A total of 355 new homes across 14 separate housing schemes provided by the troubled Circle Voluntary Housing Association have been transferred to other housing bodies.
A further two schemes in which Circle has invested some €7.5 million, at Swords in north Co Dublin and Marrowbone Lane in Dublin city centre, may also be transferred to other approved housing associations.
Circle is one of 425 approved housing bodies across the State, meaning it is approved to provide social rented housing. It receives annual funding of about €10.5 million from the Government and local authorities.
The transfer of responsibilities for the 14 housing schemes follows intervention by the sector’s regulator, the Approved Housing Body Regulatory Authority. The regulator determined after a two-year inquiry that Circle faced significant compliance issues of governance, transparency and financial planning.
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On Tuesday, the Oireachtas Committee on Housing was told the 14 housing schemes were proceeding under the stewardship of other housing bodies and were “more or less” on schedule for completion.
Chairman of Circle Voluntary Housing Association, John O’Connor, who joined Circle in June, said the charity had expanded its operations significantly in recent years. He added that it was “clear that our governance, financial oversight and organisational capacity did not keep pace in some critical areas”.
He said Circle, whose cash and cash equivalents totalled nearly €2 million at the end of 2025, owns or manages more than 2,600 homes in 16 local authority areas. It provides housing for almost 5,400 people and had a net debt of €363 million at the end of 2025.
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O’Connor noted tenant services have continued to meet required standards.
He said the regulator’s assessment represented a “turning point” and provided an “important and timely intervention” by highlighting issues requiring attention and providing a clear framework for improvement.
The organisation, he said, had now suspended construction activity and is moving to a “more controlled delivery model” focused on acquiring new-build projects. The organisation has also secured refinancing arrangements that have improved liquidity and provided greater financial stability.
He said it could take nine months to work through the necessary reorganisation, but added: “There are a number of projects that Circle can continue to deliver. There are 66 homes that have been delivered and some are just completing at the moment and there is another 19 to complete.”
Chief executive of Circle, John Hannigan, said a large amount of the difficulties which enveloped the body were due to using overdraft facilities to fund pre-construction site-development costs at Swords and Marrowbone Lane.
He said Circle had refinanced the projects with its lenders and changes were being made to the board and executive to strengthen corporate governance.
The committee also heard from the Approved Housing Body Regulatory Authority chief executive Fergal O’Leary, who said the authority’s assessment of Circle found “significant noncompliance”.
However, he said the organisation had in place a credible programme capable of addressing the issues.
He said Circle has been engaging constructively with the regulator, which is “closely monitoring” implementation of the plan.
Sinn Féin housing spokesman Eoin Ó Broin said he was concerned that the Government was over-reliant on the approved housing body sector and had “overburdened it”.
