A building company has denied saying that intimidation stopped work on temporary housing for homeless families in Ballymun in Dublin.

A statement from Dublin City Council had said that men in balaclavas threatened to "burn out" the machinery of Western Systems, based in Tyrone, unless they returned to the North and the men also allegedly threatened their security staff.

But the construction company has denied making this statement and the security company CK Security also denied any intimidation took place.

The city council issued their statement to explain the delay in providing 22 units of prefabricated units for homeless families.

It had been planned to have the families housed by the end of this month but the council said that because of the stoppage and problems due to bad weather it would not now happen until mid-January.

The site in Poppintree had been the subject of protests from people who feared the modular housing would interfere with the provision of 40 social housing units.

There were also concerns about the suitability of prefabricated units for homeless families.   

These issues were resolved following negotiations between the protestors and council officials.

The city council said it intends to go ahead with plans to build another 131 other units of 'rapid build modular housing' on other sites.