It seems everyone was rightly targeting energy firms for making large profits recently but what about the major house builders?
Both Cairn and Glenveagh reported over doubling of profits over the past year as the price of new builds goes up.
How come they aren’t coming under the same pressure?
I’m sure over time we’re going to see all the major food retailers making record profiles due to prices rocketing due to ‘inflation’…

https://www.rte.ie/news/business/2023/0302/1359775-cairn-homes-2022-results/#:~:text=Cairn%20Homes%20today%20reported%20revenues,from%205.8%20cent%20in%202021.

https://www.rte.ie/news/business/2023/0301/1359545-glenveagh-properties-2022-results/

9 comments

  2. This is more of the bullshit kneejerk reactions that has us as a nation repeatedly shooting ourselves in the foot.

    Do you want more houses to be built? Or less houses to be built?

    The bloody minded attitude of “I want loads of housing to be built, but I don’t want the people building them to make profits” is absolutely fucking stupid.

    It’s right up there with the lads who massively stalled the number of units on the market because they didn’t like “The foreigners paying for the construction”

    Private landlords are being forced out of the market at the moment.
    Quite a lot of construction companies are already starting to leave the domestic construction market because capital investment has been restricted.

    And now you’re thinking it’s a good idea to restrict the amount of profits that the construction companies that are still left can earn?

    It’s like people with this attitude literally want the housing crisis to be worse!

  3. Glenveaghs revenue and profit rose by similar levels (35% & 38%) and their unit numbers increased by 50%

    Would you prefer their output decreased?

  4. Selling more houses and making more profit as a result is not the same as energy companies price gouging.

    Cairn’s Gross Margin did increase but only by 1.9%

  5. The cost of land takes a huge chunk out of the profit, we’re in a national emergency it’s time to CPO land from speculators for a fair price to the state and tell the developers that they’re getting X margin take it or leave it

  6. I came here to comment “SSShhh you’ll make the backbenchers angry” but judging by the comments you just made everyone else on r/Ireland angry

  7. I don’t think the issue is that these companies make a profit. It’s that the state could be backing more non-profit developers to build a lot of houses at cost price. Then these could be rented or sold to people struggling to afford market rates.

    Let the private developers work in the level of the market they want to but cut off the tax incentives. Divert that money into building affordable housing more directly, not into renting or buying from the private market.

    Plenty of people can afford market rate houses without the need for a help to buy schemes. All it does is drive up prices. Give the assistance to the people that genuinely need it.

  9. Fucking great idea , lets tax the production of new houses. Which we desperately need and are incapable of producing in sufficient quantity.
    Galactic brain stuff here.

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