Minister Pascal Donohue has come under fire after it was revealed that precast products made from ready-mix concrete are being inadvertently charged the defective concrete blocks levy (DCBL).

On 18 October 2022, the minister announced that the levy was cut from 10% to 5%, with the levy to be charged on poured concrete (ready-mix) and concrete blocks only.

The understanding now is that precast materials manufactured from ready-mix concrete will see their prices increased due to the levy being placed on the ready-mix concrete.

Increase

One slat manufacturer, which supplies ready-mix concrete, has told the Irish Farmers Journal that it is faced with increasing the price of slats by 3.5% to cover the 5% levy cost.

Cattle slats, underpass culverts, precast panels, fence posts and drainage pipes manufactured from ready-mix are set to increase by 3% to 4% as manufacturers state that they are unable to foot the cost.

Speaking last Friday, Sinn Féin’s financial spokesperson Pearse Doherty condemned the levy and called for its scrappage.

“This is ultimately a tax on new homes, which will push up building costs and house prices.

"In October, Minister Paschal Donohoe made repeated claims that the levy excluded precast products - from blocks and paving to lintels and posts. These claims were false.

"It was clear as soon as the finance bill was published that this was not the case and that poured concrete, a key element of precast products, would be subject to the levy.

"The Government should scrap this flawed levy, which will increase construction costs and house prices.’’