CIH warns of ‘catastrophe’ as new home starts decline in Northern Ireland

The Chartered Institute of Housing (CIH) Northern Ireland has raised concerns over the drop in new home starts for the October to December 2025 period.

The latest statistics, published by the Department of Finance, revealed that 1,075 homes were started in the final quarter of 2025. This represents the lowest figure for new starts since 2013 and a 30% drop from Q4 in 2024.

Georgia Knapp, policy and public affairs manager at CIH Northern Ireland, said: “Alarm bells should be sounding for everyone in the housing sector as we look at the lowest number of new home starts since a post-recessionary period in 2013.

“Unfortunately, this downward trend may be a sign of things to come if action isn’t taken quickly - significant intervention is required to prevent a catastrophe in the housing sector in Northern Ireland.”

The final quarter of 2025 also showed the highest number of new home completions in three years at 1,640. This figure is up slightly from 1,628 in the same period in 2024, but Knapp warned that “delivery levels remain below what is required to meet Northern Ireland’s housing need.”

She urged the Northern Ireland Executive to “review capital allocations, streamline planning processes and invest in vital infrastructure” to increase overall housing supply.

CIH Northern Ireland has also warned that a “deepening” wastewater infrastructure capacity crisis is hindering the construction of new homes.

The membership body is part of the Wastewater Infrastructure Group, a coalition of housing, construction and business organisations, which is calling for a low-cost infrastructure levy, payable through the rates system, averaging £1.25 per household per week or £65 per annum.

Knapp added: “This levy would create a sustainable, multi-year investment model for NI Water, enabling stalled housing, industrial and regeneration projects to proceed.”