The Mental Health Commission has raised concerns over the suitability of several psychiatric hospitals in its annual report.
The Commission says many facilities need to be updated.
A recruitment freeze by the HSE last year has seriously impeded the delivery of mental health services, according to the Commission.
The condition of long stay wards in many large psychiatric hospitals remains poor, according to the Inspector of Mental Health Services.
In her annual report, Bríd Clarke says such hospitals are engaged in a running battle with damp, mould, falling plaster and peeling paint. She says wards are often drab and dirty.
Serious concerns have been expressed about six hospitals including, St Loman's in Mullingar, St Davnet's in Monaghan and St Ita's Hospital in Portrane.
The inspector also claims that admission units in Navan, Bantry and the Mater Hospital fail to reach an acceptable standard of privacy, space and comfort.
The HSE recruitment embargo, which ran for four months at the end of last year, still impacts on the delivery of mental health services, the Commission says, and the development of services has been greatly impeded by ongoing recruitment difficulties.
There are around 460 unfilled posts in the mental health sector.
A lack of progress in implementing Government policy on mental health care is noted and the Commission criticised the fact that children are still being treated in inappropriate settings, such as adult-approved care centres.
Responding to this mornings claims from the Mental Health Commission a spokesperson for the HSE said that 10,000 people are currently employed in the mental health sector.
The spokesperson said the estimated 400 vacancies is not excessive.
A continuing recruitment campaign is ongoing and in the last number of weeks vacancies for pschyiatrists have been advertised.
The HSE says a number of additional posts in the mental health area are to be advertised in weekend newspapers.
The spokesperson has also said that at present there is no recuitment embargo in place within the HSE.