The investment will be made up of €2.6bn exchequer, €978 million Land Development Agency (LDA) and €1.5bn Housing Finance Agency (HFA) funding.
Almost €7bn will be available to the Department of Housing, Local Government and Heritage.
Emphasising that Housing for All is taking hold, Minister O'Brien said record commencements, completions and first time buyer purchases have been seen across 2023. He also noted that this year's Budget will help add to the momentum created over the last two years.
As the LDA and HFA are crucial to the Housing for All plans, Minister O'Brien said he will be seeking cabinet approval to capitalise the LDA to €6bn and increase the HFA borrowing limit from €10bn to €12bn as part of Ireland’s long term investment plans. The HFA increase will support Approved Housing Bodies (AHB) to continue to deliver cost rental and social housing at scale.
Minister O'Brien stated that next year the department has the funding and focus to ensure that more homes will be built across Ireland and with the Budget, the department will be able to "help the most vulnerable and assist those who need help the most".
In 2024 a further €242m will go towards homeless services and accommodation at a time of record numbers in emergency accommodation. This will be kept under continual review to respond to any challenges that arise.
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In a statement, Minister O’Brien said: "More than €760 million in direct affordability and home ownership funding will support the initiatives we have put in place such as Cost Rental, the First Home Scheme, the Affordable Housing Fund, the Secure Tenancy Affordable Rental investment scheme and the Help-to-Buy initiative. I am very glad to see that my colleague the Minister for Finance has extended the Help-to-Buy to the end of 2025 and made some technical amendments ensuring its optimal interaction with local authority affordable purchase schemes.
"Our focus for capital investment in social housing will be on new build – with the funding we have received supporting the delivery of 9,300 new build social homes in 2024. I’m pleased to be in a position to announce the increase of the single stage approval process threshold from €6m to €8 million meaning our local authorities will have greater autonomy in constructing social housing developments. Social homes will also be delivered through a continuation of the successful Tenant in Situ scheme.
"The Minister for Finance has announced an increase in the Renters Tax Credit to €750 and the introduction of significant changes to the tax treatment of landlords. This is something I have advocated for and I believe is crucial as we scale up the supply of homes all across the country.
"Up to 10,200 new households will have their housing needs met under the Housing Assistance Payment (HAP) and Rental Accommodation Scheme (RAS), as well as continuing support for over 74,000 existing tenancies under these schemes. HAP and RAS are vital, direct, supports for households. We are reducing our reliance on such schemes and since 2020 over 14,000 individuals and families exited from HAP to social housing provided by local authorities and AHBs.
"An acquisition fund of €35 million, administered by the Housing Agency, will be used for Housing First acquisitions. Housing First is an internationally recognised, evidence-based model for individuals who are long-term homeless with complex needs. In practice, it means permanent homes for individuals who have complex lives, without any preconditions around sobriety or mental health treatment, and then providing them with a range of wrap-around supports to help them maintain their tenancy. It’s a crucial scheme in our efforts to help those who have been entrenched in homelessness.
"Our efforts to tackle vacancy and dereliction will continue unabated with the Croí Conaithe fund increased substantially for 2024 which provides the funding for the Vacant and Derelict Property Refurbishment Grant and the Ready to Build Scheme. This 'carrot' approach will be carefully balanced with the 'stick' approach of the Vacant Property Tax which has been increased to five times the Local Property Tax (LPT)."
