European Investment Bank backs Ireland’s housing strategy with major €400 million facility

European Investment Bank backs Ireland’s housing strategy with major €400 million facility

(IN BRIEF) The European Investment Bank (EIB) and the Housing Finance Agency (HFA) have announced a €400 million loan facility to boost the delivery of social and affordable homes across Ireland. The partnership enables 40-year fixed-rate financing for Local Authorities and Approved Housing Bodies, supporting cost-rental models priced below market rates. EIB Vice President Ioannis Tsakiris and HFA CEO Deirdre Collier highlighted the transformative impact of EIB-backed housing on Irish families and reaffirmed a shared commitment to expanding sustainable housing nationwide. Building on past collaborations that financed over 6,200 homes, the new initiative forms part of the EIB’s broader European housing strategy to deliver one million affordable homes by 2030.

(PRESS RELEASE) LUXEMBOURG, 24-Oct-2025 — /EuropaWire/ — European Investment Bank (EIB) and Housing Finance Agency (HFA) have announced a new €400 million loan facility to accelerate the delivery of hundreds of social and affordable homes across Ireland, marking a major milestone in expanding access to high-quality, energy-efficient housing. The long-term partnership underlines Ireland’s leadership in EIB-backed housing investment and its commitment to building sustainable communities nationwide.

The agreement will enable the HFA to offer 40-year fixed-rate financing to Local Authorities and Approved Housing Bodies (AHBs), ensuring financial stability for housing providers and supporting the growth of cost-rental models priced at least 25% below market rates. The initiative will help strengthen Ireland’s pipeline of social and affordable homes, aligning national housing objectives with the European Union’s vision for inclusive and sustainable housing.

During a visit to Dublin, EIB Vice President Ioannis Tsakiris and HFA CEO Deirdre Collier toured new housing developments supported by HFA financing, witnessing firsthand how affordable housing is transforming communities and improving quality of life for families through secure, long-term tenancies and below-market rents.

Speaking in Dublin, Ioannis Tsakiris emphasized:

“It is a real privilege to see how EIB-backed homes—through our partnership with HFA—are changing lives by providing security, dignity, and opportunity. Ireland continues to set a great example for affordable, sustainable housing in Europe. The EIB is committed to deepening this collaboration to ensure more families can access safe, high-quality homes. Today’s announcement demonstrates what is possible when we work together to turn Europe’s housing commitments into real impact—one family, one community at a time.”

James Browne TD, Minister for Housing, Local Government and Heritage, welcomed the new agreement, stating:

“The Housing Finance Agency plays a vital role in financing social and affordable housing delivery in Ireland. This €400 million facility will allow the HFA to further strengthen its support for Local Authorities and AHBs, helping secure long-term, affordable homes for people across the country. This collaboration with the EIB highlights our shared European goal of ensuring that everyone has access to sustainable, secure, and affordable housing.”

Deirdre Collier, CEO of the HFA, added:

“This new facility reflects the strong and enduring partnership between the HFA and the EIB. With up to 40 years of fixed-rate financing, our customers gain long-term stability, supporting the delivery of affordable homes and innovative models like Cost Rental. We are proud to work with the EIB to advance the State’s housing objectives and expand access to secure, high-quality housing nationwide.”

The EIB’s renewed engagement builds on a successful track record in Ireland: since 2007, its €775 million partnership with the HFA has financed more than 6,200 homes. In 2023, the Bank provided an additional €200 million for student housing. The EIB’s housing portfolio continues to grow under its new Action Plan on Affordable and Sustainable Housing, launched in 2024 to deliver up to one million affordable homes across Europe by 2030.

This latest financing initiative also complements the EIB’s recent €400 million investment in housing research and innovation to develop advanced materials, modular construction methods, and energy-efficient technologies—furthering Europe’s transition to sustainable, inclusive urban development.

Background information  

EIB  

The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. Built around eight core priorities, we finance investments that contribute to EU policy objectives by bolstering climate action and the environment, digitalisation and technological innovation, security and defence, cohesion, agriculture and bioeconomy, social infrastructure, the capital markets union, and a stronger Europe in a more peaceful and prosperous world.

The EIB Group, which also includes the European Investment Fund (EIF), signed nearly €89 billion in new financing for over 900 high-impact projects in 2024, boosting Europe’s competitiveness and security.

All projects financed by the EIB Group are in line with the Paris Climate Agreement, as pledged in our Climate Bank Roadmap. Almost 60% of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.

Fostering market integration and mobilising investment, the Group supported a record of over €100 billion in new investment for Europe’s energy security in 2024 and mobilised €110 billion in growth capital for startups, scale-ups and European pioneers.Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower than the EU average.

High-quality, up-to-date photos of our headquarters for media use are available here.

The Housing Finance Agency

The Housing Finance Agency is a State-owned body that provides financing to Local Authorities, Approved Housing Bodies and Higher Education Institutions for housing-related purposes.

Cost Rental housing offers secure tenancies in sustainable, long-term homes. Rents are set to cover only the cost of financing, building, managing and maintaining the homes.

Media contact:
Richard Willis
r.willis@eib.org
+352 4379 – 82155

Press Office
press@eib.org
+352 43791

SOURCE: European Investment Bank