Irish Examiner view: Time for action to help construction costs

There are some things the Government can do to try and offset some of the problems being faced by the construction industry

In 2021 there was a 12% hike in the overall cost of building materials. Picture: Larry Cummins

An unfortunate fallout from Russia’s unprovoked attack on Ukraine has been the effect it has had on worldwide inflation, but there are things we Irish can do here at home to at least moderate the situation.

One of the unintended consequences of the war has been the cost to Irish builders of raw materials. And now suppliers are warning that the cost of timber and other key building materials is rising faster than was anticipated.

In 2021 there was a 12% hike in the overall cost of building materials and so far this year, although the industry has yet to quantify the size of any increases, prices are rising substantially and unsustainably — in both material and labour costs.

At a time when Ireland is trying desperately to play catch-up on new house builds, this is unwelcome news indeed. With the cost of energy and materials — steel particularly — having shot up as a result of the conflict in Ukraine, there is no sign of any easing in the upward pressure on prices.

It seems, however, that there are some things the Government here can do to try and offset some of the problems being faced by the construction industry. One of these is the swift issuing of licences by the Department of Agriculture to try and ease timber supply issues.

Irish law requires such permits for the cutting of wood and delays in issuing them over the past two years have hampered construction greatly. This is a time when Ireland needs to get its own house in order as importing from other European countries offers little relief as demand is pushing prices up.

In as much as we can, we need to sort native Irish problems out because there are few solutions to be found outside our borders.