University of Limerick incurs costs of €1.3m over purchase of 20 houses in Rhebogue

UNIVERSITY of Limerick (UL) has incurred costs of €1.339m over the past two years arising from the fall out of the university’s contentious purchase of 20 houses at Rhebogue, County Limerick.

That is according to figures contained in UL’s 2025 annual report which shows that the €1.339m cost includes UL spending €200,000 on a ‘forensic review’ in the 12 months to the end of September last.

Asked about the €200,000 spend on the forensic review, a spokeswoman for UL said today: “UL engaged external advisors, Deloitte to conduct a review on matters relating to the conclusion of the 2023 financial statements which related to the Rhebogue transaction.”

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The university paid €12.5 million for the houses in 2022 and the deal was subsequently criticised by the Comptroller and Auditor General as a €5.2m overspend.

Along with the €200,000 spend on the forensic review, the annual report discloses that an additional €659,000 has been incurred on legal services associated with senior management staff.

The €659,000 was made up of a spend of €226,000 in 2025 and €433,000 under the same heading in 2024.

The UL spokeswoman said the €659,000 spend “relates to legal and senior counsel advice on senior management roles connected to the Rhebogue transaction”.

The Rhebogue purchase also contributed to the Higher Education Authority (HEA) requesting a review into governance at UL and in the prior 2024/23 financial year, the Section 64 HEA Review cost UL €480,000.

Last year, An Coimisiún Pleanála found that the use of the 20 Rhebogue houses as student housing is development and not exempt development.

A note attached to the accounts states that the University "acknowledges this decision which will necessitate either a change to residential dwelling houses or an application for retention of the change of use to student accommodation".

The note states that UL performed a value in use assessment of the 20 houses on September 30, 2025 and this estimated the value in use at €7.549m.

The annual report shows that the university’s pre-tax surplus increased by 13.5% to €14.16m as UL's income increased by 8pc from €392.5m to €422.6m in the 12 months to the end of September last.

In his report, Professor Shane Kilcommins, who was appointed UL president in April and served as acting president since 2024, said that “our financial position remains robust, and our community continues to deliver outstanding achievements across research, teaching, and engagement”.

Prof Kilcommins said that “this year has been one of transformation and achievement. From governance reform to global partnerships, from widening participation to pioneering programmes, University of Limerick has demonstrated resilience and ambition”.

The report records that the total salary paid to Prof Kilcommins during the reporting from the year was €259,925, which includes the value of a taxable benefit relating to residing in the President’s residence.

Chief Financial & Performance Officer, John Field said that “the University has performed very well financially during 2024-25. The overall surplus is welcome and positions the University well for setting ambitious goals as part of the development of its new strategic plan for the period 2026 to 2031”.

Mr Field points out that UL recorded earnings before interest tax depreciation and amortisation (EBITDA) was €25.66m for the 12 months to the end of September last.

In the area concerning tax payouts, the annual report states that the University made a voluntary disclosure to Revenue in July 2025 in relation to VAT liability arising on certain invoices from overseas suppliers of €145,473 plus interest of €32,269 for the years to 2021 to 2024 inclusive.

The report states that “controls are now in place to ensure that this does not reoccur"

The report also reveals that arising from a self-review of withholding tax on pension lump sums, there were calculation errors and issues with the submission of payments, the University has paid all liabilities of €681,456 and made a full disclosure and incurred interest costs of €52,089.

In her own report, UL Chancellor, Prof Brigid Laffan states that the financial results show that UL has managed its affairs prudently.

Prof Laffan said: “A University striving to excel in research, teaching and public service must have strong financial underpinnings. The surplus recorded in this reporting period provides confidence that the University can support its academic mission while also planning for future development.

The report discloses that UL’s spend last year on Investigations and Mediation under Policies & Procedures - Workplace Dignity & Respect, Grievance and Acceptable Behaviours in the Workplace and Protected Disclosures totalled €149,103 that included €141,347 spent on investigations.

Numbers earning over €100,000 at UL last year increased from 391 to 487 in line with national pay agreement increases and recruitment. Total numbers employed increased from 2,818 to 2,943.

A number of the top earners would be teaching medics and the top earner in the 12 months to the end of September 2025 earned between €350,000 to €360,000.

Last year, UL’s income from its residences totalled €23.38m.