Menu
10/12/2009
Budget's Construction Cuts Are 'A Blow': CIF
The Construction Industry Federation (CIF) has claimed the Irish Government's decision to cut nearly €1bn from its capital investment programme represents a 'blow to jobs' in its sector and that will significantly impact the Exchequer.
However, the lobby group did welcome the continued availability of full mortgage interest for first time buyers who purchase their new homes in 2010.
Speaking in the immediate aftermath of Finance Minister Brian Lenihan’s Budget Speech, CIF Director General Tom Parlon said: "The Government's decision to target the capital investment programme is regrettable in light of the huge loss of employment already in the construction sector and the impact this is having across the wider economy.
"The fact that the cuts disproportionately affect the construction intensive elements of the programme is particularly disappointing from a jobs perspective."
He continued: "The capital budget for the period 2010 to 2013 has now been reduced by over €15bn as a result of measures over the last four budgets. In real terms, this means the cancellation of a large number of school building, social housing, water services and transportation projects.
"This will directly and significantly impact the future competitiveness of the economy and Ireland's ability to attract inward investment.
"The most immediate impact of the cutback, however, will be felt by the Exchequer. Over the last rwo years, 200,000 jobs have been lost in construction and its related sectors.
"A further 100,000 jobs are at risk because of the reduced level of both public and private investment.
"The CIF has repeatedly made the point that investment in construction offers the most immediate and most effective means of stimulating economic activity and protecting jobs and that this has been the tried and trusted approach adopted internationally.
"We regret the fact that the Government here has chosen instead to reduce its infrastructure spending," he said.
Referring to changes in the housing market, Mr Parlon said: "While disappointed that the Minister has indicated his intention to abolish mortgage interest relief in the longer term, the CIF does welcome the fact that he has provided a transitional period of 18 months for first time buyers.
"This means that first time buyers of new homes in 2010 will continue to qualify for maximum mortgage interest relief for purchases during the year."
See: Budget Cuts Capital Projects
(NS/BMcc)
However, the lobby group did welcome the continued availability of full mortgage interest for first time buyers who purchase their new homes in 2010.
Speaking in the immediate aftermath of Finance Minister Brian Lenihan’s Budget Speech, CIF Director General Tom Parlon said: "The Government's decision to target the capital investment programme is regrettable in light of the huge loss of employment already in the construction sector and the impact this is having across the wider economy.
"The fact that the cuts disproportionately affect the construction intensive elements of the programme is particularly disappointing from a jobs perspective."
He continued: "The capital budget for the period 2010 to 2013 has now been reduced by over €15bn as a result of measures over the last four budgets. In real terms, this means the cancellation of a large number of school building, social housing, water services and transportation projects.
"This will directly and significantly impact the future competitiveness of the economy and Ireland's ability to attract inward investment.
"The most immediate impact of the cutback, however, will be felt by the Exchequer. Over the last rwo years, 200,000 jobs have been lost in construction and its related sectors.
"A further 100,000 jobs are at risk because of the reduced level of both public and private investment.
"The CIF has repeatedly made the point that investment in construction offers the most immediate and most effective means of stimulating economic activity and protecting jobs and that this has been the tried and trusted approach adopted internationally.
"We regret the fact that the Government here has chosen instead to reduce its infrastructure spending," he said.
Referring to changes in the housing market, Mr Parlon said: "While disappointed that the Minister has indicated his intention to abolish mortgage interest relief in the longer term, the CIF does welcome the fact that he has provided a transitional period of 18 months for first time buyers.
"This means that first time buyers of new homes in 2010 will continue to qualify for maximum mortgage interest relief for purchases during the year."
See: Budget Cuts Capital Projects
(NS/BMcc)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
11 April 2024
NI Firms To Attend National Construction Summit In Dublin
Hundreds of construction companies and experts are set to travel to Dublin next week for the annual National Construction Summit at the Sport Ireland Campus, Blanchardstown.
NI Firms To Attend National Construction Summit In Dublin
Hundreds of construction companies and experts are set to travel to Dublin next week for the annual National Construction Summit at the Sport Ireland Campus, Blanchardstown.
26 November 2001
Minister consults on open-ended investment companies
The Minister for Enterprise, Trade and Investment has pledged a commitment from his department to providing a modern financial services regulatory framework in Northern Ireland relevant to the needs of local investment firms and investors.
Minister consults on open-ended investment companies
The Minister for Enterprise, Trade and Investment has pledged a commitment from his department to providing a modern financial services regulatory framework in Northern Ireland relevant to the needs of local investment firms and investors.
14 October 2010
Construction Jobs At Risk From Cuts, SBF Warns
Projected cuts to Scotland's capital investment budget could lead to the loss of 47,000 jobs from the Scottish construction industry, the Scottish Building Federation (SBF) has warned.
Construction Jobs At Risk From Cuts, SBF Warns
Projected cuts to Scotland's capital investment budget could lead to the loss of 47,000 jobs from the Scottish construction industry, the Scottish Building Federation (SBF) has warned.
07 June 2019
Belfast Hosts International Construction Conference
Over 400 delegates gathered at the Crowne Plaza Belfast today, Friday 07 June, for Northern Ireland's largest digital construction conference.
Belfast Hosts International Construction Conference
Over 400 delegates gathered at the Crowne Plaza Belfast today, Friday 07 June, for Northern Ireland's largest digital construction conference.
29 September 2009
Devolved Capital Investment 'Jump'
Northern Ireland's Finance Minister has highlighted the huge growth in capital investment overseen by the Executive. Sammy Wilson was speaking after meeting with representatives from the Construction Industry Group for Northern Ireland (CIGNI).
Devolved Capital Investment 'Jump'
Northern Ireland's Finance Minister has highlighted the huge growth in capital investment overseen by the Executive. Sammy Wilson was speaking after meeting with representatives from the Construction Industry Group for Northern Ireland (CIGNI).
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
