Minister Cummins welcomes record budget 2026 allocation - €1.2billion in total allocated to local government and planning
- Published on: 8 October 2025
- Last updated on: 8 October 2025
€801.7 million for local government and €400 million for planning
Minister of State for Planning and Local Government John Cummins TD has welcomed the €801.7 million Budget 2026 allocation for local government and electoral reform.
Plus in excess of €400m is being provided in 2026 to promote sustainable economic growth and balanced regional development in the Department’s planning programme.
The funding will support the Revised National Planning Framework to facilitate increased housing supply while balancing climate, infrastructure, competitiveness/jobs and urban, regional and rural development goals.
Welcoming the increased allocation, Minister of State for Planning and Local Government John Cummins TD said;
“Investment in the planning system will further support the delivery of high quality, timely and robust plans and decisions and deliver on the ambitions of the new Planning and Development Act.
“A well-functioning, well-supported planning system is the foundation for sustainable development, timely decision-making, and the delivery of homes and infrastructure.”
Budget 2026 also further supports planning reform with funding for the implementation of the “Ministerial Action Plan on Planning Resources” alongside the commencement of additional parts of the Planning and Development Act 2024 to increase efficiency and consistency of the planning process, reducing delay, uncertainty, and cost.
The Minister added;
“We are continuing to fund additional staff for An Coimisiún Pleanála and our planning authorities – ensuring they are equipped to implement reforms and respond to growing demands.
“The implementation of the National Development Plan and the National Planning Framework will rely heavily on our planning system and we have heard loud and clear the need to resource and staff both An Coimisiún Pleanála and local authorities even further so they can achieve what the Government is asking them to do.”
Initiatives to tackle vacancy and dereliction in the Department include:
- €165 million for the Vacant Property Refurbishment Grant to support the refurbishment of vacant and derelict properties in cities, towns and rural areas, ensuring the efficient re-use of existing stock.
This is in addition to the Living City Initiative tax relief which will be extended and expanded to 2030 to support urban regeneration and tackle dereliction. A new Derelict Property Tax administered by the Revenue Commissioners will also incentivise the reuse of vacant and neglected properties and replace the Derelict Sites Levy currently managed by local authorities.
Local Government
Funding of €801.7 million for local government and electoral reform for 2026 represents an increase of €117.65m on 2025.
Speaking about the funding, Minister Cummins said:
“Local authorities are the frontline in delivering essential services that directly impact the daily lives of citizens. The Government is committed to ensuring they are fully supported in this role, including through targeted investment in reform and innovation.
“This includes dedicated funding for the Local Democracy Taskforce, which is advancing key reforms to strengthen the role of elected members, enhance local governance, and improve accountability and citizen engagement.”
Critically, local government funding in 2026 will also:
- Support important local government initiatives across the country, including reform and digitisation projects;
- Make equalisation payments to local authorities with lower Local Property Tax (LPT) income, based on revised baselines;
- Provide for increased local authority pay/pensions costs arising from the implementation of national pay agreements.
Ends