What VAT rate applies to building work in Ireland?

Construction services generally attract the reduced VAT rate of 13.5%. Some standalone supplies of goods are charged at the standard rate. Revenue publishes the detail, and your invoice should state the rate applied.

How much deposit should I pay a builder?

Enough to cover materials ordered for the start on site, not a large share of the contract value. Structure the rest as stage payments against completed, inspectable work, and hold a retention until the snag list is closed.

What insurance should a builder have?

Public liability insurance for damage or injury to third parties and employer's liability insurance for their workers. Ask for the certificates, check the expiry dates and the level of cover, and confirm the policy covers the type of work you are having done.

Who is responsible for safety on my site?

The construction regulations place duties on the client as well as the contractors, including appointing competent people. The Health and Safety Authority publishes guidance for homeowners having work done.

What paperwork should I get at the end?

Invoices, electrical and gas or plumbing certificates, product warranties, a completed snag list, and where relevant a certificate of compliance with the Building Regulations and planning, plus a BER certificate after an energy upgrade.

How to Hire a Builder in Ireland

Updated 14 September 20267 min read

Renovated and rendered semi-detached house in a Dublin suburb

Short answer

Before you hire a builder in Ireland, get a written quotation that lists the scope, exclusions, programme and payment stages; confirm the company is a registered Irish entity with tax clearance and current public liability and employer's liability insurance; check that construction services are quoted at the reduced VAT rate that applies to building work rather than the standard rate; and never pay a large deposit for work that has not started.

Key points

A quotation should be itemised, dated and reference specific materials.
Construction services in Ireland generally carry the reduced 13.5% VAT rate.
Ask for insurance certificates and check the expiry dates yourself.
Tie payments to completed stages, not to the calendar.
Agree in writing how variations and extras will be priced.

Compare scope, not just the bottom line

Three quotations for the same job often describe three different jobs. One includes making good and decoration, another stops at plaster. One prices a full replacement of rainwater goods, another reuses them. Read what is excluded before you compare totals, and ask each contractor to price the same specification if you want a genuine comparison.

The cheapest number on the page is frequently the most incomplete one, and the gap resurfaces as extras halfway through the build.

Company, tax and insurance checks

These checks take an evening and rule out most of the problems homeowners write to consumer programmes about. A contractor who is reluctant to send an insurance certificate has told you something useful.

Look up the company on the Companies Registration Office register.
Ask for evidence of tax registration and, for larger jobs, tax clearance.
Request public liability and employer's liability insurance certificates.
Confirm who holds the safety duties on site under the construction regulations.
For grant-funded energy work, confirm SEAI registration for that measure.

VAT, and why a cash price is a bad deal

Construction services in Ireland are generally charged at the reduced VAT rate of 13.5%, with the standard rate applying to some supplies of goods on their own. A VAT-registered contractor issues a proper invoice showing the rate charged.

An off-the-books price saves nothing worth having. You lose the invoice, the warranty, the insurance cover and the paper trail your solicitor and your insurer will want, and you carry every risk yourself if something goes wrong.

Payments, variations and finishing

Payments should follow completed stages that you can see — foundations, structure and roof, first fix, plaster, second fix, snagging. Keep a retention for the snag list and agree in writing that variations are priced and accepted before they are carried out.

Put the handover in the contract too: certificates, warranties, appliance manuals, the electrician's and plumber's compliance paperwork, and the certifier's compliance certificate for anything that needed one.

Frequently asked questions

What VAT rate applies to building work in Ireland?: Construction services generally attract the reduced VAT rate of 13.5%. Some standalone supplies of goods are charged at the standard rate. Revenue publishes the detail, and your invoice should state the rate applied.
How much deposit should I pay a builder?: Enough to cover materials ordered for the start on site, not a large share of the contract value. Structure the rest as stage payments against completed, inspectable work, and hold a retention until the snag list is closed.
What insurance should a builder have?: Public liability insurance for damage or injury to third parties and employer's liability insurance for their workers. Ask for the certificates, check the expiry dates and the level of cover, and confirm the policy covers the type of work you are having done.
Who is responsible for safety on my site?: The construction regulations place duties on the client as well as the contractors, including appointing competent people. The Health and Safety Authority publishes guidance for homeowners having work done.
What paperwork should I get at the end?: Invoices, electrical and gas or plumbing certificates, product warranties, a completed snag list, and where relevant a certificate of compliance with the Building Regulations and planning, plus a BER certificate after an energy upgrade.

Official Irish sources

Rules, grant values and rates change. This article is general information, not professional advice — confirm the current position with the relevant body or your own architect, engineer or surveyor.