The soaring cost of building materials for the construction sector was described as "hyperinflation" yesterday by the Construction Industry Federation (CIF).

Cement is up 10%, oil storage tanks increased by 17%, radiators are up 6% and hot-water tanks have jumped by 10%, according to CIF boss Tom Parlon.

Mr Parlon blamed the bounceback of demand following lockdown for the price surge as well as supply chain problems.

He said: "Hyperinflation is the only description we could give to building materials at the minute."

The former Progressive Democrats TD told Newstalk yesterday: "I know we have major problems since the Ukrainian-Russian war - but immediately after the opening up of building sites, and opening up of activity after Covid, there was a surge of demand.

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"We know the supply chain was affected just by shipping and by shipping containers and all of that.

"Brexit obviously is a problem, because the normal supply chain here would have come in previously through the UK. And then of course we have the Ukrainian-Russian war and the massive increase in energy costs."

He was speaking as the Banking and Payments Federation Ireland said rising material costs mean house prices will stay at Celtic Tiger levels despite increased supply of new homes.

It said building material costs need to be closely monitored, after rising nearly 20% in the year to April, the second highest increase since June 2000.

BPF chief Brian Hayes said: "Annual inflation for building and construction materials was running at 18.2% in April 2022, where annual inflation for some materials such as metal and wood ranged between 50% and 60%."