ESRI says cost of accommodation is putting people off from moving here

Ireland will need major inward migration of construction workers, if the industry is to achieve targets for new housing.

But a new report from the ESRI says the high cost of accommodation is acting as a deterrant for people who want to work here.

The research says the construction sector's going to need a major boost to employment numbers if housing supply is going to meet demand - and that much of the extra labour will have to come from immigrant workers.

But it warns Ireland's accommodation costs could act as a disincentive for people thinking about moving here to work in construction.

The study finds that a significant increase in housing output will require the number of construction jobs here returning to Celtic Tiger levels.

It predicts a big increase in mortgage lending as more homes come on the market.

But the ESRI says its essential that the Central Bank maintains the regulations that oversee mortgage lending - or we could see the build-up of another property bubble.