Dáil Éireann Debate, Thursday - 21 May 2026
130. Deputy Peter Roche asked the Minister for Rural and Community Development and the Gaeltacht if consideration is being given to introducing a cost-escalation or inflation support mechanism for approved community projects under schemes such as the Community Centre Investment Fund and CLÁR where projects face significant increases in construction and material costs between approval and delivery; and if he will make a statement on the matter. [38264/26]
Amharc ar fhreagraMy Department implements a wide range of schemes that have supported thousands of individual capital projects throughout the country in recent years, including through CLÁR and the Community Centre Investment Fund (CCIF).
I am acutely aware that cost pressures have created challenges for community groups seeking to complete approved projects within the original funding allocations. Many of the projects approved under the CLÁR programme or for refurbishment works under the most recent round of the Community Centre Investment Fund are smaller in nature and can be delivered in a relatively short time period.
This mitigates against some of the impact of inflation, yet it can still be a challenge for community groups to manage within the funding provided. While approved funding amounts cannot be increased for these projects, my Department works flexibly with groups delivering CLÁR and CCIF projects so that the scope of the project can be adjusted in the event that the costs have increased significantly.
In the case of CCIF new build community centres, which are larger in scale, my Department works with the lead body responsible for delivering the project to address challenges as they arise. These projects are allocated an 'approval in principle' amount of funding at approval stage. Each project subsequently goes through a series of approval decision gates before and after the tender process, with the level of funding only confirmed post tender. This ensures that the final approved funding amount reflects the full cost of delivery as confirmed through the public procurement process and takes account of any market changes in the period since the project was first approved.
