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The Construction Contracts Act 2013 (the CCA 2013) gives parties to a construction contract a statutory right to refer a dispute relating to payment to adjudication. However, since the commencement of the CCA 2013 in July 2016, a lack of clarity has existed as to what constitutes a dispute relating to payment.  

This lack of clarity has been addressed by the decision of Simons J of the High Court in Albert Connaughton v Timber Frame Projects Ltd t/a Timber Frame Ireland [2025] IEHC 469.  The judgment will have consequences for employers, main contractors and subcontractors both in respect of:

  • the disputes that they may considering referring to adjudication, and
  • the negotiation of certain contractual terms

The Background

The parties had entered into a bespoke construction contract for the design, supply and erection of a timber frame structure. The contract was described as “sparse” compared to the detailed terms found in standard form contracts (such as the RIAI, NEC or JCT forms). Notably, it made no provision for termination payments.

The Employer purported to terminate the contract, alleging repudiatory breach and seeking common law damages after the Contractor allegedly failed to erect a timber frame house by the completion deadline. The Employer was successful at adjudication and obtained a monetary award in its favour for recovery of the purchase price paid as well as for its consequential losses. It then sought to enforce this award in the High Court.  

The Contractor sought to resist the enforcement application on three grounds:

  1. the adjudicator lacked jurisdiction as this was a dispute relating to payment that did not have its basis in a particular term under the contract;
  2. the adjudication process did not comply with fair procedures; and/or
  3. the underlying contract was tainted by illegality because the proposed erection of the timber structure would have involved a breach of planning permissions.

The Contractor was successful on the first of these three grounds. While this judgment covers a variety of different issues, it is the issue of what constitutes a dispute relating to payment that is the focus of this article.  

The Decision

In determining the core question as to what is a “dispute relating to payment” that can be referred to adjudication, the Court held:

“the right to refer a dispute to statutory adjudication is confined to circumstances where the dispute relates to a payment which is provided for under contract. The referring party must either be asserting or resisting a claim to be paid an amount which is provided for under the construction contract, i.e. a payment which is expressed or stipulated in the terms of the contract.”

In short: a dispute can only be referred to statutory adjudication if that dispute relates to a payment that is expressly provided for under the contract. A dispute relating to the payment of amounts that may be owed in relation to the contract, but which are not expressly provided for in the contract (for example, a common law claim for damages for a repudiatory breach of the contract) cannot be referred to adjudication.

The Impact

While there was judicial commentary regarding the practical application of the CCA 2013 in other respects (namely, whether the service of a payment claim notice is a prerequisite to a subsequent referral to adjudication and the extent of any monetary claim that a paying party (i.e. an Employer or Contractor) under a construction contract may be able to pursue in adjudication against its counterparty) the real impact of this judgment is around its pronouncements on payment disputes.

This judgment will have both immediate and long-term consequences for parties to construction contracts. In the immediate term, the judgment brings welcome clarity as to the question of what constitutes a payment related claim that can be referred to statutory adjudication. This is likely to inform and affect the dispute resolution strategies that parties adopt going forward.

In the medium to longer term, the decision is likely to impact upon parties’ negotiation of their construction contracts with an increased focus on terms related to contractual damages (such as in the context of termination) and the right of a paying party to set-off certain costs against amounts that it owes to its counterparty.

For further information in relation to this topic or any related matter, please contact Clare Cashin, Partner, Paul McNamee, Associate, Eibhlín Clinton, Solicitor or your usual contact on the Construction & Engineering team.

The Irish Government yesterday published its Review of the National Development Plan (NDP), which outlines a record €275.4 billion infrastructure investment programme through to 2035. Central to this is the delivery of 300,000 new homes by 2030, underpinned by significant investment in enabling infrastructure, particularly water, energy and transport.

This note highlights the key housing-related measures contained in the revised NDP.

Direct housing investment and delivery targets

The revised NDP allocates €35.955 billion to the Department of Housing, Local Government and Heritage, the largest sectoral allocation under the plan. Of this, €28.275 billion is allocated to housing and €7.68 billion to water.

The plan states that the largest component of the capital allocation for housing will provide for:

  • the Programme for Government commitment to deliver 12,000 new-build social homes annually (2026–2030); and
  • a new Starter Homes Programme aiming for 15,000 units per year, supporting home ownership.

Infrastructure to unlock housing supply

Housing delivery is expressly linked in the plan to large-scale investment in supporting infrastructure, as follows:

  • Water: €7.68 billion via the NDP and a further €4.5 billion in Government equity funding for Uisce Éireann, broken down between:
    • €2 billion in 2025 to facilitate additional capacity for housing development and compliance with EU water standards; and
    • €2.5 billion earmarked for 2026 to 2030, specifically to support large-scale water infrastructure projects.
  • Energy: €3.5 billion in equity funding to ESB and EirGrid to expand electricity transmission and distribution network infrastructure.
  • Transport: €22.33 billion, including provision for Metrolink and active travel.

Each of these investments are intended to deal with infrastructure deficits which are currently perceived to be causing bottlenecks to residential delivery. These allocations will enable forward planning, zoning, and investment decision-making for development land.

Key Legal and Regulatory Developments

Planning reform: Planning and Development Act 2024

The revised NDP calls out the importance of the broader reforms to the planning system which are underway, and in particular the Planning and Development Act 2024, referencing key reforms such as:

  • Clearer pathways and timeframes for planning consents;
  • Reform of judicial review processes;
  • Extended ten-year development plan cycles with mid-term reviews; and
  • Mandatory alignment with National Planning Statements, replacing ministerial guidelines and aimed at ensuring consistency across planning decisions.

The stated intention of these reforms is to “enhance to enhance delivery certainty, reduce legal and procedural delays, and ensure that infrastructure projects can proceed in a timely and coordinated manner”.

Design standardisation and Modern Methods of Construction

In July, the Department of Housing, Local Government and Heritage published new guidelines mandating the use of standardised design layouts and specifications for all new-build social housing projects development by local authorities and approved housing bodies. These guidelines are expected to become operational in Q3 of 2025.

These guidelines are intended to support the simultaneous drive toward the adoption of Modern Methods of Construction, which the Government believes to be needed in order to mitigate the labour supply pressures experienced in the provision of housing.

The guidelines referenced above are separate and in addition to the Design Standards for New Apartments, also published this month, which have a broader application and also demonstrate the overall aim of aim balancing regulatory standards with increased housing output.

In conclusion

The 2025 NDP Review confirms the centrality of housing in national infrastructure planning and funding. However, it contains little detail on specific measures to be taken by the State in spending the various sums allocated. The Minister for Public Expenditure and Reform yesterday indicated that Minsters would “work on the specific sectoral plans and investment plans over the next five years”, and we will therefore have to wait for further meaningful detail on the potential opportunities presented for those operating within the housing market.

For further information, please contact Aoife Smyth, Knowledge Consultant, or your usual ALG Real Estate contact.

On 8 July 2025, the Minister for Housing, Local Government and Heritage and the Minister of State for Local Government and Planning jointly issued the Design Standards for Apartments, Guidelines for Planning Authorities (the Guidelines), pursuant to Section 28 of the Planning and Development Act 2000 (as amended) (Section 28). The Guidelines set out national planning policy for apartment development, reflecting current Government priorities and the revised legislative framework introduced by the Planning and Development Act 2024. They reaffirm the importance of a plan-led system informed by national policy.

Key provisions address apartment mix, internal space standards, dual aspect ratios, floor to ceiling heights, stair/lift core ratios, storage, and amenity spaces such as balconies and patios. The overall aim is to balance regulatory standards with increased housing output, ensuring quality while supporting viability.

The Guidelines apply to all planning applications submitted on or after 8 July 2025.

The legal status of Specific Planning Policy Requirements in the Guidelines

Section 28 requires planning authorities and An Coimisiún Pleanála to have regard to Ministerial Guidelines and to apply any Specific Planning Policy Requirements (SPPRs) set out therein.

“Have regard to” means that the planning authorities can depart from the Guidelines, provided they have taken them into account. However, where SPPRs are included in the Guidelines, they take precedence over any conflicting provisions in statutory development plans. In such cases, planning authorities are expected to amend their plans to ensure consistency with the Guidelines and decide planning applications in accordance with the SPPRs, pending any such amendments.

There are a number of SPPRs included in the Guidelines, relating to areas such as housing mix, apartment design standards and shared accommodation / co-living sectors.

Amending existing permissions: Government to enable retrospective adoption of new standards

The Government intends to allow developers to amend existing planning permissions to incorporate the updated 2025 Guidelines, without needing to submit entirely new applications. The Planning and Development (Amendment) Bill 2025, which was passed last week, introduces (at section 29) provisions that allow developers who have already secured planning permission to build smaller and more apartments in the same scheme, without submitting a fresh planning application, but rather by applying for a “permitted modification”, which the relevant planning authority must determine within eight weeks. These changes can be considered the first formal step toward streamlining the planning process for housing delivery and reducing regulatory friction for projects already in the pipeline.

For further information, please contact Alison Fanagan, Consultant, Alan Roberts, Partner, or Brendan Curran, Senior Associate, of our Environmental & Planning team.

Irish local authorities are due to have made all of their decisions on this year’s Residential Zoned Land Tax (RZLT) maps by 1 July. What steps can landowners take now to deal with an unfavourable decision?

RZLT is the tax introduced as part of the Government’s “Housing for All” plan, affecting residential and mixed-use land identified on an annually updated map, prepared by the local authority. Owners of land zoned for residential had the opportunity to make submissions setting out their reasons against inclusion of lands on the local authority RZLT maps. The deadline for these submissions was 1 April 2025. The relevant local authority must make its determination by 1 July 2025. The land owner has until 1 August 2025 to appeal the local authority decision regarding submissions. These appeals must be made to An Coimisiún Pleanála (formerly An Bord Pleanála).

It is important to understand the reasoning for the local authority determination. Often a local authority will issue a decision letter and there may be an underlying planner’s report but that may not be included with the letter. Requesting this planner’s report in the first instance is important.

The deadline for appeal is only one month and runs out over the summer months, when key personnel may be on leave. Early engagement with your development team and external planners and solicitors is key to making a strong appeal.

Once the appeal is lodged there is a notional decision date of 31 October for the appeal decision. Some local authorities issue earlier so keep an eye out for the decision. The only avenue for challenging an appeal decision is by way of judicial review. There is a 3 month deadline for judicial review of this decision.

Please see our webinar linked here for KnowledgePlus subscribers which provides an insight into the lessons learned by ALG’s taxreal estate and environmental & planning lawyers on RZLT. KnowledgePlus is available exclusively to A&L Goodbody LLP clients.

For more information, or to request access for you or your team, please contact Alison Fanagan, Consultant, Paul Fahy, Partner, James Somerville, Partner.or your usual ALG contact.

The Minister for Housing, Local Government and Heritage has announced a significant expansion of the Land Development Agency’s (LDA) mandate, aimed at enhancing the delivery of affordable and social housing across Ireland. This development follows a review by the Cabinet Committee on Housing and is intended to align with national planning priorities for sustainable urban and regional development.

Key Measures

The expansion of the LDA’s role will be advanced through six principal measures:

Active land management and private housing delivery

The LDA will further develop its land bank, adopting active land management policies and delivering private housing in suitable locations, in addition to its existing focus on social and affordable housing.

Geographical expansion

The LDA’s operational remit will be broadened to cover a wider geographical area, enabling the Agency to support housing delivery in more communities nationwide.

Unlocking strategic public lands

A focus will be placed on unlocking key strategic public lands, particularly urban brownfield sites, through targeted infrastructure investment to facilitate housing development.

Amendments to land transfer provisions

Provisions of the LDA Act relating to the transfer of lands from commercial state bodies will be amended to expedite the development of suitable sites for housing.

    Tax treatment of cost rental activity

    The LDA will collaborate with the Department of Finance to address the tax treatment of its cost rental activities, with a view to supporting the viability and expansion of affordable rental housing.

    Support for local authorities and master planning

    The LDA will provide enhanced support to local authorities, the newly established Housing Activation Office, and relevant government departments in master planning and infrastructure provision for new towns and districts.

    Implementation and Next Steps

    The Cabinet Committee on Housing has agreed in principle to these recommendations. Relevant Government departments, the LDA, and the Housing Activation Office will now work together to advance the necessary actions and develop detailed proposals for Cabinet approval and implementation.

    We will provide further information in due course but please feel free to direct any queries in the meantime to Aoife Smyth, Knowledge Consultant, or your usual ALG Real Estate contact.

    Photo of Síomha Connolly

    The Irish Government has officially launched the Modern Methods of Construction (MMC) Action Plan (the Action Plan) which maps out how the Government intends to adopt and embrace the use of MMC across the construction industry. This marks a key milestone in Government’s strategy to modernise the construction sector, expand housing capacity, and create sustainable, skilled jobs.

    The Action Plan is a cross-government initiative to modernise the construction sector, with a focus on innovation, efficiency, and sustainability. It arose from a report issued by the Expert Group on Future Skills Needs (EGFSN) which had been commissioned to assess the current and future skills requirements for the transition to MMC. Following the publication of the EGFSN report, the Department of Further and Higher Education, Research, Innovation and Science developed the Action Plan to target actions that can be taken to implement its recommendations. Input into the Action Plan spanned stakeholders across the construction industry, to include various Government departments, the Construction Industry Federation, the Royal Institute of Architects Ireland, technological universities and other education providers, and industry partners such as Cairn, Glenveagh and Sisk.

    The Action Plan includes 58 targeted actions, under the following 8 key themes, to accelerate the adoption of offsite manufacturing, modular systems, and digital construction tools:

    1. Senior management training;
    2. Information sharing;
    3. New roles and labour retention;
    4. Use of digital and AI tools;
    5. Certification;
    6. Early learning engagement;
    7. Policy levers; and
    8. Training provision.

    Watch this space for a more detailed review of the Action Plan and the recommendations which it makes. In the meantime, should you have any queries please contact Síomha Connolly, Associate, or your usual ALG Construction and Engineering contact.

    The Irish Government passed emergency legislation last week to extend rent pressure zones across the entire country, with effect from 20 June 2025.

    The Residential Tenancies (Amendment) Act 2025 extends rent pressure zones nationwide, with all residential tenancies now subject to a maximum annual increase in rent of 2% per annum or the rate of inflation (measured by reference to HICP), whichever is the lower. This extension applies until 28 February 2026, at which point the reforms referred to in our previous post will replace the existing rent pressure zone scheme in its entirety.

    Rent reviews are now also permitted nationwide on an annual basis – previously these were permitted only once every 2 years in areas outsides of rent pressure zones.

    We continue to await publication of a draft bill providing for the wider residential tenancy reforms promised by Government and will revert with further updates in this regard. Should you have any queries in the meantime, please feel free to contact Aoife Smyth, Knowledge Consultant, or your usual ALG Real Estate contact.

    The Irish Government has today announced its intention to introduce significant changes in the context of the residential rental market.. These are a combination of proposed reforms of rent controls, which the Government hopes to stimulate investment in PRS, and significantly enhanced tenancy protections.

    Key developments

    Under the proposed changes, different categories of rental properties will be subject to different treatment, with key distinctions emerging between large versus small landlords and between existing rental stock versus newly built properties.  Much detail remains unknown but, based on the Government announcement issued just after 1pm today, we have set out below our high-level summary of what is proposed for large landlords. Owners with three or less units will be subject to different, more relaxed measures.

    Next steps

    As with any new policy proposals, the devil will ultimately be in the detail and we await publication of the draft legislation required to give effect to these reforms, which the Government indicates will be published in the coming weeks. We will continue to monitor these and related developments. 

    In the meantime, should you have any queries please contact Aoife Smyth, Knowledge Consultant, or your usual ALG Real Estate contact.

    Setting of rent on grant of new tenancySetting of rent on reviewTenancy termination (applicable to new tenancies entered into from 1 March 2026)Key items requiring further clarification in legislation
    Existing property in an RPZ and subject to an existing tenancyNew provision.

    Landlords will be permitted to reset rents to prevailing market rates between tenancies. However, this will only be possible where a tenant has either left voluntarily or is in breach.
    No change.

    Current RPZ rules continue to apply, with rent increases for reviews under existing tenancies capped at 2% per annum or in line with inflation, whichever is the lower.
    New provision.

    Enhanced tenant protections meaning landlords will not be able to end a tenancy where the tenant has complied with their obligations except in “very limited circumstances”.  These protections seem to be underpinned by a new statutory concept of six year rolling tenancies. 
    Unclear whether new RPZ rules take effect on 1 March 2026 or before.
     
    No clarity provided on what the “very limited circumstances” for termination will be.
     
    The full implication of the concept of statutory six year rolling tenancies is as yet unclear in the context of fixed term arrangements.
    New build property in an RPZ (being new development subject to a commencement notice to planning authorities on or after 10 June 2025)New provision. 

    Landlords will be permitted to reset rents to prevailing market rates between tenancies. However, this will only be possible where a tenant has either left voluntarily or is in breach.
    New provision. 

    Newly constructed rental properties are to be exempt from the existing RPZ regime which caps increases in rent at 2%. Instead, rent increases will be capped at the rate of inflation (CPI).
    New provision. 

    Enhanced tenant protections meaning landlords will not be able to end a tenancy where the tenant has complied with their obligations except in “very limited circumstances”. These protections seem to be underpinned by a new statutory concept of six year rolling tenancies.
    It appears from today’s announcement that the definition of “new build” is limited to apartments.
     
    See issues raised above also.
    Existing property in the balance of the country not currently designated as RPZsNew provision. 

    Landlords will be permitted to reset rents to prevailing market rates between tenancies. However, this will only be possible where a tenant has either left voluntarily or is in breach.
    New provision. 

    Current RPZ rules are to be extended to cover these areas, such that rent increases for existing stock countrywide are to be capped at 2% per annum or in line with inflation, whichever is the lower.
    New provision. 

    Enhanced tenant protections meaning landlords will not be able to end a tenancy where the tenant has complied with their obligations except in “very limited circumstances”. These protections seem to be underpinned by a new statutory concept of six year rolling tenancies. 
    Currently rent review frequency in  these areas is limited to every 2 years – query whether this will be brought in line with current RPZs (i.e. permitted annually).
     
    See issues raised above also.

    Ireland’s revised National Planning Framework (NPF) was recently approved by the Government, and (subject to Oireachtas approval) will set the strategic vision for Ireland’s growth and development out to 2040.

    This is the first revision of the National Planning Framework as required under the Planning and Development Act 2000 (as amended). There is substantial overlap between the first and the revised NPF, and indeed the overarching National Strategic Outcomes remain the same. But there have been some key changes to the detail of these strategic outcomes that reflect:

    • how Ireland has changed over the last five years
    • changes to Ireland’s legislative and regulatory frameworks
    • some real imperatives in terms of housing.

    Housing

    The revised NPF targets the delivery of 50,000 new homes a year, doubling the previous goal set by the first NPF. Whilst this is a significant increase in ambition, the overarching NPF strategy in relation to housing largely remains the same. What has changed is that where the first NPF set out ideas or goals for new regulation, policy and legislation to support the strategy, the revised NPF fills in some blanks with the actions of the Government over the past seven years.  In that respect, the revised NPF (and the subsequent guidance the Government intends to provide) provides a more concrete roadmap for how Ireland might achieve this ambitious housing goal.

    National Strategic Outcome 1 – Compact Growth provides a clear example of this shift. In the years since the first NPF, the Government has established the Urban Regeneration and Development Fund and the Rural Regeneration and Development Fund. Outcome 1 has also been expanded to include the Residential Zoned Land Tax, which comes into effect in 2025 and aims to activate suitably zoned and serviced land for development. Similarly, the first NPF set out the Government’s objective to establish a strategic and centrally-managed approach to realising the development potential of state owned/influenced lands – and now, with the Land Development Agency fully operational, the revised NPF provides a specific Objective for the LDA’s role in the future.

    There are some completely new additions to the overall strategy – for example, an increased focus on how to evaluate land for zoning. Local authorities should not zone land for development if it cannot be serviced within the life of the relevant plan. Given the last zoning update was 2022/2023, there may be a question of whether an interim rezoning is now required. As expected, the revised NPF refers to the Planning and Development Act 2024, and expects that it will provide key legislative tools to achieve Ireland’s housing goals.

    For further information in relation to this topic, please contact Brendan Curran, senior associate, Alan Roberts, partner, Alison Fanagan, consultant, Jason Milne, partner or any member of ALG’s Environmental & Planning team.

    The Planning and Development Act 2024 (the 2024 Act), signed into law on 17 October 2024, represents a significant overhaul of Ireland’s planning system.  The 2024 Act aims to enhance clarity, improve consistency, and increase confidence in the planning system.  Key reforms include mandatory decision-making timelines, reorganisation of An Bord Pleanála, alignment of plan-making tiers, and changes to the judicial review process.  On 4 March 2025, the Department of Housing, Local Government and Heritage (the Department) published an implementation plan to set out the phased commencement of the 2024 Act.  

    Phased Commencement

    The 2024 Act will be commenced on a phased basis, with the existing provisions of the Planning and Development Act 2000 (the 2000 Act) remaining in place until the relevant provisions of the 2024 Act are commenced and the corresponding provisions of the 2000 Act are repealed. The 2024 Act includes a number of ‘transitional provisions’ which will be important in navigating this period of transition. The phased commencement is divided into four blocks (A, B, C, and D).

    Block A (early Q2 2025): Aspects of the 2024 Act covered in this first commencement stage are to include the following: concept of Development in section 15, Chapters 1 & 3 of Part 9 relating to judicial review, Part 16 (Events and Funfairs) and Part 17 providing for the establishment of An Coimisiún Pleanála.

    Block B (mid-2025): The second commencement phase will include the following: Part 3 (Plans, Policies and Related Matters), Chapters 1 & 2 of Part 6 (Environmental Assessments), Chapter 1 of Part 7 (Housing Strategy and Supply), Part 18 (Office of the Planning Regulator) and Part 22 (Urban Development Zones).

    The remaining sections of the 2024 Act will be commenced in Blocks C and D with further details as to timing to be provided once Blocks A and B have been commenced.

    The commencement timeline will be updated regularly and confirmation of specific dates will be issued in advance of any provisions coming into effect.

    Revised Planning and Development Regulations

    In September 2023, the Department began examining existing regulations to identify alignment with the new Act, any new regulations required, and the scope of work needed.  This task was substantial, involving over 100 existing regulations amounting to approximately 1,200 pages.  The review identified areas needing major revision or entirely new regulations, while many existing regulations require updates to reflect the structure and language of the new Act. It is envisaged that revised Planning and Development Regulations (the Regulations) will be finalised to align with the commencement of the relevant provisions of the 2024 Act which they support.

    The proposed structure of the Regulations is detailed in a table within the implementation plan.
    Public consultation will be undertaken for certain regulations, including exempted development regulations and EIA screening threshold regulations.  Regulations dealing with the new judicial review legal costs regime under Part 9, Chapter 2 are the responsibility of the Department of Climate, Environment & Energy.

    Conclusion

    The commencement of, and transition to, the 2024 Act is a task of “considerable scale and complexity” and the publication of the phased implementation plan is to be welcomed. The Department recognises the imperative of ensuring a smooth transition to the new planning regime.  It is envisaged that the Department will have a dedicated website for the rollout of the 2024 Act and the associated revised regulations which will include commencement information, general guidance material, updated commencement schedules etc. On 7 March 2025, the Department published a helpful Correlation Table listing each section of the 2000 Act and identifying a section, or sections, of the 2024 Act which corresponds closest to that provision. Our Environment & Planning Team will provide further updates as commencement of the 2024 Act proceeds.

    For further information in relation to this topic, please contact Alison Fanagan, Consultant,  Alan Roberts, Partner, Jason Milne, Partner, Rachel Kemp, Senior Knowledge Lawyer, or your usual ALG Environmental & Planning contact.