The Government plans to build 10,000 social housing units by 2018 as part of a €2.2 billion capital investment package that could include private sector funding.
This would be the first major investment in housing by the State since the first austerity budget in 2009.
Minister for Public Expenditure and Reform Brendan Howlin announced the Government would contribute €1.5 billion in exchequer funding by 2017.
In addition, public private partnerships (PPPs) would be used to invest €300 million to fund 1,500 units by 2017, while an “off-balance sheet financial vehicle” would provide at least €400 million from 2015 onwards to approved housing bodies.
“The Government is determined to meet the scale of social housing need with a level of investment commensurate with the challenge,” Mr Howlin said in his Budget speech.
The Minister said more than €800 million would be spent next year on its housing programme, with €453 million on capital expenditure. This is expected to create up to 4,500 new construction jobs.
While the Government provided a number of details about its investment plans today, a broader social housing strategy covering the period up to 2020 will be announced in the next two weeks.