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27th September 2022
Construction Industry Federation welcomes retention of Help to Buy Scheme in today’s Budget announcement, but warns of negative impact of concrete products levy on housing and infrastructure costs.
The Construction Industry Federation has welcomed the retention of the Help To Buy Scheme in today’s Budget 2023 announcement.
Tom Parlon, Director General of the Construction Industry Federation said: “The retention of the Help To Buy scheme to 2024 is a welcome measure to support the affordability of new homes for house buyers.
“The extension of the scheme, in conjunction with the new First Homes scheme, will be a key step to maximising access to owner occupation for first-time buyers and will provide confidence to first time buyers.
“We also welcome the increased spending allocation for social and affordable housing.
“The additional resources that are being made available to fulfil the National Development Plan are fully supported by the industry.
“However, in any streamlining of the residential zoned land tax, we need to ensure that the measure doesn’t place additional costs on any future housing projects.
“We are concerned that the new levy on concrete products will increase the cost of all future construction projects, including all public infrastructure, commercial, office developments, and housing projects.
“For example, excluding supporting infrastructure, a typical three bed social or private house will cost an additional €1,100 on concrete products alone for the house, due to this measure. Including enabling infrastructure, this could amount to €2,000 – €2,500 all in for a typical house. This is further contributing to inflationary costs in the sector and will increase the costs borne by home buyers.”
“The Construction Industry Federation and our members are fully committed to fulfilling the highest standards of building works in the interests of consumers and are committed to working with Government on these matters into the future.”
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