In a policy shift aimed at unlocking housing supply nationwide, the Government has directed local authorities to urgently rezone land for residential development, amid growing warnings from the construction sector that homebuilders are fast running out of land to build on.

The new Section 28 Planning Guidelines, issued by Housing Minister James Browne and Planning Minister of State John Cummins, instruct councils to update their housing targets in line with the revised National Planning Framework (NPF). Based on updated population modelling from the ESRI, the guidelines call for planning provision for 55,000 new homes per year, rising to 83,000 annually when a new “headroom” flexibility of 50% is factored in.

The Construction Industry Federation (CIF) and its housing arm, the Irish Home Builders’ Association (IHBA), have welcomed the move, calling it a ‘critical lever’ to get housing delivery back on track.

“We very much welcome today’s announcement,” said Conor O’Connell, CIF’s Director of Housing and Planning. “Most housebuilders are reporting they are running out of zoned land. The current supply is artificially constrained by outdated population projections from 2016.”

According to the Government, the new zoning targets—effective to 2034 and informing longer-term planning out to 2040—will be embedded into local authority development plans. Ministers are also mandating immediate review and revision of these plans to reflect the new housing demand figures.

“We need to see a significant step change in the delivery of housing in Ireland,” said Minister Browne. “It is imperative that local authorities now commence the process of revising their development plans to ensure sufficient zoned and serviced land is available for housing.”

The CIF, which has consistently argued that land shortages and sluggish rezoning have hampered supply, is urging councils to act swiftly—and for utility providers to do the same.

“Land is the raw material for housebuilders,” O’Connell added. “But land must also be serviced. The recent increase in National Development Plan funding for Uisce Éireann, Eirgrid and other infrastructure bodies must now translate into timely delivery on the ground.”

The Guidelines acknowledge that not all zoned land is developed during a plan period, hence the provision for an additional 50% headroom in zoning. Minister Cummins said this flexibility is key to enabling delivery:

“The Guidelines enable local authorities to apply headroom of up to 50%—a recognition that a significant proportion of zoned land often remains inactive over the lifetime of a plan. Councils now have clarity and scope to act.”

For the CIF, the zoning update is not just about numbers, but implementation. O’Connell stressed the importance of political will at local level: “Housing is our number one national priority, and this must be reflected in how councillors and local authority officials follow through. The focus must now be on delivery.”

In tandem with the planning changes, the Government is also rolling out complementary measures: launching An Coimisiún Pleanála to accelerate planning decisions, introducing legislation to extend expiring planning permissions, and establishing a Housing Activation Office to tackle bottlenecks.

Minister Browne also committed to quarterly publication of social housing delivery stats and tighter oversight of zoned and serviced land to ensure availability is not a barrier to planning.

As the country continues to face acute housing demand, the zoning reforms mark a major shift in how land supply is governed—and signal a new phase of urgency in national housing policy.

Follow Irish building magazine on LinkedIn for the latest news and updates