The underperformance of the Chroí Cónaithe apartment scheme is an abject failure of a government which continues to ignore evidence-based policy in their housing plan, according to Social Democrats TD Rory Hearne.
Deputy Hearne, who’s the party’s Housing spokesperson, said:
“The Chroí Cónaithe Cities scheme is yet another government policy proposed to subsidise the private development sector from the public purse.
“Under this scheme, it was proposed that the State subsidises developers to help them to cover the ‘viability cost’ between building cost and market sale price.
“The impracticality of this scheme was evident on its announcement, with my colleague Deputy Cian O’Callaghan rightly calling it out in 2022 as the ‘daylight robbery’ it is.
“Not only did the government power ahead with what was clearly an ill-fitting proposal for combating the housing crisis, it did so while ignoring every reasonable and informed criticism that was levelled at it.
“It was indicated again in 2023 that there was poor engagement with the scheme, and still the government continued to back a failing policy.
“If you look back through its history, it’s no surprise that this scheme has missed its targets by such a shocking margin, an outcome clear from its inception.
“There is now a question of what to do with the budget of €450 million which has been allocated to the scheme, but one thing is clear: the money should have been invested in cost rental and truly affordable homes.
“Government housing policy continues to fail while there are clear and simple solutions to the housing crisis looking us in the face – subsidising developers and vulture funds will never work.
“These public funds are wasted languishing in a scheme which brings us no closer to the radical reset needed to combat the housing crisis and begin providing homes for all.”
March 20th, 2025