Lack of investment in infrastructure projects poses ‘risk to growth’, says business group
The lobbying group, which is Ireland’s largest chamber of commerce, representing 1,000 companies, is calling for an increase in investment into public transport, water infrastructure, energy and housing.
It pointed to ongoing delays in existing infrastructure projects, including Metro, Dart+, BusConnects, Uisce Éireann’s Eastern and Midlands Water Supply Project and the Greater Dublin Drainage Scheme.
.Dublin Chamber estimates that the Greater Dublin Area will be “without water within a decade” as demand rises due to a growing population and aging infrastructure.
It has called on the Government to provide Uisce Éireann with all necessary funding to begin the projects by January next year, with the aim of having both the extra water supply and drainage schemes completed by 2030.
“The population has exceeded all sorts of expectations and the idea of having an alternative water supply for Dublin has been around since the 1990s,” director of public and international affairs Aebhric McGibney said.
The GDA is now “excessively” reliant on the Liffey, which supplies 85pc of current water requirements.
“Dublin has a risk that if any of those reservoirs face difficulty, there will be a water shortage and then with the continued growth in population, Dublin will not have enough water within the next ten years,” Mr McGibney said.
The chamber of commerce pointed to a need for a revision of the Housing for All target to a minimum of 53,000 units a year.
Dublin Chamber said that half of these should be built in the Greater Dublin Area where around one million jobs are based.
“The growth in Dublin has been driven by internal migration and migration from overseas,” Mr McGibney said. “You see people moving further and further away from where their job is in order to be able to afford somewhere to either rent or somewhere to buy.”
He pointed to pent-up demand for those who would like to live closer to the city or in a commuter town but cannot afford it currently.
The Government’s target for this year is 33,450 new homes.
Dublin Chamber chief executive Mary Rose Burke also called for a review of the Residential Zone Land Tax to boost the availability of land zoned and serviced for housing.
“This must be reinforced with a commitment to servicing those areas with key infrastructure such as water, wastewater, public transport, energy and childcare as to not cause any delays in getting much needed housing on stream,” she said.
The organisation is also urging the Government to cut the cost of childcare by increasing the universal subsidy under the National Childcare Scheme from €2.14 to €2.70 an hour, while also boosting the capacity of facilities.
Dublin Chamber is also seeking a simplification of the enterprise tax scheme in Budget 2025. It called on the Government to reduce Capital Gains Tax for investments in unquoted actively trading SMEs from 33pc to 20pc to provide a “welcome funding stream for Irish small businesses”.
