Dáil Éireann Debate, Thursday - 16 April 2026
306. Deputy Peadar Tóibín asked the Minister for Health the reasons for the ongoing delay and massive cost overruns at the National Children's Hospital (details supplied); and if she will make a statement on the matter. [28445/26]
View answerOpening the National Children’s Hospital Ireland (NCHI) is a Government priority. Everything possible is being done to ensure this world-class hospital will open as quickly as possible, on behalf of children, young people, and their families.
The Minister for Health has been clear that the responsibility for committing to, resourcing, and delivering this project sits squarely with BAM Ireland, and the State will not reduce the pressure or dilute that accountability. The State cannot accept a hospital that is not completed to the correct standards.
In February 2026, BAM submitted a programme of works, with a Substantial Completion date of 30 April 2026. While initially deemed compliant with the contract by the Employer’s Representative, the independent body responsible for administering the contract, it was ultimately found to be non-compliant, as BAM Ireland failed to deliver works as committed.
On 24 March, BAM informally advised the National Paediatric Hospital Development Board (NPHDB) that it expects to meet the substantial completion “standard” by 30 April but with some exceptions to areas and operational systems. Crucially this does not represent substantial completion as BAM had previously committed to achieve by that date. This will be the 19th time BAM has shifted its Substantial Completion date over the last 6 years.
On 27 March, the Employer’s Representative (the independent third party responsible for administering the contract), requested BAM to submit a new programme. The NPHDB has advised that this has yet to be provided by the contractor.
The largest factor contributing to delays on the project is BAM Ireland’s continued failure to manage and supervise project execution on site and its failure to resource the project appropriately. BAM Ireland continues to fall behind its own programme and is not delivering against additional Key Performance Indicators (KPIs) monitored by the NPHDB.
Achieving Substantial Completion is essentially a ‘volume exercise,’ to complete over 5,700 rooms. To date 3,118 of 5,728 rooms are at contract standard (c.54%). If BAM Ireland continually misses its room completion targets, then it is clear that it needs to increase resources to turn that slippage around.
The project is close to completion, but we now what is needed now is need certainty, productivity, and delivery from BAM.
BAM have consistently suggested that significant design changes have contributed to delay. This is simply a distraction from the reality of under-resourcing and poor progress by BAM. The Contract clearly sets out that both NPHDB and BAM (and its subcontractors) have design responsibilities. This is standard practice on public works projects and is intended to be a collaborative process.
NPHDB has been clear that there have been no substantive changes to design since the contract was signed with BAM. The most significant changes have been driven by BAM, with the NPHDB accommodating them to support delivery.
Since 2019, the NPHDB Design Team has issued approximately 23,500 drawings and documents, whereas BAM has issued approximately 27,000. Since October 2024, BAM has issued 1,388, compared with 296 from the NPHDB Design Team. Many of BAM’s submissions require the Design Team to revise its own drawings. Of the limited number of changes made by the NPHDB Design Team, the majority have been necessary to meet statutory, regulatory, and clinical requirements—such as fire safety, accessibility, and clinical updates.
BAM was fully briefed on the design, and BAM was paid over €10 million in relation to the Pre-Phase B Engagement process to work closely with the NPHDB design team to ensure it had all the information necessary to integrate its own products and systems and to programme the works correctly.
The NPHDB continues to engage with BAM and is using every lever available to it, through the Courts and contractual mechanisms, to ensure BAM is held accountable and delivers substantial completion. The NPHDB has exercised its contractual entitlement to withhold 15% of payments to BAM Ireland because of its failure to supply a compliant programme. Separately, the NPHDB is exercising its entitlement to Liquidated Damages – currently c.€40m and rising. The NPHDB has also continued to robustly defend any claims from BAM that it deems inappropriate or without merit and has successfully requested that claims at the High Court are entered into the fast-track Commercial Court to ensure timely resolution. Claims and legal actions will not delay the opening of the NCHI.
