The number of houses granted planning permission to build has tumbled by more than 200 in the first three months of the year, official figures show.

Experts say the 2.5% drop may be linked to an earlier surge in applications linked to the Government’s waiver of the cost of development levies and utility connections that would save around €20,000 in building costs per home.

There were 8,177 homes – houses or apartments – granted planning permission in January, February and March this year, which is down from 8,387 a year earlier.

The figures for apartments alone are even worse: they were down 248, or more than 7%, to 3,240, although houses were up marginally at 0.8% to 4,937.

Despite the housing crisis, the number is just a fraction of 16,454 homes granted permission at the height of the building boom in the first three months of 2006.

There were 6,070 apartments given the green light then too.

Sinn Féin housing spokesman Eoin Ó Broin said: “There are a lot of additional delays to projects coming forward.

“We’re aware of a very significant number of delays to social and affordable housing approvals and that means that building contractors – including private building contractors who are sitting on planning permissions that haven’t yet commenced – won’t then submit subsequent planning applications. That’s the first thing.

“The second thing is, obviously there were a lot of commencement notices submitted in April and September last year to avail of the development levy and water connection waiver. “In reality, most of those did not commence so they’re only going to get built out this year.”

Ian Lawlor of Roundtower Capital, which finances developers, described the fall as “deeply concerning” and “suggests that the housing crisis will continue to worsen”.

“Without a steady pipeline of approved developments, the construction industry cannot deliver the volume of homes Ireland urgently needs.”

He added: “Lengthy delays, legal challenges, and inconsistent decision-making make it incredibly difficult for developers to bring projects to fruition.”