Central Bank says housing now taking 4 years to complete
The Irish Central Bank has lowered its housing construction forecasts and noted that the time from planning to completion has doubled to four years. Economic growth projections were revised upward, driven largely by demand for data centers and AI-related infrastructure.
Why it matters
The report highlights a critical tension between rapid economic growth driven by the tech sector and the systemic failure to meet housing demand.
The Central Bank has revised downwards its forecast for how many homes will be built between now and 2028, and said it is taking twice as long for houses and apartments to be completed.
The bank has reduced its projections for how many homes will be built this year by 500 to 39,500.
It predicted the figure will be 41,000 next year, down 2,000 from its previous estimate, and will be 45,000 in 2028 down 1,000 from its earlier forecast.
The Central Bank also said it is taking longer to build homes with the time from initial lodgment of planning application to completion of a home taking four years - twice as long as a decade ago.
This is being linked to developers facing difficulties getting water and electricity connections for sites.
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