Latest news with #PPPBundle3
Extra.ie
a day ago
- Business
- Extra.ie
Housing minister drops plans for €1m social homes
The government has been urged to abandon its 'expensive' approach to social housing and to fund councils directly after it emerged that the cost of building some local authority units has soared to more than €1m. Sinn Féin housing spokesman Eoin Ó Broin was speaking after it emerged the Department of Housing pulled the plug on the construction of almost 500 social homes in Dublin, Wicklow, Kildare and Sligo after the cost of each home rocketed to over €1m. And the delivery of almost 3,000 new social homes – 2,000 of which are in the capital – will now be delayed after Housing Minister James Browne cancelled several projects about to begin construction over cost concerns. James Browne Pic: Gareth Chaney/ Collins Photos The Construction Industry Federation said the move could threaten the public-private partnership (PPP) model and have implications for major projects such as Metro North. Mr Ó Broin told 'As far back as 2019, Sinn Féin warned that the use of public-private partnerships for social housing delivery did not represent value for money.' The Dublin Mid-West TD said it is 'somewhat ironic that the Government is now collapsing PPP Bundle 3 on value-for-money grounds. 'As a result, up to 3,000 much-needed social homes are delayed'. Eoin Ó Broin. Pic: Niall Carson/PA Wire He added: 'The Government should never have used this model for social delivery. They should abandon this expensive approach entirely and fund the councils directly to deliver these 3,000 homes as a matter of urgency.' Housing Minister James Browne yesterday said he is 'determined to deliver' the social homes. He told 'We are assessing the quickest way to do this while ensuring value for taxpayers' money. I am cutting down on the jungle of red tape that is leading to delays and exceptionally high costs.' Rory Hearne. Pic: Niall Carson/PA Wire However, Social Democrats housing spokesman Rory Hearne said the Coalition 'has gone from incompetence to sabotage'. He told 'In a bizarre, almost GUBU moment, the Government has suspended a delivery project that was going to build almost 500 social homes, almost 200 of which are in my constituency, through public-private partnerships. They were ready to start on site in the coming weeks but the minister has pulled the plug on them. Almost 3,000 social homes are now in jeopardy. 'In fact, the Government spent €8m on developing these projects. Contractors had almost been appointed. The not-for-profit housing bodies had been brought on board. It is absolutely confounding as to how this decision was made. It is beyond comprehension.' Aontú leader Peadar Tóibín added: 'This is another example of drift in how we do housing. There is a need for urgent practical reform, such as ending VAT on houses, that will end this vicious cycle of indolent incompetence.' The latest housing setback comes as the Government is under increasing pressure to remove planning roadblocks that are hindering its pre-election promise to deliver 300,000 new homes by 2030. Pressure is switching from Mr Browne to Public Expenditure Minister Jack Chambers, whose Accelerating Infrastructure Taskforce is due to deliver its first report over the coming weeks. The Coalition is also under pressure over the delayed implementation of the 906-page planning reform legislation, the Planning and Development Act 2024. Figures supplied by Mr Browne in response to parliamentary queries from Mr Ó Broin reveal just 77 sections of the legislation have so far been introduced. It means that, eight months after the Bill passed, 560 sections of the legislation have still not commenced. Commenting on the chaotic planning, Mr Ó Broin said: 'The crazy thing is, the problem with the Planning Bill of 2000 was that it was too complex. The previous government's solution to this was to replace it with a 900-page Bill with 700 commencements, 200 of which were rushed through.' He added: 'It was all guff and spin. It has been progressing at a snail's pace since. We have ended up with a Frankenstein's monster of unworkable and contradictory legislation. We asked two years ago: will a Bill that is nearly 1,000 pages long resolve this? And we have our answer now.'
Irish Independent
5 days ago
- Politics
- Irish Independent
Probe into scrapped plan for 106 Wicklow social homes reveals contracts had not been signed
Crucial development was going to help some of the more than 4,000 people on the Wicklow housing list Wicklow People Today at 01:00 Sinn Féin TD John Brady has voiced his dissatisfaction over responses received from the Department of Housing as they appeared before the Public Accounts Committee to face questions over the sudden decision to scrap a Public Private Partnership (PPP) housing programme, which included 106 social homes in Wicklow. A total of 486 homes were due to be constructed through PPP Bundle 3, at sites in Blessington, Dublin, Kildare and Sligo. However, after evaluation of the costs associated, the Department of Housing, Local Government and Heritage decided not to proceed with contract award on a value for money basis.
RTÉ News
11-06-2025
- Politics
- RTÉ News
Plan for 63 Sligo social homes delayed over costs
The delivery of a planned 63-unit social housing scheme in Sligo has been put on hold after the Department of Housing decided not to proceed over concerns about the cost of the project. The planned scheme at Rathellen, Finisklin was one of six schemes nationwide, comprising 486 social housing units in total that was due to be delivered under a public private partnership. The 486 units were due to be delivered as part of 'Social Housing Bundle 3 PPP' across four local authority areas. Dublin City Council is the lead local authority for the social housing bundle which comprises six schemes in total, including three sites in the capital alongside further sites in Kildare, Wicklow and Sligo. In a letter to the local authorities, the Department of Housing, Local Government and Heritage said it decided not to proceed "due to the overall costs "which are now considered too high". All six sites within the social housing bundle have full planning permission. The Department said the units "will now be delivered by way of an alternative procurement and delivery strategy". The Department is due to begin a review with the National Development Finance Agency on the future Social Housing Public Private Partnership (PPP) bundles. The Department said it remains committed to delivering the 486 social housing units that PPP Bundle 3 was designed to provide in partnership with the NDFA and the relevant Local Authorities. Meanwhile, Sligo County Council has told public representatives that its Housing Capital Team is reviewing the options available for an alternative procurement and delivery strategy for the Rathellen site. Any planned strategy will require the agreement of the Department of Housing, Local Government and Heritage. 'Hugely disappointing' Cathaoirleach of Sligo County Council Cllr Declan Bree told RTÉ News he feels the situation is hugely disappointing. Cllr Bree said following the receipt of tenders there was an expectation that construction work on the housing scheme would commence shortly. He said there are more than 1,660 households on Sligo County Council's housing waiting list and the current housing crisis is causing "huge distress and anxiety". "In this context the decision not to proceed with the 63 social housing units in Finisklin can only be described as a serious setback. "Given the failure of the Minister and his Department to deliver this public private partnership deal we now need to see the Minister and the Government provide the necessary funding directly to the County Council so as we can deliver the scheme in a speedy and efficient manner," Cllr Bree said.
Irish Independent
11-06-2025
- Business
- Irish Independent
Building of 106 Wicklow social homes halted indefinitely over ‘value for money'
Wicklow People Today at 02:00 The delivery of 106 social homes in west Wicklow faces an uncertain future following the Housing Minister James Browne's decision to pull the plug on the Public-Private Partnership (PPP) project that was set to deliver the homes. A total of 486 homes were due to be constructed through PPP Bundle 3, at sites in Blessington, Dublin, Kildare and Sligo. However, after evaluation of the costs associated, the Department of Housing, Local Government and Heritage has decided not to proceed with contract award on a value for money basis.
Irish Independent
10-06-2025
- Business
- Irish Independent
Planned 63 housing scheme for Sligo placed on hold as Minister queries costs
The houses in Sligo were due to be built at Rathellen, Finisklin. Sligo is one of six areas affected in a total of 500 homes across the country. The social housing developments were understood to be near shovel-ready and were to be delivered under a public private partnership (PPP) scheme across six sites. Councillors have been forwarded a letter from the Department of Housing, Local Government and Heritage outlining how Dublin City Council were the lead local authority for PPP Bundle 3 which comprises 6 sites: Dublin (3) Sligo (1) Kildare (1) and Wicklow (1). The email from the DHLGH outlined how after careful evaluation of the costs associated with the 486 homes which were to be delivered under PPP Bundle 3, the Department has decided not to proceed with contract award It also states that the Department, the NDFA and the relevant Local Authorities remain fully committed to delivering the social housing that PPP Bundle 3. It said these social homes were very much needed and remain a priority for Government, the Department and the relevant Local Authorities. These 486 homes will instead be delivered by way of an alternative procurement and delivery strategy. Sligo County Council's Housing Capital Team are reviewing the options available for an alternative procurement and delivery strategy for the Rathellen site. This will require the agreement of the department. Housing Minister James Browne said: 'After careful evaluation of the costs associated with the 486 homes which were to be delivered under PPP Bundle 3, the Department has decided not to proceed with contract award on a value for money basis,' The decision by the Minister for Housing not to proceed with the project has been described as as a serious setback by the Cathaoirleach of the council, Cllr Declan Bree. 'There are in excess of 1,600 households on the Council's housing waiting list and in this context the delay in proceeding with the 63 units in Finisklin is unacceptable.' he said. ADVERTISEMENT The first phase of the project was to include 63 units including 18 Duplexes, 39 new houses, and 6 converted units in the existing Rathellen House. 'Given the failure of the Minister and his Department to deliver this public private partnership deal we now need to see the Minister and the Government provide the necessary funding directly to the County Council so as we can deliver the scheme in a speedy and efficient manner.' Cllr Bree said.
