PwC Report Confirms Final Children's Hospital Cost Will Exceed €1.73bn

The cost of the national children's hospital could rise above €1.7 billion according to a new report by PwC.

The study identified further associated risks with the project, including a rise in cost of €100 million if construction inflation increases.

The Labour Party's Health spokesperson Alan Kelly TD has said serious lessons must be learned from this failure.

The new figure factors in the previously unaccounted for costs of family accommodation, research centres and construction inflation.

Deputy Kelly said: "PWC rightly criticise the lack of oversight by officials on the project. We know despite the cost and scale of the project that no official from the Department of Public Expenditure and Reform sat on the Children's Hospital Project & Programme Steering Group. This was a huge mistake on behalf of the Government. How can it be that a project of this size didn't have a representative of the Department that oversees public funding on their spending oversight committee?"

The Labour politician also criticised the "hands-off" approach to the project and called for system checks in the future to ensure this does not happen again.

"There needs to be a culture change when it comes to capital projects, especially around health projects, those at the centre of decision making cannot be allowed to be more obsessed with PR spin rather than making sure checks and balances are in place to make sure projects are delivered.

"There now needs to be robust debate, whether at Committee or in the Dáil chamber itself on tendering and the lessons that can be learned."



(JG/CM)