Home Renovation Incentive Ireland: HRI Explained + Alternatives (2026)

Dublin homeowners were the scheme’s biggest users by far. According to Revenue’s September 2019 statistics, Dublin had 44% of all registered HRI properties. Yet it accounted for 52% of the €2.6 billion in estimated works. In Dún Laoghaire-Rathdown, works averaged almost €40,000 per registered property.

Key Findings for 2026

What Was the Home Renovation Incentive?

The Home Renovation Incentive (HRI) was an Irish income tax credit for repairing, renovating or improving your home. It ran from 25 October 2013 to 31 December 2018. The credit was 13.5% of qualifying spend, excluding VAT. A VAT-registered, tax-compliant contractor had to do the work.

The legal basis was Section 477B of the Taxes Consolidation Act 1997. At first, only owner-occupiers could claim on their main home. According to Revenue, landlords were added for rental properties from 15 October 2014. Local authority tenants joined under Finance Act 2016, with written consent from their council.

In practice, HRI covered the core of a typical home renovation. Revenue’s 2015 guidance lists extensions, garage and attic conversions, new kitchens and bathrooms, windows, rewiring, plastering, tiling and landscaping. Work charged at the 23% VAT rate did not qualify. The Society of Chartered Surveyors Ireland’s guide also excludes furniture, white goods and carpets.

When Did HRI End in Ireland?

HRI ended on 31 December 2018. Work had to be carried out and paid for by that date. There was one short grace period. Work done between 1 January and 31 March 2019 still qualified. Planning permission had to be in place by 31 December 2018.

According to the Department of Finance, HRI closed under its statutory sunset clause after two extensions. It was created to support construction jobs after the crash. By 2018, its ex-post review found a new problem. Renovation work could pull scarce labour away from new housing, which the country badly needed.

The last tax year in which relief could be claimed was 2019, according to Revenue’s eBrief No. 054/24. In February 2024, Revenue removed the operational parts of its HRI manual as no longer relevant.

1. 25 October 2013HRI launches in Budget 2014.Homeowners can claim on their main home.
2. 15 October 2014Landlords are added.Rental properties now qualify.
3. 2016Local authority tenants are added.Finance Act 2016 extends HRI to tenants with council consent.
4. 31 December 2018HRI closes.No credit for work carried out or paid for after this date.
5. 31 March 2019Final grace period ends.Only works with planning permission in place by 31 December 2018.
6. February 2024Revenue removes the operational guidance.Only the carry-forward rules remain relevant.

HRI in Dublin: The Numbers

Dublin used HRI more than any other county, and spent more per home. Revenue’s September 2019 statistics show 43,696 registered properties across the four Dublin councils. Their works were worth an estimated €1.37 billion. That is 52% of the €2.6 billion national total.

Spending varied sharply within Dublin. Dún Laoghaire-Rathdown averaged €39,965 of works per registered property, based on Build Me’s calculation from Revenue’s figures. By comparison, the national average was €26,540. Fingal and South Dublin sat slightly below the national figure. Revenue labels these statistics provisional.

Can You Still Claim HRI in 2026?

No, you cannot make a new HRI claim in 2026. Revenue’s guidance, last updated on 21 May 2026, says so directly. This applies to new renovation work and to old work you never claimed for.

“You can no longer make a claim for the Home Renovation Incentive (HRI).”

Revenue, HRI guidance for homeowners and landlords, updated 21 May 2026

Here is why old, unclaimed work is also out. A 2018 Department of Finance reply in the Dáil set the time limit. HRI claims could be made up to four years after works were completed. The final qualifying works finished by 31 March 2019. In practice, that four-year window closed in 2023.

The one exception is credit you already claimed but could not fully use. That credit is still alive, and the next section explains how to check it.

The contractor checks HRI demanded still make sense when vetting a builder today. Ask for VAT registration, tax compliance, public liability insurance and written quotes. Under HRI, homeowners checked a contractor’s tax status before paying, as the SCSI guide recommended.

Can You Receive an Outstanding HRI Tax Credit?

Yes, if you claimed HRI but did not use the full credit. Revenue’s February 2024 eBrief confirms the relief still carries forward.

“The relief can be carried forward until fully utilised.”

Revenue, eBrief No. 054/24, 26 February 2024

How the Credit Was Paid

HRI did not pay out in one lump. According to Revenue, the credit was split over the two tax years after the year you paid. Normally, half was given in each year. Work paid for in 2016, for example, was relieved in 2017 and 2018.

The credit only reduced income tax, not USC. It also could not push your income tax below zero. So if your income tax in a year was lower than that year’s share, part of the credit went unused. Revenue’s rules carry that unused amount into later years until it is fully used.

This most often affected retired homeowners, people on lower incomes and anyone with a career break. Many had paid for large works but had little income tax to set the credit against.

Revenue’s Worked Example

Revenue’s Tax and Duty Manual uses a simple example. A homeowner spends €30,000, excluding VAT, on qualifying work in 2016. They receive no grants or insurance payments for the work. The full credit is €4,050, given in two equal parts.

How to Check for Unused HRI Credit

Revenue explains where to look, and it depends on how you pay tax. PAYE workers and pensioners should check their Statement of Liability in myAccount. Self-assessed taxpayers will see it on their Form 11 income tax return in ROS.

1. PAYE: log in to myAccount and open your Statement of Liability for the latest year.
2. Self-assessed: check the HRI credit carried forward on your Form 11 in ROS.
3. Local authority tenants: contact your Revenue office directly, as Revenue advises.
4. Figures look wrong: gather your old HRI records and contact Revenue through myEnquiries.

Estimate the HRI Credit You Were Due

Use this estimator to sense-check an old claim against the HRI rules. It applies the €4,405 minimum, the €30,000 cap and the grant reduction. Revenue’s own records always decide what you actually received.

Is the Government Bringing HRI Back?

No, there are no plans to bring HRI back. In a Dáil reply on 29 April 2025, the Department of Finance said reinstatement is not planned. It is also not among the Programme for Government commitments.

The Department has been consistent. In February 2021, it described the case for reintroducing HRI as "not a strong one". Budget 2027, announced on 6 October 2026, did not bring it back either. Its housing measures focused on Help to Buy, Rent-a-Room relief and a new Derelict Property Tax.

The 2025 reply set out the Department's main reasons, drawn from a 2019 Tax Strategy Group paper and ESRI research:

What Replaced the Home Renovation Incentive?

Nothing replaced HRI directly. No current scheme gives a general tax credit for a kitchen, bathroom or extension. Instead, the Government moved to targeted cash grants and a few narrow tax reliefs. Each one covers a specific type of home or a specific type of work.

By comparison with HRI, the rules are tighter. Energy grants usually require approval before work starts and a registered contractor. Owners of empty homes can look at the Vacant Property Refurbishment Grant, which pays cash rather than a tax credit. Landlords and owners of pre-1915 homes in parts of Dublin still have tax-based options.

The landlord deduction is the closest thing to HRI's tax logic. According to Revenue, Finance Act 2025 raised the limit from two to three rental properties for 2026, 2027 and 2028. It only applies to works that also received an SEAI grant.

What Financial Support Is Available for Renovations Today?

Today's support depends on what you are doing and who you are. Energy upgrades, empty homes and adaptations for older or disabled people are well covered. A standard kitchen, bathroom or extension usually is not. We keep a regularly checked list of the home renovation grants currently available in Ireland, with amounts and eligibility.

For most Dublin homeowners, the practical plan has three parts. First, claim any grant that fits part of the job, such as insulation. Second, compare home renovation loans, including the State-backed Home Energy Upgrade Loan for energy work.

Third, budget from current renovation costs in Ireland, not 2018 prices.

What to Expect Next

Government policy points away from a new HRI and towards targeted grants. Here are four developments worth watching, each tied to a published decision.

• Living City Initiative deadline: works must finish by 31 December 2027, according to Revenue. Watch Budget 2028 for any extension.
• Landlord retrofit deduction: it runs to 31 December 2028, now covering three properties per landlord.
• Derelict Property Tax: Budget 2027 set it at 7% of self-assessed value, with first payments due in June 2028. Owners of derelict homes face a new reason to renovate.
• Cash over credits: the 2025 Dáil reply cites ESRI evidence that households prefer cash grants. Expect changes to grant rates, not a new renovation tax credit.

Home Renovation Incentive FAQ

Next Steps

1. Today: if you claimed HRI between 2014 and 2019, check myAccount or ROS for unused credit.
2. This week: list the work you want done and mark any energy upgrades that could attract a grant.
3. Within two weeks: get at least two itemised quotes from VAT-registered, insured contractors.
4. Before signing: confirm any grant approval first, since most grants need approval before work starts.

How We Checked These Figures

We checked every HRI rule against Revenue's Tax and Duty Manual 15-01-43, Revenue's HRI guidance page and eBrief No. 054/24. Dublin figures come from Revenue's HRI statistics released on 30 September 2019, which Revenue labels provisional. Per-property averages are Build Me calculations. Policy statements come from Dáil written answers. All figures were checked on 11 October 2026. Where an older manual and a newer one differed, we used the newer version. We re-check this page every quarter.

Sources

1. Revenue: How will I receive my HRI tax credit? (updated 21 May 2026)
2. Revenue: Tax and Duty Manual Part 15-01-43, Home Renovation Incentive (reviewed December 2024)
3. Revenue: Tax and Duty Manual Part 15-01-43, earlier edition (reviewed December 2015)
4. Revenue: eBrief No. 054/24 (26 February 2024)
5. Revenue: Home Renovation Incentive statistics (released 30 September 2019)
6. Dáil Éireann: written answer on reinstating HRI (29 April 2025)
7. Dáil Éireann: written answer on HRI (25 February 2021)
8. Dáil Éireann: written answer on HRI rates and claims (26 June 2018)
9. Society of Chartered Surveyors Ireland: archived HRI guide (undated, archived)
10. Revenue: Deduction for retrofitting expenditure (updated 13 March 2026)
11. Department of Finance: landlord retrofitting tax incentive announcement (Budget 2023)
12. Revenue: Living City Initiative (updated 23 April 2026)
13. Dublin City Council: Living City Initiative (undated)
14. Walkers: Ireland Budget 2027 tax highlights (6 October 2026)