FIFTY FIVE percent of workers in Limerick fear they will never afford a home of their own.
That was one of the stark findings of Limerick Chamber’s Employee Housing Survey, conducted with more than 700 workers across the county, which was presented to elected members of Limerick City and County Council last week, shedding light on the difficult realities for workers locally.
The research, the first of its kind in Limerick, underscores growing disconnect between the strong demand for homeownership – as well as affordable rental options – and the limited options in the local market.
The Chamber’s survey highlights the acute demand for affordable housing in Limerick, with 94 per cent of responders expressing a desire to own a home and affordability ranking as their top priority.
Almost 72 per cent of those surveyed were living with their parents or family, and have been doing so their entire lives – with the largest cohort (49 per cent) those aged 24 to 34.
Limerick Chamber’s findings also indicate that those in the rental market are more unhappy than those living at home with family – with just 28 per cent of people renting feeling positive about their current situation, compared to 40 per cent of those living a home.
Rents in Limerick City, according to the Chamber, now stand 98 per cent higher than in 2019, with county rents up 88 per cent over the same period.
The report also stated that 86 per cent of respondents living at home or rent believe a housing emergency should be declared, compared with 65 per cent of homeowners.
The Chamber stressed to Limerick City and County Council at its recent monthly meeting that, without a step-change in housing supply, Limerick risks undermining both its economic growth trajectory and its attractiveness for investment.
“The message from Limerick’s workforce is clear; people want to build their lives here, but the housing system is failing to meet that aspiration. Within planning permissions and commencements falling sharply in 2025, we are looking at a pipeline that is simply inadequate to the scale of demand,” said Limerick Chamber CEO Michelle Gallagher.
“Businesses are increasingly concerned that housing shortages will constrain their ability to attract and retain talent. Government and policymakers must urgently address supply-side blockages and ensure that affordability is at the heart of housing delivery.”
Increase in social housing applications
Speaking at the meeting, Independent councillor Ursula Gavan called on government to urgently increase income thresholds for local authority housing.
Cllr Gavan said there has been a significant increase in applications for social housing, especially from younger and single people. This was mainly driven, she explained, by an increase of about 10 per cent in applicants aged under 26, and a 7.4 per cent increase in applicants aged 25 to 29.
The City East representative pointed to an increase in single adult applications, up by 2,670, or eight per cent, on 2023. Fewer applicants are renting – down by 10 per cent on 2023 – with more living at home with their parents (up by four per cent).
Commenting on the Chamber’s figures Cllr Gavan said these increases “increases are further proof of government failure when it comes to tackling the housing crisis. But what’s really worrying is that there is a huge additional cohort of working people excluded from applying for social housing due to the low income thresholds currently in place.”
“Thresholds can be as low as €30,000 and top out at €40,000 per family. This leaves thousands of working people trapped in a spiralling rental market where tenants are fleeced with no prospect of ever being able to save for a house of their own.”
Social Democrats councillor Shane Hickey-O’Mara, himself in the 18 to 34 demographic, told Council members that most of his own friends are immigrating because, even after getting mortgage approval, they cannot find a property to buy.
“I’m also working with this demographic as a psychotherapist and the housing precarity comes into the room so often. It’s so distressing to watch what young people have to go through,” he said.
A national housing emergency
Fine Gael councillor Tom Ruddle took the view that banks are not lending enough money and are making it more difficult for young people to get a mortgage.
“To be honest, I think there should be a national housing emergency,” Cllr Ruddle added.
Sinn Féin councillor Sharon Benson called for emergency measures from the local authority and at national level to tackle the housing issue.
Cllr Stephen Keary (FG) said the biggest killer in terms of new housing is the level of VAT, suggesting the current 13.5 per cent rate be reduced significantly to six or seven per cent.
“This would make a huge help to a first-time buyer in trying to procure a house themselves,” he said.
“Limerick is quite a big county outside of the city. You have west of Patrickswell all the way to Abbeyfeale. There’s a fairly substantial and well-educated workforce that would be available for work in many different areas. There would be land availability in every field in Rathkeale and Newcastle West, and it might be something you consider into the future,” he told the Council executive.
Cllr Liam Galvin (FG) said that the “nuts and bolts” of the problem lay in the fact the local authority simply doesn’t have enough houses, calling for a speeding up of delivery.
“There’s lots of reasons why we don’t have enough houses. One of them is within this local authority and the process of a Part 8. When we have drawings finalised and finally agreed with public representatives, the time that has gone by before it has passed and gone on public display – the bureaucratic red tape – is just phenomenal,” Cllr Galvin declared.
“Where there’s a will, there’s a way. But in my opinion, there’s no will to rectify bureaucracy.”
Council director general Dr Pat Daly told Council members that he considered the findings of the Chamber’s survey to be “very sobering”.
Mayor John Moran called on councillors in the Housing Strategic Policy Committee to work with him to develop an actual plan for housing. He also told members that he does not currently see a path to enough houses in Limerick.
“What this shows to me is a need for a lot of different types of housing, and unless we are working through a plan to deliver that, if we need to put additional resources in place, we need to do that,” said Mayor Moran.
“There’s no point playing on the fringes of this. There’s a serious problem. I was going to ask for a housing emergency declaration today, but if we already had it two years ago, I don’t know what another one would actually do.”
Funded by the Local Democracy Reporting Scheme.
