Mayo minister welcomes progress on planning exemptions for modular homes

MINISTER of State Alan Dillon has welcomed progress on new planning exemptions that will allow homeowners to place a modular home in their back garden without going through a full planning process.

The move, he said, is a practical and sensible step that will give families more options, cut unnecessary delays, and support wider government efforts to increase housing supply and provide more affordable housing choices for people who need them.

“People want a planning system that is fair, modern and practical,” Minister Dillon said. “These changes are about cutting unnecessary red tape and giving homeowners more flexibility to make use of the space they already have. It is a common-sense measure that can make a real difference for families.”

Under the proposals, the homeowner must continue to live in the main house, while the modular home must remain connected to that property and cannot be sold off or split into a separate dwelling. The units must also meet building regulations and clear standards around size, height, access and garden space.

Minister Dillon said the measure will help people respond to changing family circumstances in an affordable and straightforward way.

“For many families, this is about having an option close to home, whether that means supporting an older parent, helping an adult child, or simply making better use of available space,” he said. “It will not solve the housing crisis on its own, but it is part of a broad range of measures government is working on to increase housing supply and create affordable options for those who need them.”

Minister Dillon also welcomed the decision to extend the Rent a Room tax relief to modular units located in back gardens. Under the change, homeowners will be able to earn up to €14,000 tax-free from renting out one of these units.

“This is a very practical move,” he said. “The Rent a Room relief has worked well within the home and extending it to modular homes makes sense. It gives homeowners more confidence to invest, while also helping to keep rents at an affordable level for tenants.”

The exemptions, he said, will also allow local authority planners to focus more of their time on larger housing developments and major projects.

“We need planners focused on delivering larger-scale housing, not tied up with small, sensible changes in someone’s back garden,” he said. “This is about trusting people, reducing delays, and making it easier to deliver practical housing solutions in communities right across the country.”

He continued: “Modern modular homes are high-quality, well-designed and energy efficient. They offer a flexible housing option for families at different stages of life and can help people stay connected to their communities, close to family, work and support networks.”

The modular home exemption is part of a wider package of proposed planning changes aimed at modernising the system and supporting homeowners. The package also includes measures relating to the subdivision of existing homes, external wall insulation, heat pumps, roof lights to the front of houses, and improved bike and bin storage.

All of the proposed residential exemptions are currently undergoing environmental assessment. Once that process is complete, the regulations will go before both Houses of the Oireachtas and the Oireachtas Housing Committee. Subject to screening, they are expected to be signed in the coming weeks ahead of the summer recess.