From:Department of Finance;Department of Public Expenditure, Infrastructure, Public Service Reform and Digitalisation

The Tánaiste and Minister for Finance, Simon Harris, T.D., and the Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, Jack Chambers T.D., today (Wednesday) published the government’sSummer Economic Statement 2026following agreement at Cabinet this morning.

This document sets out the Government’s budgetary strategy and outlines the fiscal parameters within which discussions will take place ahead ofBudget 2027.

TheSummer Economic Statement(SES) provides for a total budgetary package of €8.5 billion for 2027. The package is composed of additional public spending amounting to €7.0 billion; new taxation measures amounting to €1.5 billion are provided for.

For 2027, the overall government expenditure ceiling is €125.5 billion. This is made up of €105.2 billion of current spending and €20.3 of capital spending. This represents an increase of 5.9 per cent, or €7 billion, over the 2026 expenditure ceiling and is in line with the ceiling set out in theMedium-Term Fiscal and Structural Plan(MTP) last December. Of the expenditure increase, €5.9 billion is being provided for current expenditure, while €1.1 billion is being allocated for capital expenditure.

Speaking today, the Tánaiste and Minister for Finance Simon Harris said:

“Despite the significant challenges faced this year, the Irish economy remains in a good position. There have never been more people at work, consumer spending is strong and both public and private investment levels are high.

“However, the international backdrop remains highly uncertain, and our economic resilience could yet be tested. For that reason,Budget 2027will be about rewarding hard work, boosting competitiveness and investing for the future.

“The budget package of €8.5 billion will allow us to continue to improve public services, to ramp-up spending on critical infrastructure and, importantly, to deliver a tax package that supports workers at a time when cost of living pressures are weighing on so many people.

“The people of Ireland rightly expect to keep more of their money at the end of the week. They also expect the taxes they do pay to be spent wisely. In short, they expect Government to deliver.

“InBudget 2027I intend to do just that.”

The Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation Jack Chambers said:

“Budget 2027is the opportunity to better reward work and better reward workers across the Irish economy.

“The level of public expenditure has increased significantly in recent years. This investment has expanded access to public services and social supports, supported people with cost challenges in our economy and is contributing to accelerating infrastructure delivery.

“The challenge now is to ensure that investment translates into tangible improvements to our public services which people can see, feel and live everyday.

“Across Ireland, people are working hard, paying their taxes and making a significant contribution to our economy. They deserve to see the benefits of that effort reflected in better public services, stronger infrastructure and more money in their pockets.

“There must be an increased focus on delivery, productivity, spending efficiency and reform so that every euro the State spends maximises value for taxpayers’ money.Budget 2027is the opportunity to achieve this.

“Increased expenditure must deliver improved public services, deliver high quality infrastructure including new homes, roads, public transport and critical water and energy infrastructure, and drive better living standards for people in communities across our country.

“We must continue to invest in Ireland’s future while ensuring that public expenditure remains sustainable over the medium and long term.Budget 2027is the opportunity to better reward work through a substantial tax package; build the critical infrastructure our communities need now and safeguard our country’s future through sustainable investment.”