Minister Harris announces €1 billion European Social Fund Plus Programme investment in employment, skills and social inclusion

Minister for Further and Higher Education, Research, Innovation and Science Simon Harris has today announced a €1 billion co-funded investment in employment, skills, social inclusion and poverty in Ireland.

The funding is a joint investment by the Irish Government and the European Union under the European Social Fund Plus. €573 million will come from the Irish Government and €508 million from the European Union, for the period until 2027.

Speaking today, Minister Harris said:

The following priorities have been identified for funding:

• access to employment
• skills and lifelong learning for all
• tackling poverty and social exclusion
• social innovation

Almost half of the funding, nearly €499 million, will be directed towards tackling poverty and social exclusion, especially among people from disadvantaged communities and children’s services, as well as promoting equal opportunities for everyone in society, regardless of their background.

More than €180 million will be spent on driving employment, with a particular focus on young people and the long-term unemployed.

A further €281 million will go towards upskilling, reskilling and promoting lifelong learning, including entrepreneurial and digital skills, and assisting with promoting professional mobility.

Among the new measures will be a €31 million investment in upskilling childcare workers, and an investment of €11 million investment in sport for social inclusion innovations.

The total amount of investment being made available under the ESF+ Programme is over €1 billion (€1,081,009,996).

The European Social Fund (ESF) is the EU's main instrument for investing in people, focusing on improving employment and education opportunities as well as enhancing social inclusion and tackling poverty.

The ESF is implemented by Member States in partnership with the European Commission and the ESF Managing Authority in the Department of Further and Higher Education, Research, Innovation and Science has responsibility for implementation of the ESF in Ireland.

ESF Funding is allocated over 7 year programming periods aligned to the EU’s Multi-Annual Financial Framework.

For the 2021-2027 period, the ESF will be merged with the Youth Employment Initiative (YEI), the Fund for European Aid to the most Deprived (FEAD) and the directly managed Employment and Social Innovation (EaSI) Programme, to become the European Social Fund Plus (ESF+).

The European Commission concluded formal negotiations on the 2021-2027 funding round during 2022. Funding negotiations with members states were delayed as the Commission responded to challenges presented by the COVID-19 pandemic, and the consequences of Russia’s aggression against Ukraine.

Ireland’s ESF+ allocation for 2021-27 is €508 million in current prices. ESF+ is a co-financed programme, which means that the EU allocation must be matched by national funding. The co-financing rate varies by region. Ireland will have three NUTS 2 regions in the 2021-2027 round, with two different rates of co-financing. As ‘more developed’ regions, the Southern and the Eastern & Midlands regions will receive 40% in EU co-financing, while as a ‘transition’ region the North-Western region will receive 60% in EU co-financing. Higher rates of EU co-finance apply to measures supporting social innovation and assistance to the most deprived.

The focus of Ireland’s Employment, Inclusion, Skills and Training (EIST) Programme was informed by an independent needs analysis, the relevant EU regulations, Country Specific Recommendations, the European Commission’s investment guidance, a wide range of EU and national strategies, a public consultation and the input of key stakeholders as part of the partnership process.