Alarming that government has no plans to review profiteering in provision of asylum accommodation – Matt Carthy TD
2 May 2025
Sinn Féin spokesperson on Justice, Home Affairs and Migration, Matt Carthy TD, has said that it is unacceptable and alarming that the government has indicated in replies to parliamentary questions that it has not carried out any value for money reviews in respect of contracts for the provision of IPAS centres and that it has no plans to do so.
Teachta Carthy said:
“There has been massive profiteering in the provision of accommodation for those seeking asylum. People have become millionaires providing sometimes poor quality accommodation in a deeply flawed system while communities have lost vital local facilities, including hotels. This is an issue that I have been raising for years, including when I was an MEP and when I was a member of the Public Account Committee.
“It is clear that there is an urgent need for scrutiny of IPAS contracts and to crack down on profiteering in the provision of accommodation for those seeking asylum. Private landlords and property owners are continuing to make millions through the provision in some cases of very poor-quality accommodation for vulnerable people while there has been little or no engagements with local communities before IPAS centres are opened.
“The state has paid out billions with very little transparency. There are increasing reports of companies with no track record being awarded contracts. Recently we saw reports on the case of the company that has been awarded the contract to provide 277 beds for IPAS applicants at Dundrum in Tipperary. In that case Utmasa Limited, a company set up three months ago with one director based in Mallorca, is set to be paid millions of euro.
“In light of reports such as this it is alarming that there is no sense of urgency from the government to scrutinise this issue. In replies from Minister Norma Foley, who had responsibility for the area up until now, she clearly sets out that there have been no reviews, nor are any planned, into value for money or profiteering in the provision of asylum accommodation.
“It is time for proper scrutiny of how public money is being used and how private interests are being awarded contracts worth millions from the flawed system of IPAS accommodation. As the government won’t do this, as Chair of the Justice, Home Affairs and Migration Committee I will be seeking to put this at the top Committee’s agenda when it convenes in the coming weeks.”
The responses to Deputy Carthy’s Parliamentary Questions can be read here.
