The now €1.4 billion project is set to be delayed further, until 2024.
The relationship between the board of the new National Children's Hospital and the contractor has become "toxic".
That's according to the chair of the Oireachtas Public Accounts Committee, after speaking to the head of the state body responsible for developing the hospital yesterday.
The development was due to cost about 700 million euro, but is now coming in at 1.4 billion - and is also facing further delays until 2024.
Committee chair, Laois-Offaly Sinn Féin TD Brian Stanley feels the running of the project needs to be overhauled: