Developers win battle with HSE over under-priced primary care contracts

Developers are demanding more money to build primary care centres due to increased construction costs, leaving 40 projects in limbo

There are around 45 centres worth over €500 million at various stages of progression, according to market participants. Picture: Brian Lawless

The HSE is preparing to re-advertise for primary care projects that had stalled after it refused to revise previously agreed quotes despite increased construction costs and higher interest rates.

Since early 2023 developers and investors have demanded more money for building primary health centres, but the HSE refused to relent leaving the parties in a standoff that threatened the building of over 40 new centres.

Providers have said that prices need to increase by at ...