Following remarks by Minister Willie O'Dea that have raised doubts about future funding of the Regeneration project, Mayor Kiely said he will be calling an urgent meeting of the city council to discuss the progress of the Regeneration scheme and the matter is also to be raised with the Taoiseach in the Dail.

"I have at least 20 people coming into my office every week looking to get out (of these areas]. But it looks very unlikely that these people will be rehoused or relocated for the foreseeable future, said the Mayor.

"We should now question whether we have been getting value for money from Brendan Kenny, John Fitzgerald and these companies. It's high time now that these two Regeneration agencies were wound up. If Limerick City Council got proper resources they would do a better job. A lot of false promises have been made to people. They have been told lies and deceived. I can't stand over anything like that."

Mayor Kiely said that promises were made that houses would be built by June 2009. "But not one brick has been laid and there is no planning in for any houses. I think that Limerick City Council should take over the running of the Regeneration."

Deputy Kieran O'Donnell, Fine Gael Limerick East, has stated that 'Limerick Regeneration is now in a shambles, and the high hope and expectations raised following its launch over a year ago would now appear to have been dashed. I am now calling on the Taoiseach Brian Cowen to immediately clarify the position.

"Disturbing media reports indicate that local Cabinet Minister Willie O'Dea appears to signify that Government are unwilling to put any capital funding towards the Limerick Regeneration project. This is a clear reneging by Government on commitments it gave to the people of the regeneration areas of Moyross, Southill, St. Mary's Park and Ballinacurra Weston.

"When the Limerick regeneration was announced a year ago, it was regarded by the Government as of such importance and priority that responsibility for the project was taken by Cabinet and it was assumed that local cabinet Minister Willie O'Dea would have a major influence in advancing the project.

"Furthermore, the recent Brosnan Taskforce report regarded regeneration as a major player in the future socio-economic development of Limerick. In light of this, it is important that the Taoiseach Brian Cowen clarifies the situation and to clearly spell out what the Cabinet have in mind for the advancement of Limerick Regeneration during 2010. I will be raising the matter with the Taoiseach in the Dáil next week."

Sinn Fein city councillor Maurice Quinlivan said he was not surprised by the announcement from the defence minister. However, he is angered at what he feels is "the blatant betrayal of thousands of Limerick citizens".