O’Brien ‘not looking for’ construction sector Vat reduction

Housing minister Darragh O’Brien said he was focusing on more targeted measures such as the First Home Scheme. Picture: Grainne Ni Aodha/PA

Housing minister Darragh O’Brien has appeared to rule out a reduction of the Vat rate for residential construction.

A reduced Vat rate of 13.5% currently applies to construction but a recent review of the Tax Strategy Group (TSG) examined the possibility of a reduced rate under the EU Vat Directive in 2022.