Taxpayer loss after asylum accommodation deals ended
There has been a "substantial loss" to taxpayers as a result of the termination of agreements with a number of potential asylum seeker accommodation providers.
The termination of agreements with potential asylum seeker accommodation providers has resulted in a substantial loss to taxpayers, possibly exceeding €100 million, according to the Comptroller and Auditor General's report. In 2024 and early 2025, the Department of Children entered into pre-contract deals with providers for 15 properties to offer security for their investments in large-scale accommodation centers.
The Department of Justice later decided to reduce the size of the international protection property portfolio, leading to the cancellation of these agreements. While five counterparties took legal action against the Minister for Justice, settlements were reached in three cases, with two expected to go to the Commercial Court. The Department of Justice stated that the potential combined value of the disputed agreements was more than €100 million, with no specific figure given for the financial exposure.
The Department of Public Expenditure sanctioned the payments as full and final settlements, as proceeding with greater expenditure for services not wanted or needed was deemed necessary.
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