Builders want the Government to set up a fund that will allow small companies in the industry to borrow cash to build homes.
The Construction Industry Federation (CIF) called for greater infrastructure spending in a pre-budget submission published on Wednesday. The group called on Minister for Finance Paschal Donohoe to establish a fund that would loan money to small companies for housebuilding, particularly in areas outside Dublin where demand is starting to grow.
CIF director general Tom Parlon said there were many companies outside the capital too small to attract the investors that were backing bigger players or to access other sources of State funding.
“We have hundreds of smaller builders that are doing five to 10 houses a year. They do make a significant contribution,” he said.
The federation’s submission also warns there are few significant infrastructure projects planned for next year despite a growing need for them.
Equipment
Mr Parlon said once work on extending Dublin’s Luas and the Gort-Tuam motorway in Galway were finished there was just one significant road development planned for next year.
He warned that as a result both the staff and equipment needed for big projects were likely to leave the country as there would be nothing for them to do.
Meanwhile, Minister of State for Jobs Pat Breen said he accepted a Labour Court recommendation that 50,000 building workers get pay increases of up to 10 per cent.
Last month the court ruled that the minimum rates paid to skilled and unskilled construction workers in the Republic should rise depending on their jobs.
