Leitrim councillor calls for zero VAT for a year to “kickstart the construction industry”

Cllr Felim Gurn said that the construction industry and house building has stalled recently because of construction costs involved for first time builders or those completing a self-build. VAT rates are 23% or for self-build 13.5%.
He said the average house build is €375,000 and if “the VAT rate was zero, it would reduce the costs for a self-build by €86,000 or €50,000 on a contractor build and it would incentivise more house building.”
Cllr Gurn called on the Minister of Finance, therefore, to remove VAT on house building projects for a period of one year, this measure would bring down the cost for building and be a quick solution to our housing problem.
He said that the big issue on the doorsteps is “housing and it's something in Leitrim that hasn't been sorted out in the ten years I've been on the council. It's a huge issue going forward. In our towns, there is no social housing being built and the last housing estates were built in 2007.”
He said the government is “roughly making €100,000 between the charges and the VAT of a house.”
He said he was told that “developers are not even going to banks and instead are going to pension funds, vulture funds and investors.
“What we're seeing is no activity whatsoever in the housing market. There are jobs here but we have a serious housing crisis. I'm suggesting that there is zero VAT for a year to kickstart the Irish construction industry.”
Cllr Des Guckian seconded the motion and said VAT should be abolished.
Cathaoirleach Cllr Justin Warnock suggested sending the motion to other local authorities.