Town councillors in Mallow, Co Cork, have objected to plans for 130 new social houses in the area, a scheme thought to be worth more than €25m to the local construction sector.

The move has angered one councillor, who said 600 people currently on the housing waiting list are being failed.

Willie O'Regan claimed around €25m worth of funding would have been allocated to shore-up the project.

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He said a €3.6m loan used to buy land at St Joseph's Road must still be cleared.

The councillor suggested no new social housing would be provided in the area for the "foreseeable future".

David O'Callaghan said that despite the need for housing stock, the infrastructure in the area simply could not support the scheme.

"It would have been immaterial to us even if we lost €250m, we could not have voted for a plan that did not make provisions for proper infrastructure," said Mr O'Callaghan.

Mr O'Regan said: "It is a sad state of affairs that Mallow town council did not leave the plans for housing go forward. How are we as a local authority going to pay the people of Mallow back?

"It is a joke to think that we had the opportunity to address the needs of a hundred families."

(PR/BMcC)