through the quarter and early indicators in the first two months of 2022. In the twelve
are positive. months to February 2022, commencement
notices for 33,006 new homes were received.
However, it is clear that there are challenges
This is the highest rolling 12-month total since
ahead, with the war in Ukraine leading to a
2008.
number of risks. On one hand, it has led to
1
Housing for All | Q1 2022 Progress Report
The number of homes granted planning • Local Authority Home Loan – Open for
permission in 2021 was 42,991, representing applications nationwide - €250m available for
a four-fold increase on 2011 and indicating a 2022.
strong housing supply pipeline. Over 60% of
• ‘Built to Innovate’ Initiative launched –
the permissions granted were for apartments,
allowing Irish homebuilders to avail of
which demonstrates an emerging pattern of
Enterprise Ireland schemes and grant
development which responds to our objective of
supports that promote innovation and
achieving sustainable, compact growth as set out
productivity.
within the National Planning Framework.
• The Land Development Agency recently
Of a total 213 actions in Housing for All, 135 have
submitted planning applications for c 1,800
now either been completed or are being delivered
homes, including 977 social and affordable
on an ongoing basis. These include measures
homes on the site of the Central Mental
to support the capacity of both the public and
Hospital in Dundrum and 817 social and
private sectors to deliver on the ambition of
affordable homes at Castlelands, Balbriggan.
Housing for All and to address critical enabling
Planning applications for a further 565 homes
factors, such as the availability of land, access
are expected to be submitted by the end of
to the required levels of development financing,
April across two additional sites, Skerries and
the timely provision of utilities including water,
Devoy Barracks, Naas.
electricity and broadband and the fundamental
reform of the planning process. • Development of a robust and compelling
pitch to encourage, through the IDA, the
Highlights of progress in Quarter 1 include
participation of innovative international
• Applications have been received for homes construction companies in the Irish market.
being provided under the Local Authority
• New Future Building initiative to address
Affordable Purchase Scheme. Three-bed
construction sector capacity issues by
homes in South Dublin are being priced at
matching vacancies to jobseekers seeking
€245,600, which reflects a 20% reduction on
employment and referring to education and
open market values.
training as required.
• Scaling up Cost Rental delivery, with tenants
• International Recruitment initiatives
now moving into 50 purpose-built Cost Rental
underway. Online event on 15 March
homes at Enniskerry Road, Dún Laoghaire-
attracted 53 employers from the construction
Rathdown and a further 147 Cost Rental units
sector and 1,475 jobseekers interested in
to be delivered in Q2.
working in Ireland.
2021
42,991 30,724 20,433
Planning New Home New Home
Permissions Commencements: Completions:
2022 Target:
24,600
Homes
2
Housing for All | Q1 2022 Progress Report
• Selection process for host organisation for a new Challenges Ahead
Construction Technology Centre (CTC) nearing Notwithstanding the significant progress to date, the
completion. CTC to drive adoption of innovation Russian invasion of Ukraine now poses risks which
and technology in residential construction. will need to be carefully monitored.
• Extended Planning Regulations that allow a Since the outbreak of the war, the Government
change of use of certain vacant commercial has carried out very significant work to provide a
premises to residential use. humanitarian response for the many thousands of
• Town Centre First policy published – specific people from Ukraine seeking protection here. It is
measures to tackle vacancy and dereliction and anticipated that many more people from Ukraine
promote residential occupancy in rural towns will arrive here and the Government will continue
and villages. to ramp up this humanitarian response in order
to provide accommodation and other essential
• Terms of Croí Cónaithe Towns Fund to be supports rapidly and at the scale needed.
launched in the coming weeks to facilitate the
provision of serviced sites for housing, to attract This necessary response to a crisis of this scale
people to build their own homes and to support presents challenges, notably in terms of finding
the refurbishment of vacant properties. sufficient and suitable accommodation for the
Ukrainian families arriving here. In addition to hotels
• €12m in funding for the Repair and Lease and other serviced tourist accommodation, and
Scheme. Target of 120 homes in 2022. 71 drawing on the generous accommodation pledges
through renovation of a former convent in made through the Irish Red Cross, the government
Waterford City Centre. is identifying State-owned or Local Authority
• Launch of the National Home Energy Upgrade properties which may be suitable for immediate and
Scheme, which will support the refurbishment of longer-term accommodation needs.
older vacant stock. Every effort is being made across the state to
• New Housing First National Office established provide accommodation for those arriving.
to deliver an additional 1,319 Housing First The Department of Children’s International
Tenancies in the period to 2026. Protection Accommodation Service has provided
accommodation to people who have sought it
• Public Consultation on a new Youth
on arrival here, and as the number arriving is
Homelessness Strategy.
increasing, arrangements are being made to provide
• New National Housing Strategy for Disabled accommodation in hotels, guest houses and B&Bs;
People published accommodation pledged by the general public; State
or privately owned properties; properties owned
• Finalisation of Croí Cónaithe (Cities) Fund, to
by religious bodies; and Local Authority community
subsidise apartment development for sale to
facilities.
owner-occupiers in our cities. Expressions of
Interest to open in Q2. Planning is also underway to ensure that more
suitable accommodation is provided in the
• Project Tosaigh continues to progress, with
medium to longer term, with a cross-sectoral and
ongoing developer engagement and assessment
cross-departmental housing taskforce having
of proposals received, prioritising those with the
been established to address this issue. A range
potential for delivery in 2022/23.
of solutions are being evaluated, including the
• Every Local Authority has social/affordable expansion and acceleration of measures in Housing
targets for 2022-2026 outlined in their Housing for All designed to make optimal use of existing
Delivery Action Plans, due for publication in Q2. stock. Solutions based on the construction of
modular homes, at pace, on specific state lands are
• Fundamental reform of planning legislation
also under consideration. All options are being
ongoing, led by Attorney General, with
explored in an effort to meet the emerging need,
Planning Advisory Forum continuing to engage
while maintaining our existing commitment to
stakeholders.
support the provision of social, affordable and
• Designated Activity Company (DAC) established private houses for sale and rent.
for the First Home Shared Equity Scheme,
which will open for applications from July.
3
Housing for All | Q1 2022 Progress Report
In addition to the significant challenge posed by
the need to accommodate those fleeing Ukraine,
the war has also exacerbated inflationary
pressures, with rising energy and material costs
impacting many sectors, including construction,
leading to significant overall increases in the cost Housing for All clearly
of building programmes. Supply chains have
been disrupted, leading to uncertainty in both
outlines the Government’s
availability and cost of materials such as steel policy to support the
and timber. Overall, this has introduced a level of
uncertainty into the housing market.
construction industry
The Government is keeping under close and through the promotion
active review the challenges arising for the of greater innovation and
construction sector and the housing market, and
will continue to engage with Industry to examine productivity.
possible measures to support the sector
In addition to the as yet unknown scale of
impact as a result of the Ukrainian situation,
the Government acknowledges that additional
challenges will remain as we work towards
increasing supply to an average of 33,000 homes
per annum.
Homelessness remains all too prevalent and is
a serious concern for the Government. We are
taking a number of actions through Housing for
All to address this major challenge.
Inflationary pressures are expected to continue,
with residential property prices already having
increased by 14.8% nationally in the year to
January 2022. There are challenges in the rental
market too as a result of individual landlords
leaving the sector.
All of these challenges serve to further
underscore the need for Housing for All.
The Government remains firmly focussed on
increasing our supply of housing, fundamentally
reforming our housing system and delivering a
sustainable system which meets the needs of our
citizens.
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Housing for All | Q1 2022 Progress Report
Increasing Housing Supply
Social Housing Affordable Housing
Housing for All targets the delivery of 24,600 Under Housing for All, affordable housing will be
homes in 2022, including 9,000 social houses, the delivered broadly through two approaches:
bulk of which will be newly built.
• Affordable Purchase will deliver 36,000
In 2021, a total of 9,183 social homes were homes
delivered through a combination of new build
• Cost Rental will deliver 18,000 homes
homes, acquisitions and homes delivered through
leasing programmes. The number of households Affordable Purchase is primarily aimed at
on Local Authority waiting lists declined for a fifth first-time buyers who can’t afford new homes
consecutive year and was over 35% lower than in at open market prices. Under the scheme, local
2016. authorities will make newly-built homes available
at a reduced price for first-time buyers whose
The social housing delivery pipeline for 2022
mortgage and deposit will not cover the full
is strong and in line with the Housing for All
market price of the home. Through the scheme,
ambition.
the local authority will take a percentage equity
Each Local Authority has submitted a Housing stake in the home equal to the difference between
Delivery Action Plan to the Minister for Housing, the open market value of the property and the
Local Government and Heritage detailing their reduced price paid by the purchaser. This year
planned delivery of social housing over the period and beyond, this scheme will see homes built on
2022-2026. local authority lands and make home ownership
achievable for thousands of households living in
The Plans include detailed information on land
areas with the greatest affordability challenges.
holdings and land required to deliver social
housing in the relevant locations making them a Applications are now open for homes being made
key business tool in supporting the development available under the Local Authority Affordable
of the housing pipeline to 2026. They will also Purchase Scheme. In Q1, South Dublin County
assist in overall planning for vital services, such as Council made 16 three- bedroom homes available
water and electricity. at Kilcarbery Grange at prices from €245,600.
Cork City Council will soon make homes available
The Housing Delivery Action Plans also address
in Boherboy at initial prices from €218,000 for
other areas, such as affordable housing, housing
a 2-bedroom and €243,000 for a 3-bedroom
for disabled people, and Age Friendly Housing.
dwelling.
They also target the use of vacant properties
as social housing through Buy and Renew Additional affordable purchase homes will
Construction, and Repair and Leasing Schemes. become available this year. At Dun Emer, a Fingal
County Council-supported development, 2-bed
Throughout Q1, the Department of Housing,
apartments are being sold at an indicated price
Local Government and Heritage has been
of €166,000 and 3-bed dwellings for between
intensively engaged with Local Authorities and
€206,000 and €258,000, some 20% below market
the Housing Delivery Coordination Office to
norms.
review the plans and ensure alignment with the
ambition of Housing for All across all tenure Local Authorities are just one delivery stream
types. In February, the Minister convened and work is underway to deliver affordable
Housing Summits with Local Authority chief housing at scale. A new, nationally available,
executives and senior personnel. The summits First Home Shared Equity Scheme will support
were primarily focussed on social and affordable first-time buyers purchasing newly constructed
delivery but also involved detailed discussions homes being made available for sale in the private
on addressing vacancy, action to resolve market.
homelessness, in addition to discussions on
This scheme will be available on a national
planning issues. This process of assessment and
basis and will incorporate regional price
engagement is now reaching a conclusion and the
ceilings. The First Home scheme represents a
Plans will be published in Q2 2022.
strategic partnership between the State and the
participating mortgage lenders, and the equity
support being provided will operate in a similar
way to the Local Authority Affordable Purchase
Scheme. It is estimated that c 8,000 households
will be supported under this scheme in the period
to 2026.
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Housing for All | Q1 2022 Progress Report
It is intended that the scheme will commence To date, funding support has been provided to
from the end of Q2 this year and will be available deliver almost 900 Cost Rental homes. 65 Cost
across the country. Jointly supported by the Rental homes were completed in 2021, with
State and participating retail banks, First Home funding from the Cost Rental Equity Loan (CREL)
will help bridge the gap for eligible purchasers scheme covering up to 30% of the capital costs
between their deposit and mortgage, and the in each development. The Housing Finance
price of the new home within regional-based Agency (HFA) provided funding support for
price ceilings. The applicable price ceilings will be the remaining 70% of capital costs. The first
finalised when the scheme is launched. 25 Cost Rental homes were tenanted at Taylor
Hill, Balbriggan in August 2021 and a further
For households needing or preferring to rent a
40 units were delivered at Barnhall Meadows,
home, Housing for All also includes measures to
Leixlip, Co. Kildare in October 2021. In Q1 2022,
improve affordability and security in the rental
50 households were offered tenancies to the
market, through the introduction of Cost Rental.
first 50 purpose-built Cost Rental homes on
Cost rental will support 18,000 households with
Local Authority land at Enniskerry Road, Dún
more competitive rents and greater security of
Laoghaire-Rathdown, in conjunction with the
tenure. Cost Rental is targeted at those people
Respond and Tuath AHBs. The selected tenants
within the middle-income cohort (less than
there began moving into their new homes from
€53,000 net household income), who do not
the 14th of March 2022 and will pay cost rents of
qualify for social housing but who are facing
€1,200 per month for a two-bedroom apartment,
affordability pressures on the private rental
a reduction of approximately 38% on comparable
market.
market rents in the area.
Rent levels for Cost Rental tenancies are based
Tenants have also been selected by the Tuath
on the cost of the provision of homes, rather
AHB for 44 Cost Rental homes at Parklands,
than being subject to market driven movement.
Citywest. These Cost Rental homes are two-
Once tenanted, rents will increase only in line
bedroom apartments and two-bedroom duplexes,
with consumer inflation, remaining stable in real
with starting monthly rents projected to range
terms and target a minimum discount of 25%
from €1,200 to €1,300, representing a discount of
below open market rates, while continuing to
approximately 30% on comparable market rents
cover management and maintenance costs for the
in the area.
properties.
Projections for Q2 indicate that 74 Cost Rental
As the model is rolled out, it will provide long-
units will be completed by the Tuath AHB at
term rental accommodation, with secure tenures
Kilcarbery Grange, Clondalkin and a further 16
for thousands of renters. Cost Rental will also add
Cost Rental units will be tenanted by Clúid at the
certainty to the rental market and provide more
Barnhall Meadows project in Leixlip, Co. Kildare.
options for people.
The first phases of schemes in Newcastle, Dublin
and in Newbridge, Co. Kildare will see 57 new
homes completed in Q2 2022.
Cost Rental Units Delivered
Scheme Location AHB/LA Local Funding Number Weighted Average Discount
Authority Allocated of Units Average Market
CR Rent Rent
Barnhall Meadows Leixlip AHB/Clúid Kildare CREL 1 40 €1,364 €2,140 36%
Taylor Hill Balbriggan AHB/Clúid Fingal CREL 1 25 €1,056 €1,850 35.80%
Enniskerry Road Stepaside AHBs Tuath Dún SSF 50 €1,200 €1,960 38%
& Respond, Laoghaire-
LA, DLRCC Rathdown
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Housing for All | Q1 2022 Progress Report
The Local Authority Home Loan is an important The LDA is advancing work on a second phase
affordability measure and is available nationwide of Project Tosaigh which will target more
from all Local Authorities since the beginning of comprehensive partnerships with developers to
the year. It is available to first-time buyers and deliver a stable flow of affordable homes over
other eligible applicants for the purchase of new the five-year term of the initiative. The LDA also
or second-hand residential properties and for continues its focus on delivering new homes on
self-builds. Successful applicants can borrow State owned land.
up to 90% of the market value of the property
Two sites, St. Kevin’s Hospital and Shanganagh
or of the purchase price for Affordable Housing
Castle will break ground in 2022. These sites will
Schemes. €250 million in exchequer funding
deliver a total of 861 homes over the next four-year
has been allocated for lending in 2022. The
period.
Housing Agency hosts a dedicated website which
includes an information booklet and FAQ as well Planning applications have also been submitted
as an online calculator for applicants https:// for c 1,800 homes for two sites, Dundrum and
localauthorityhomeloan.ie/ Balbriggan. There will be a further 565 submitted
by the end of April across an additional two sites,
Land Development Agency Skerries and Naas.
The Land Development Agency (LDA) is an The LDA is continuing to advance preparations for
important delivery partner in scaling up the supply the transfer of sites identified in Housing for All. A
of affordable housing for purchase or rent. summary on the status of each site is at Appendix 1.
The Agency launched Project Tosaigh in November
2021, a market engagement initiative aimed at Croí Cónaithe (Cities)
accelerating delivery of houses on sites with full Since the launch of Housing for All in September
planning permission that are not being developed 2021, significant progress has been made on
by private sector owners due to financing and other the structure and criteria for the new Croí
constraints. Throughout Quarter 1, the LDA has Cónaithe (Cities) Fund. The Fund will subsidise the
advanced work on assessing proposals received, construction of apartment developments over a
prioritising those with the potential for delivery in certain height/density threshold and will ensure
2022/23. These priority proposals represent the that these developments can be delivered at lower
minority of the applications submitted, as the focus cost for sale to owner occupiers. Croí Cónaithe will
has been on advancing early delivery. Developer launch for Expressions of Interest in Q2 2022.
engagement will continue to build a pipeline
for delivery beyond 2023 to achieve the overall
programme target of 5,000 homes by end 2026.
The Land Development
Agency is another
important delivery partner
in scaling up the supply
of affordable housing for
purchase or rent.
7
Housing for All | Q1 2022 Progress Report
Construction Sector Capacity
Central to delivering on the ambition of Housing In the higher education sector, funding is
for All is the need for additional construction provided under Springboard and the Human
sector workers. The number of construction Capital Initiative (HCI) to incentivise the delivery
workers involved in residential construction of programmes which support the development
will need to rise to 67,500 by the middle of the of professionals in relevant areas.
decade to achieve an annual average delivery of
The overall skills response will be supported
33,000 homes.
by soon-to-be finalised research on skills gaps
This will be achieved through a variety of means, up to Level 6 on the National Framework of
including increasing the provision of construction Qualifications. This research will help to ensure
skills education and training, promoting that we are putting in place the right system to
careers in these areas and recruiting workers meet construction skills needs.
internationally.
Work is also underway nationally and
There are currently several apprenticeship internationally in order to activate jobseekers
programmes preparing learners for work in who have a desire to work in Ireland’s
the construction sector. These include Brick & construction sector, while also attracting
Stonelaying, Electrical, Carpentry & Joinery, construction workers abroad to move to Ireland.
Painting & Decorating, Pipefitting, Plastering,
Under the Housing for All implementation fund,
Plumbing and Scaffolding.
the Future Building Initiative will harness the
In 2021, there were 8,607 apprenticeship tools available to match employers’ vacancies
registrations, of which 6,955 were in craft to those seeking employment and referral to
apprenticeships largely in the construction education and training as required. The initiative
trades (dominated by carpentry, electrical and will be further developed to assist international
plumbing). For the top three trades, the numbers workers seeking information about construction
in apprenticeship are growing over the last three- opportunities in Ireland.
year period.
SOLAS, the state agency tasked with building
a world class Further Education and Training
(FET) sector is fast tracking reviews of certain
construction trades programmes. These reviews
will incorporate programme duration and format
to ensure that they are best suited to meet labour
and skills demands in these areas.
I was always interested in working in
construction and had a particular interest
in the carpentry aspect of onsite work.
The C&J apprenticeship is a great way
to learn the trade and I can use the skills
I learn on site with my employer. I am
excited about continuing my career with
the help of the training I receive and
the experience I get with my employer
Feithen at FVG Construction, Galway.
Looking forward to a brighter future,
Sean Chambers, C & J apprentice
Sligo Training Centre.
8Housing for All | Q1 2022 Progress Report
Innovation and Productivity
Housing for All clearly outlines the Government’s
policy to support the construction industry
through the promotion of greater innovation
The Future Building Initiative will: and productivity which will enable the delivery
• Collaborate with the Construction Industry of high-quality, environmentally sustainable,
Federation, other sectoral representatives and more affordable housing. Innovation (the
and individual employers to identify development and application of new ideas
recruitment needs (by location, skillset etc.). and technologies) is fundamental to boosting
productivity and driving better outcomes in
• Conduct skills analysis of unemployed terms of products, processes, and services.
people at a regional/ local level to identify
and prioritise training opportunities. Over many years, the presence of the most
productive international firms in Ireland
• Identify people who previously worked in has generated positive spillovers in terms
the construction sector and communicate of innovation, talent development and
employment opportunities in the competitiveness across the entire enterprise
construction sector to these workers. base.
• Work with Solas/ETBs to identify and Recognising the potential for similar benefits
engage with those with prior sector- across the construction sector, IDA Ireland will
relevant training experience. shortly commence initial market testing with
• Work with Solas/ETBs to progress targeted innovative construction companies
opportunities for jobseekers arising from overseas to encourage their participation in the
Green Skills Action Programme. Irish market.
• Use the European cooperation network of International construction companies’
employment services (EURES programme), participation in the Irish market can make a
funded by the EU Commission, to attract positive contribution not only in expanding
and support social mobility of workers from the capacity of the Irish construction sector
across the EU/EEA to jobs in Ireland. to deliver Housing for All targets, but also in
facilitating knowledge transfer opportunities,
and enhancing the long-term sustainability of the
On 15 March 2022, the Department of Social sector. There is also a significant and accelerating
Protection’s European Employment Services, green transition, driven by the Government’s
EURES Ireland, hosted an online recruitment ambition in the Climate Action Plan, that will
event showcasing job opportunities with Irish require application of cutting-edge technologies
employers in the construction, hospitality and applications of modern methods of
and transport sectors. 53 construction construction in the residential sector that a
companies from Ireland took part in the event diverse and competitive construction sector can
with a total of 342 jobs on offer. Over 11,000 provide.
jobseekers participated in the event with 622
job applications received by the construction Under Housing for All, toolkits that have been
companies. successfully used to boost productivity and
innovation in our internationally facing sectors
As part of the Government’s international have been adapted to promote Irish construction
messaging for St Patrick’s Day, the Minister sector transformation and performance. The
for Housing, Local Government and Heritage Government has expanded the role of the
published a series of social media posts enterprise agencies to support the domestic
urging construction workers and those in residential construction sector. In practical
related professions (such as engineering and terms, this means that Irish homebuilders can
architecture) to consider a career in Ireland to now avail of Enterprise Ireland schemes and
help deliver Housing for All’s ambitions. The grant supports that have previously promoted
videos included testimonies from people working innovation and productivity in internationally
in these sectors in Ireland. facing businesses, for example in the areas of
Further international recruitment events digitalisation, application of Lean, and R&D.
are planned for later this year and a large Enterprise Ireland has recently launched the
recruitment, apprenticeship and training event ‘Built to Innovate’ initiative which will promote
will also take place in Tallaght Stadium in May and drive industry engagement and awareness of
as part of Intreo’s Construction Work and Skills these opportunities.
Week which runs from 19-25 May.
9Housing for All | Q1 2022 Progress Report A new Construction Technology Centre (CTC) to accelerate innovation adoption in the construction sector by allowing Irish construction companies to work together on market-focused strategic Research and Development will prioritise research in the residential sector to reduce the cost of construction. The CTC, like the 8 Technology Centres currently in operation, will be resourced by highly qualified researchers who will provide a unique ecosystem for construction industry-academic collaboration in strategically important areas, including modern methods of construction, with an initial prioritised focus on innovation in housing. The establishment of this CTC is on track with targeted delivery at the end of this year. The process to select the host organisation is at an advanced stage. The Build Digital grant project is another important initiative aimed at increasing innovation in the Irish Construction Sector. The grant is one of the priority action points arising from the Building Innovation Report, which drew upon a wide-ranging survey and consultation, international benchmarking process and an economic analysis of causes of productivity trends in the Construction Sector in Ireland. €2.5 million has been allocated over a five-year period, to deliver increased digital adoption across the entire Irish construction and built environment sector. Further information can be found at the Build Digital Project website. We need to increase the capacity and efficiency of delivery in both public and private sectors. We will also rely on continued collaborative engagement with the construction sector and other important stakeholders, who are pivotal to the success of Housing for All. 10
Housing for All | Q1 2022 Progress Report
Financing Development
Housing for All is underpinned by €20 The model also estimates that current levels
billion in State investment in housing to of development finance are approximately
€6.5 billion, with approximately €6 billion
the end of 2026.
arising from private sources. This estimate was
A significant proportion of this investment modelled from current housing commencement
will be channelled through our State Funding data, which represents units which have
Partners into financing the development of development funding in place. From this,
housing. current levels of private development funding
were extrapolated. Therefore, in order to
Recent analysis undertaken by the Department
secure the required development finance to
of Finance illustrated that approximately €12
build an average of 33,000 homes per year,
billion per annum will be required to meet the
approximately €4 billion of additional private
target delivery of an average of 33,000 homes
funding will be required.
per year, with approximately €10 billion coming
from private capital sources, and approximately A proportion of this funding will be provided by
€2 billion from public sources. the domestic banking sector, however the vast
majority will be required from international
The estimated level of development finance
sources, underlining the critical importance of
required has been forecast by estimating the
institutional investment in generating additional
proportion of units and average development
housing supply.
costs by tenure type over the timeline of
the Housing for All plan. The figures are Without such investment, activity in the housing
underpinned by a number of high-level market would be much reduced and would
assumptions, including the breakdown of increase the significant pressure already facing
target outputs by tenure type, percentage of renters and prospective home-owners.
social housing developed by the private sector,
average development costs and the proportion
of private housing across private rental
schemes, one-off developments and multi-unit
developments. Each of these factors has an
impact on estimated funding requirements. PRESENTATION
PUBLIC ACCOUNT
COMMITTEE
1st October 2015 | Brendan McDonagh, CEO
State Funding Partners
HFA
Land Home Building Housing Finance Ireland Strategic National National Asset
Development Finance Ireland Agency Investment Fund Development Management
Agency Finance Agency Agency*
What do they fund?
Social Housing Zoned land Social Housing Mixed Tenure Social Housing Social Housing
with Planning Developments
Affordable Housing Student Affordable Rental Private
Permission
Accommodation Elements of Social Residential Units
Cost Rental Housing Mixed Tenure
Private Residential Housing
Developments
Units
*NAMA funds its
Social Housing debtors/receivers
only, rather than
Green Funding operating across the
whole market
11Housing for All | Q1 2022 Progress Report
Feature:
Profile of Home Building Finance Ireland
Who are Home Building Finance Ireland (HBFI)? What have HBFI supported
HBFI is a government initiative to increase the supply so far?
of new homes for owner-occupiers, renters, and social HBFI have approved €835m
housing, by providing loans on commercial terms to worth of loans with the potential
small, medium, and large housebuilders for commercially to support the construction
viable developments throughout Ireland. Loan products of 3,729 new homes in 71
offered can fund projects from 5 to 300 units. HBFI are developments across 18 counties.
wholly owned by the Minister for Finance and operate as By the end of 2021, 519 HBFI-
an independent legal entity with their own Board and a funded units have been completed
commercial mandate. with a further 1,359 contracted
for sale or sale agreed.
HBFI opened for business in January 2019 with an initial
allocation of €730 million in funding from through the
Ireland Strategic Investment Fund. HBFI’s objective is to
support the construction of up to 7,500 homes in its first
five years of operations. 2
Donegal
1
Monaghan
Approvals 5
6
Louth
Mayo 9
1
Meath
4 Westmeath 13
Supporting Accross
€835m 3,729 18 Galway 3 5 Dublin
Total funding
counties Offaly 3 Kildare 3
approved to date homes 2
Laois Wicklow
1
Clare
Carlow
Active Sites 1
2 Wexford
13 Waterford
8
€474m 2,228
Kerry
35 Cork
Total funding approved Number of new Total number of
on active and completed homes delivered or active or finished
sites to date under construction sites to date across
18 counties
Homes Completed
519 1,359
Number of units Contracted for
completed and sold sale/sale agreed
12Housing for All | Q1 2022 Progress Report
Eradicating Homelessness and Supporting
Social Inclusion
Housing for All places a significant emphasis Youth Homelessness Strategy
on supporting social inclusion and eradicating Housing for All commits to the publication of a
homelessness by 2030. Youth Homelessness Strategy. The aim of the
Unfortunately, we have been experiencing an Strategy is to help people who are aged 18-24 and
upward trend in the number of homeless people in who are homeless or at risk of becoming homeless.
emergency accommodation in recent months. This A key priority of the National Homeless Action
is a serious concern for Government, and we are Committee, established under Housing for All, is
taking a number of actions through Housing for All the development of the Strategy.
to address this major challenge. The Strategy requires an integrated, whole-
A number of key actions under Pathway 2 of of-Government approach, with a multitude of
Housing for All have been progressed during stakeholders playing a vital role in addressing the
Quarter 1. fundamental issues arising in addressing youth
homelessness. To inform its development, public
Housing First consultation was conducted during Q1, and the
Strategy is currently being finalised for publication
Housing for All recognises that many of those
in Q3.
experiencing homelessness have additional support
needs. The Housing First programme is one of the
National Housing Strategy for Disabled
key responses in ending long-term homelessness
People
among those with complex health and mental
health needs. It provides the most vulnerable of our Following its publication in mid-January 2022,
homeless population with a home for life as well as focus is now on implementation of the National
with key wraparound health and social supports. Housing Strategy for Disabled People 2022-2027.
A detailed implementation plan is to be completed
The Programme is operational in every county by The Housing Agency by the end of Q2 2022.
in Ireland and has already helped more than 600
long-term homeless individuals into their own Housing and Disability Steering Groups (HDSGs)
homes. The 2022-2026 Housing First National are established in each local authority area and
Implementation Plan targets an additional 1,319 are the key drivers of delivery at a local level,
Housing First tenancies, with specific annual targets ensuring that disabled people have choice and
for each region set out at Appendix 2. control over their living arrangements. The HDSGs
report quarterly on the implementation of their
In March 2022, a Housing First National Office local strategic plans regarding housing for disabled
was established in The Housing Agency to drive people. These reports are submitted to The Housing
implementation and a National Director for the Agency who monitor any issues arising that could
Programme has been appointed. Further detail is result in lack of progress on delivery.
provided in the Feature on Page 14.
In March, Government announced €81.25 million
The Housing Agency is also developing, in in funding for Housing Adaptation Grants for Older
partnership with the HSE and in consultation with People and People with a Disability. The 8.3%
key Departments and agencies, a good practice
national increase in allocations continues the year-
manual for the operation of assertive outreach
on-year increases in the grant since 2014. Grants
services. This manual will assist local authorities
of up to €30,000 are available to assist disabled
in expanding outreach services into those urban
people in carrying out necessary works to make a
areas in which rough sleeping is understood to be a
concern and ensure that those most in need of the house more suitable for their needs. Additionally,
intense supports provided by Housing First will be grants of up to €8,000 are available to assist older
able to avail of them. people to have necessary repairs or improvements
carried out on their homes and grants of up to
€6,000 are available for mobility aids.
Housing for All commits to a review of the
range of grants available to assist with meeting
specific housing needs, including the Housing
Adaptation Grant for People with a Disability, and
to implementing relevant changes. The aim is to
ensure the grants remain fit for purpose and meet
the housing needs of the people availing of them.
13Housing for All | Q1 2022 Progress Report
Traveller Specific Accommodation and implementation of multi-annual Traveller
Under Housing for All, the Government is Accommodation Programmes (TAPs) in their areas.
committed to improving the quality and quantity of The TAPs currently in place across all 31 Local
Traveller-specific accommodation. €18 million has Authority areas cover the period to 2024.
been secured to deliver on this objective in 2022. The Department of Housing, Local Government
Local Authorities have statutory responsibility and Heritage also met with the Northern Ireland
for the assessment of the accommodation needs Housing Executive and continue to explore the
of Travellers and the preparation, adoption feasibility of an all island approach to the provision
of a network of Transient Sites.
Feature:
Housing First
Housing First is a housing-led approach that enables people with a history of rough sleeping
or long-term use of emergency accommodation, and with complex needs, to obtain permanent
secure accommodation, with the provision of intensive supports to help them to maintain their
tenancies.
The new Housing First National Implementation Plan provides for the creation of 1,319
additional tenancies over the period 2022 to 2026.
In March 2022, a Housing First National Office was established in The Housing Agency to support
delivery of the new Housing First National Implementation Plan and provide key operational
oversight and management of the programme.
Rob Lowth has been appointed Housing First National Director.
Commenting on his new role, Rob Lowth said: “The establishment of the Housing First National
Office within the Housing Agency is a significant development in terms of a cross Government
Department collaboration to meet the needs of the most vulnerable in society. As witnessed by
the experience of a McVerry Trust Resident at the Office Launch on March 2nd, the audience
heard directly how powerful the right holistic supports are in changing a life in a positive way to
ensure a stable home for those who are part of the Housing First Programme. I look forward to
supporting and driving this cross-sector approach to the delivery of secure permanent Housing
within each of the 31 Local Authorities over the term of the Implementation Plan.”
Present at the launch of the Housing First National Directorate was Dr. Sam Tsemberis, who
pioneered the Housing First approach in New York City in the early 1990s.
Speaking at the event he said: “The success of Housing First in Ireland to date has been
extraordinary. There’s been a pilot project across nine regions and there’s an 87% housing
retention rate. And this is for people that have been homeless for a very long time and could not
actually get into other kinds of programmes. So when Housing First came along it gave them the
flexibility of immediate access to housing, no treatment or sobriety requirements. 87% success
rate: extraordinary; really well done.”
“The success of Housing
First in Ireland to date has
been extraordinary”.
14Housing for All | Q1 2022 Progress Report
Addressing Vacancy and Efficient Use of
Existing Stock
The Government is pursuing a wide range of Repair & Lease Scheme
measures to ensure existing stock is utilised and to Another important funding stream in the context
unlock the potential for the reactivation of vacant of vacancy and dereliction is the Repair and
and derelict properties. Leasing Scheme (RLS).
The Town Centre First Policy, published in The Scheme is targeted at owners of vacant
February 2022, is the Government’s overarching properties who cannot afford or who do not have
strategy for the renewal and regeneration of access to the funding required to bring those
Irish towns. The policy has a particular focus on properties up to the standard for rental property.
measures to tackle vacancy and dereliction and The RLS tackles vacancy as well as having
promote residential occupancy in rural towns and additional benefits in terms of regeneration,
villages. employment and investment in local areas.
Town Centre First is underpinned by significant Funding available under the Scheme was increased
investment spread across major Government from €40,000 to €60,000 per unit in November
schemes such as the Rural Regeneration 2020 and Housing for All committed to placing a
and Development Fund (RRDF), the Urban renewed focus on the Scheme.
Regeneration and Development Fund (URDF),
Croí Conaithe (Towns) Fund and the Town and €12million in funding has been secured for the
Village Renewal Scheme. It is also envisaged that Scheme in 2022, with a target of 120 homes.
the tackling of vacancy and dereliction in towns The most significant project approved under RLS
will be a particular emphasis for future funding to date is the renovation of a former convent in
under the European Regional Development Fund Waterford City Centre which will deliver 71 social
(ERDF) in Ireland. housing units for older people with an expected
Funding through these streams will be targeted to delivery date of Q1 2023. Further detail on the
support the Town Centre First Approach, as part project can be found on Page 16.
of the wider objectives for the regeneration of our
cities, towns and rural areas. Vacant Homes Officers
Specific criteria will be included in the next call Local Authority Vacant Homes Officers will have
under the URDF (H2 2022) to encourage the a key role in implementing Vacancy initiatives,
activation of vacant properties. This will be an including the CPO Programme, and in ensuring a
integral element of a broader town regeneration coordinated approach to addressing vacancy and
project and will allow housing stock to be brought the efficient use of existing housing stock. Each
back into productive use. Local Authority will have assigned full-time Vacant
Homes Officers by the end of Q2, with increased
Croí Cónaithe Towns Fund funding made available to support this objective.
The Croí Cónaithe Towns Fund, the terms of which
will be launched in the coming weeks, is designed Planning Regulations
to facilitate the provision of serviced sites for During Quarter 1, the Minister for Housing,
housing, to attract people to build their own Local Government and Heritage signed Planning
homes and to support the refurbishment of vacant Regulations that exempt the conversion of vacant
properties. The overall commitment is the delivery pubs into residential units from requiring planning
and activation of 2,000 sites for homes by 2025 in permission.
a pathfinder programme.
The new exemption is contained in an extension
of 2018 Planning Regulations that allow a change
of use of certain vacant commercial premises
to residential use without the need for planning
permission.
This includes vacant areas above ground-
floor premises, such as ‘above shop’ living. The
exemptions aim to increase the re-use of vacant
commercial buildings to increase much-needed
housing supply and revitalise settlements.
15Housing for All | Q1 2022 Progress Report
Feature:
CASE STUDY: St, Joseph’s House, Waterford
St, Joseph’s House, a former religious convent and more recently a school, has been vacant for
a number of years. It is situated on a 5.5 acre site in Waterford city centre.
Approval was granted in November 2021 for renovation of the buildings on the site into 71
social housing units under the Repair and Leasing Scheme (RLS).
This is the first application received for a project of this size and ambition under the Scheme.
The project is expected to be completed in early 2023.
The units will be developed in the existing buildings and will be leased to Waterford City and
County Council for a 25-year term.
The units will be made available to tenants of Waterford City and County Council, with a
proposal to provide accommodation for mainly older people in the finished development.
Development will consist of:
• 42 x 1 bed apartments
• 23 x 2 bed apartments
• 5 x 2 bed houses
• 1 x 3 bed house
The former chapel on the site will also be developed as a community facility, outside the RLS
Scheme.
16Housing for All | Q1 2022 Progress Report
Sustainability
Housing for All is about delivering a housing Water Infrastructure
system that is sustainable and in line with Housing supply can only be delivered where the
our Climate Action Plan & National Planning enabling infrastructure is in place. In Q1, Irish
Framework objectives of reducing carbon Water rolled out its national water supply capacity
emissions and achieving increased housing register, to complement the waste water capacity
supply in a regionally balanced manner with a register. The purpose of these registers is to bring
focus on existing settlements. greater clarity to planning for housing supply
The Housing Commission has been established by identifying where capacity facilitates early
and is tasked with examining a number of these housing provision or where constraints may exist.
longer-term issues. More detail on the work of the The Department of Housing, Local Government
Commission can be read on Page 18. and Heritage has also reported to the Minister
on the matter of villages and similar settlements
Measures implemented and progress in support of that do not have access to public waste water
sustainability throughout Quarter 1 include: infrastructure. The report will feed into future
policy considerations in the Rural Water Sector.
Strategic Environmental Assessment
Updated Strategic Environmental Assessment
guidelines for Regional Assemblies and Planning
Authorities were published on 9 March 2022.
These guidelines will help local authorities
integrate environmental issues into Development
Plans and contribute towards achieving national
and international sustainable development goals.
Energy Efficiency
The new National Home Energy Upgrade Scheme
was launched on 8 February 2022, and includes
enhanced grant levels for certain measures,
specifically for Approved Housing Bodies.
Delivering a housing system that is
sustainable and in line with our Climate
& NPF objectives of achieving more
regionally balanced, city-focused and
compact growth.
17Housing for All | Q1 2022 Progress Report
Feature:
Housing Commission
• The Housing Commission was established to fulfil a core commitment in the Programme
for Government to examine issues such as tenure, standards, sustainability and quality-of-
life issues in the provision of housing. The Commission will also bring forward proposals
on the Referendum on Housing referred to in the Programme for Government.
• The Housing Commission is also a key Housing for All action to examine long-term housing
policy issues, beyond 2030, and will report to Government on how to build on policy
changes committed to under Housing for All.
• The Housing Commission held its first meeting on January 12th, 2022 and is being tasked
with examining and reporting on:
maintaining a sustainable housing supply and providing balance and choice of
tenures, having regard to social, environmental and economic objectives
the cost and quality of housing, the drivers of cost (including, inter alia, embodied
carbon compliance), and how costs may be addressed and compliance achieved in the
longer term
the capacity of the construction sector to meet housing supply requirements
the affordability of private rental accommodation
the affordability of house purchasing for first-time buyers, examining in particular,
measures that would complement or enhance the recently introduced affordable
housing measures (including new models of affordable housing)
rural housing and how it can be facilitated in a socially and environmentally
sustainable way and allows for development of appropriate one-off housing
the need for regulation of social housing
the optimum role of Approved Housing Bodies in housing provision, including their
role regarding the needs of vulnerable groups
the referendum on housing (the Commission has established a subcommittee to
examine the complex constitutional questions around housing rights and propose
appropriate wording to Government for a referendum on this issue).
The commission will submit reports on these areas to the Minister by the end of July 2023.
Further detail on the Commission available at www/gov.ie/housingcommission
Twitter @HouCommission
18Housing for All | Q1 2022 Progress Report
Overview of Housing for All Actions in Q1 2022
This is the third progress report on the Housing for All Plan published in September 2021.
So far, of the 213 actions in Housing for All, 135 have been completed or are being
delivered on an ongoing basis.
Number of Measures due for delivery
and reporting in Q1 20221
Q1 2022 Measures – Due for Completion 13
Q4 Measures carried into Q1 7
Total 20
In summary, in Q1 2022:
• Of the 20 measures due for delivery in Q1 2022, 12 were
delivered on schedule, giving a delivery rate of 60% this quarter.
• Whilst the full implementation of 8 measures has been delayed,
significant progress has been made on the majority of these
actions.
• 3 of these delayed measures have a revised target date of Q2
2022 and will be reported on in the next progress report.
• The overall delivery rate for measures due to date under
Housing for All is 70%.
More detailed information in respect of each measure is provided from Page 21
onwards.
1 The following should be noted in respect of two further actions:
Action 2.13 ‘Legislate through the Residential Tenancies Acts for default conciliation as part of the dispute
resolution process within the RTB’ has a published timeline of ‘Q1 2022’, however there is now a revised
proposal to modify the action to support default mediation, and not conciliation, as part of the dispute
resolution process. Implementation of this revised proposal will be reported on in Q2.
Action 13.3 ‘Carry out a comprehensive review and consolidation of planning legislation’ has a published
timeline of ‘Q1 2022 and ongoing’ but will be reported as an ‘Ongoing’ action in Q2 and Q4. The review is
currently underway and it is intended that it will be completed by end 2022.
19Housing for All | Q1 2022 Progress Report
Q1 2022
Update
20Housing for All | Q1 2022 Progress Report
Q1 2022 Updates
Pathway to Supporting Homeownership and Increasing
Affordability
Action 1.4 Provide a ‘First Home’ market based Shared-Equity Scheme
HfA Timeline: Q1 2022
Status: Delayed
Revised Target Date: Q2 2022
Update: The First Home Scheme, an affordable measure, will support first-time buyers in purchasing
newly built homes nationwide. The scheme will increase affordability for eligible purchasers by
bridging the gap between the market price of a home and what the household can afford, through
the provision of equity support. First Home will employ an equity stake model, similar to that used
in the Local Authority Affordable Purchase Scheme, to support the purchase of c 8,000 new homes
on the private market in the period out to 2026. The scheme will be jointly funded by the State
and participating mortgage lenders on a 50:50 basis, with overall funding of €400m in the financial
years 2022 to 2025. The Department of Housing, Local Government and Heritage (DHLGH) and
the Department of Finance (DoF), with the support of The Housing Agency, have made significant
progress developing blueprint designs with representatives of mortgage lenders who will jointly
establish and govern the scheme.
DHLGH has established the First Home Scheme Ireland Designated Activity Company (DAC). The
DAC will become a Joint Venture with participating mortgage lenders when the fund is established.
The DAC is engaging a Third Party Operator for the day-to-day administration of the scheme. It is
anticipated that the scheme website will go live to begin the communications process in May 2022. It
is planned that the scheme will open for formal applications and equity support will be deployed from
the fund by end Q2 2022.
Pathway to Eradicating Homelessness, Increasing Social Housing
Delivery and Supporting Social Inclusion
Action 3.15 Develop a Youth Homelessness Strategy
HfA Timeline: Q1 2022
Status: Complete
Update: Reducing and preventing homelessness remains a top priority for Government. The Youth
Homelessness Strategy aims to help young people aged 18 – 24 who are homeless or at risk of
becoming homeless. The National Homeless Action Committee (NHAC) held its first meeting on 20
December 2021 at which it was agreed that the development of the Youth Homelessness Strategy
would be prioritised. The Committee further discussed the Strategy at its meeting on 7 February
2022 when a paper, which set out the proposed approach, was presented to NHAC.
A three-week public consultation process was launched in February. A number of direct consultations
with key stakeholders commenced in March and this process is continuing with a specific focus
on direct consultation with young people. A draft of the Strategy was developed and circulated to
NHAC at the end of March. Feedback from NHAC, along with further information gleaned from the
ongoing direct consultations, will inform and be incorporated into the finalised strategy which will be
published in Q3 2022.
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