HOMEOWNERS with defective blocks are being discriminated against by finance companies, it is claimed.
When the problem of crumbling houses first became high-profile in areas like Inishowen a decade ago, it was termed the “mica crisis” due to the suspected problem in the blocks being a mineral called mica muscovite.
But advanced scientific understanding of the issue resulted in the terminology evolving – and it is now time that banks and insurance firms caught up, according to a Donegal County councillor.
Cllr Joy Beard of the 100% Redress Party said: “The historic ‘mica’ misdiagnosis is still creating banking, insurance and property-sale barriers in Donegal.
“There is a need for urgent action to address the banking, mortgage, insurance and conveyancing difficulties continuing to affect homeowners in Donegal.
“The historic misdiagnosis of the defective concrete block crisis as being caused by mica has left a stigma attached to properties which persists today.”
Cllr Joy Beard.
“The Banking and Insurance Defective Concrete Focus Group has written to Minister of State at the Department of Finance, Robert Troy TD, seeking a meeting to discuss what it describes as a growing mortgage and financial services crisis in areas affected by defective concrete blocks.
“The scientific understanding of the deterioration has moved on considerably, but this is not yet consistently reflected in how properties are assessed by lenders, insurers and others involved in the property market.
“For many years this was called the ‘mica crisis’ and homeowners were repeatedly told that mica was the cause of their homes deteriorating.
“That terminology has become deeply embedded in the banking, insurance, and property sectors.
“We now have peer-reviewed research showing that the serious deterioration investigated in Donegal is associated with pyrrhotite oxidation triggering Internal Sulphate Attack.
“Yet homeowners can still find that a mica percentage on a historic test report immediately creates concern when they try to sell or when a purchaser applies for a mortgage.
“A 2023 peer-reviewed study of affected Donegal homes found that the concrete suffered from Internal Sulphate Attack triggered by pyrrhotite oxidation.”
Pyrrhotite is not the same as Pyrite. Both are iron sulfide minerals, but they differ significantly in their chemical structure, physical properties, and reactivity when used in construction aggregate and concrete, according to lab analysis.
Homeowners with defective blocks are being discriminated against by finance companies, it is claimed.
Cllr Beard said: “Further research published in 2024 examined different structural elements of affected Donegal homes and again identified pyrrhotite oxidation and Internal Sulphate Attack as the deterioration mechanism.
“The Department of Housing itself acknowledged in November 2024 that preliminary scientific research had identified Internal Sulphate Attack arising from excessive pyrrhotite as the underlying damage mechanism in affected Donegal dwellings.
Prrhotite oxidation and Internal Sulphate Attack have been identidied as causes of deterioration in defective blocks.
She added: “That distinction matters enormously. Mica may be present in concrete, but its presence or a percentage figure alone should not automatically determine whether a house is considered mortgageable, insurable or saleable.
“We need to move away from the stigma created by the historic ‘mica’ label.
“It was wrong. We need a properly evidence-based assessment of the actual condition of the property, the aggregate present and the relevant deterioration mechanisms.
“Homeowners’ attempts to sell properties have encountered difficulties because prospective purchasers could not secure mortgage approval.
“These are real people whose lives are being put on hold. People may need to move because of employment, health, retirement or family circumstances.
“A house should not effectively become trapped in the market because an old report records a mica percentage without proper consideration of whether the deleterious minerals and deterioration mechanisms we now understand to be important are actually present.”
“We need a clear, science-led framework that can be applied consistently across lenders and insurers and gives buyers and sellers confidence in the market.
“The science has moved on. Our banking, insurance and conveyancing systems need to move with it.
“The historic ‘mica’ label should not continue to follow Donegal homes indefinitely and prevent people from moving on with their lives.”