Around half the number of house built in 2008 will be constructed this year, according to a leading Irish bank.

Allied Irish Bank predicted roughly 25,000 home will be built across Ireland this year.

This could be set to drop further to 20,000 in 2010.

In 2008 almost 51,000 house and apartments were built. According to the bank, supply is currently higher than demand.

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This, it said, is the result of rising unemployment and emigration.

Many potential buyers are still holding-off for property prices to drop further before purchasing a home, AIB said.

Meanwhile, the Central Statistics Office has reported further gloomy employment news for those working the in the construction industry.

Employment in the sector slumped by over 20% in November last year, in comparison to the same period in 2007.

The CSO said the monthly employment index decreased from 99.8 in November 2007 to 79.6 in November 2008.

Numbers employed in the building trade has been falling steadily since April 2007.

(PR/JM)