The Apple tax money should be used to set up a State construction company to deliver tens of thousands of affordable homes, People Before Profit has said.

The party believes the private sector is inflating the cost of delivering housing and prolonging the country’s housing crisis. 

On Newstalk Breakfast, Dún Laoghaire TD Richard Boyd Barrett said that a State construction company would be much more cost effective. 

“It would work by stripping out the profit margin of private developers,” he said. 

“That and the economies of scale that a large State company would give us, could drive down the price and give us the construction capacity and scale necessary to deliver the huge numbers of social and affordable houses that we now need.”

“Finally, the Government has admitted that their own housing targets are half of what is necessary. 

“That means they’re going to have to at least double the amount of social and affordable houses we now need.” 

A housing estate under construction. Image: David Creedon / Alamy

Deputy Boyd Barrett said he was “very glad” to see that house building had risen in recent years but added that there is “no way” the private sector would deliver the social and affordable homes his party wants built. 

“The Society of Chartered Surveyors are saying that, roughly speaking, they are delivering three bedroom housing at between €400,000 and €450,000 - that’s not affordable,” he said. 

“Even if we build the houses, huge numbers of working people and young people will simply not be able to afford them. 

“The private sector has shown themselves incapable; if you look at the National Children’s Hospital, a private developer has the country over a barrel and has built the most expensive hospital in the world - profiteering from the State.” 

Construction at the National Children's Hospital.

When asked whether the public sector was much more efficient - given its inability to build modular homes for Ukrainians or a bike shelter at reasonable prices - Deputy Boyd Barrett said other public sector organisations have better track records. 

“Probably the most successful country is the ESB - which we developed in order to electrify the country,” he said. 

“It’s one of the most successful companies in the world, it has about 8,000 people working for it and many thousands more indirectly working for it. 

“That is the model we need to follow and there’s very few people who would argue that’s an inefficient operation but it’s a State operation - so, it can be done.” 

In 2023, there were 32,000 new homes built in Ireland and the Irish Independent has reported the Government intends to set a target of 50,000 a year.

Main image: People Before Profit TD Richard Boyd Barrett speaking outside Leinster House. Picture by: Sam Boal / RollingNews.ie