Get all your news in one place.
100’s of premium titles.
One app.
Start reading
Irish Mirror
Irish Mirror
National
Ferghal Blaney

Government U-turn on controversial concrete block levy amid furious backlash

Paschal Donohoe has performed a U-turn on the controversial concrete block levy, confirming the introduction of the tweaked levy will now be delayed.

It was supposed to kick-in in April, but sources say it will not now be imposed on builders and homeowners until the end of the summer.

This reversal came after a furious backlash from Government backbenchers after it was first announced in the Budget on September 27th.

READ MORE: Leo Varadkar confirms eviction ban but two types of tenants can still 'be required to leave'

The levy was brought in as a small measure in the Budget, aiming to raise €80million a year through a 10c levy on concrete blocks.

It is designed to help pay for the Mica, pyrite and other defective building blocks schemes which will eventually cost the Government between €4billion and €5billion over time.

Finance Minister Mr Donohoe was speaking to reporters on Dublin’s Dawson Street on Tuesday morning ahead of a Cabinet meeting to discuss the issue.

He said: “It’s going to be happening.

“That is the key measure of the Government’s commitment to raise money to deal with Mica and the other defective concrete block schemes that will be coming up.

“I think we’re in a situation where if the levy would not be happening at all, or would be raising a very small amount of money, I think there would be fair questions.

“But I think what will be happening is we will have a levy that will still raise money, that will make a contribution to the cost of rebuilding homes, but does get the balance right in raising money and responding back to the issues that have been legitimately raised in the wake of the Budget.”

Mr Donohoe was then asked directly why the measure has been delayed, and he replied: “Because, in order to successfully implement the levy, it’s going to take time to roll it out across the construction sector and as you’ll accept, there are some parts of our economy, particularly the export of concrete, it’s going to take some time for it to be brought in.”

READ NEXT

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.