24/04/2009

NI House Building Is Still On Target, Despite Recession

Despite post-Budget belt-tightening and the latest round of redundancies, the NI Finance Minister Nigel Dodds has told a leading housing body that ambitious house building projects remain on track.

Mr Dodds was addressing the Northern Ireland Housing Council this week and said that, despite the recent shortfall in house and land receipts, the delivery of 10,000 social and affordable housing units by 2013 is still on course.

Mr Dodds was meeting with the Housing Council to look at the impact the downturn in the housing market has had on the social economy, construction industry and supply chain.

"Social housing continues to be a priority for the Executive and for me personally.

"Whilst our resources are finite and there are many competing demands, we are still on course to deliver the Public Service Agreement target of 10,000 social and affordable units by 2013," he continued.

Mr Dodds also commented on the issue of funding available to the housing sector in the current economic climate.

"The reduction in available funding has been a consequence of the wider economic climate and the loss of significant income from the sale of houses and land.

"My department is committed to continuing to work with the Department for Social Development as it develops options to address its shortfall in receipts from sales," he insisted.

However, 70 jobs will go today in a construction trade supplier.

Spanboard in Co Londonderry announced the news about today's redundancies at the plant three months ago.

Now, some 70 posts will go at the plant which has been employing 105 people.

The Coleraine firm's Portuguese owners, Sonae, blamed the job losses on the downturn in the construction industry and rising costs of raw materials.

This week too, the Quinn Cement factories in Fermanagh and Cavan are to close for a month due to a drop in demand.

Some 65 workers in Derrylin and Ballyconnell have been told not to return to work until mid-May.

In a statement, Quinn Cement said the production of bulk cement was suspended because storage facilities at the plant had reached full capacity. Production of bagged cement is continuing as normal. The company said all jobs at the plants were secure.

The news comes as textile workers in the Irish Republic met with management today at the German-owned Amann specialist textile plant in Tralee.

They were given the bad news that 210 workers are to lose their jobs.

In a brief statement issued after briefing staff this lunchtime, the company said the shutdown would be phased, with the spinning operation ceasing production by mid-July this year.

The company's 'twisting' operation will transfer to China over the following 12 months.

The company said the need to remain competitive in a very difficult, cost-sensitive market, combined with high labour and energy costs led to its decision.

It was previously announced in January that 120 jobs were to be transferred to other Amann group facilities in Romania and Germany.

The plant has been produceing high quality technical sewing threads for the automotive, fashion and textile industries.

(BMcC/JM)

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