“The changing tariff landscape and increased protectionism is a key challenge for Ireland’s economic model. While the economy has remained resilient, the government will be proactive in our response. While continuing to advocate for multilateral cooperation, the SES provides resources to enhance our economic competitiveness by making large-scale investments in our public infrastructure and continuing to improve public services.

"In responding to emerging economic threats the government is also conscious of the delicate position of the public finances. At a headline level our public finances are in a strong position, with budgetary surpluses expected this year and next. However, our fiscal strength is underpinned in a large part by volatile corporation tax receipts, which represents a significant vulnerability.

"We are committing to a multi-dimensional but focussed approach in response to this challenge; boosting our public infrastructure stock, improving our competitiveness and safeguarding the public finances are the three key pillars of our approach. Through the publication of a revised NDP we are making available a record level of funding for public investment, with a particular focus on investment in the key strategic areas of water, energy, transport and housing. This will improve our public services, increase domestic and foreign investment and boost our competitiveness.

"We will also continue to invest in the Future Ireland and the Infrastructure, Climate and Nature Funds. These investments will strengthen our public finances in the medium to long term and help to address the costs associated with structural challenges, such as aging and decarbonisation.

"The emerging challenges that we face requires a budgetary strategy that is flexible, responsive and consistent with increasing Ireland’s competitiveness. In practice, this means using public resources to invest in productivity enhancing initiatives, while guarding against overly procyclical spending and building-up fiscal buffers. The budget package of €9.4 billion announced today strikes an appropriate balance between these considerations. It represents the critical first step in implementing Programme for Government commitments across the economy and is consistent with our response to the challenges being faced.”

“The Summer Economic Statement is a crucial part of our budget cycle each year, setting out the government’s strategy for the upcoming Budget. The global trading context we are operating within is shifting and changing. We are navigating this serious economic uncertainty from a position of real strength with 2.8 million people in employment, public finances in surplus and public services expanding to meet our country’s needs.

"On a day when the National Development Plan Review is also being published, the Summer Economic Statement acknowledges the transformational investment in infrastructure to safeguard our future. Significant Exchequer capital funding €102.4 billion over the period of 2026 to 2030 has been ringfenced to transform the country, unlock housing, upgrade water and energy infrastructure, deliver more roads, and provide better public transport. This is an increase of €24 billion relative to existing NDP ceilings and will be supplemented by a further €10 billion in equity and funding being provided to 2030.

"The National Development Plan review comprises the largest ever capital investment plan in the history of the State and will create the building blocks needed to deliver thousands of new homes, more childcare and school places, investment in children’s disability services and better healthcare for all. As well as providing increased capital investment under the NDP in critical infrastructure, the expenditure ceilings set out today will cater for increased demand in existing service delivery for a growing population and accommodate progress of key policies in line with government priorities across a range of sectors.

"Today’s publication of the Summer Economic Statement outlines the expenditure ceilings for 2026. Current expenditure is to increase by €5.9 billion, while capital expenditure will increase by €2 billion. This will result in total available current expenditure of €97.5 billion and capital expenditure of €19.1 billion in 2026. It will be against this backdrop that our budget negotiations will commence with individual departments in the coming weeks.

"In my role as Minister for Public Expenditure, my focus is on how our public finances can continue to best support a growing and changing population, enhance our competitiveness and build resilience in our economy. I want to ensure the decisions we make now are appropriate and permanent, can be paid for in the long term and that they deliver value for money.

"In the context of growing international uncertainty, focused investment in our capital infrastructure is the best way to safeguard our economy, drive growth and opportunity, protect jobs, increase competitiveness and ensure prosperity for our people and communities.”