Tax revenues rise as public spending grows steadily
Tax receipts in Ireland have surged by over €7 billion to October, signalling a robust economic performance. Meanwhile, government expenditure has expanded notably in health, social protection, housing, and transport, reflecting ongoing investment in vital public services.
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Ireland’s tax revenues reached €85 billion by the end of October 2026, marking a significant increase of €7.9 billion, or 10.3%, compared to the same period last year. Income tax receipts stood at €3.3 billion in October alone, 13.6% higher than the previous year, with cumulative income tax totalling €31.1 billion. Although VAT receipts dipped slightly in October due to technical adjustments, they remain 7.3% ahead for the year at €20.5 billion. Corporation tax collections rose by €0.1 billion in October, bringing cumulative receipts to €23.9 billion, a 23.4% increase year-on-year.
Government spending also rose substantially, with total gross voted expenditure reaching €93.6 billion, an increase of €6.5 billion or 7.4% compared to 2025. Current expenditure accounted for €81.6 billion, driven largely by rises of approximately €1.7 billion each in health and social protection budgets. Capital expenditure grew by €0.8 billion to €12.0 billion, underpinning critical infrastructure projects in housing and transport.
Tánaiste and Finance Minister Simon Harris emphasised the resilience of the Irish economy despite global uncertainties and highlighted the Government’s fiscal prudence, including a €1 billion allocation to the Future Ireland Fund next year. Minister for Public Expenditure Jack Chambers reaffirmed the commitment to delivering enhanced public services and ensuring efficient use of increased funding following Budget 2027 announcements.
Government spending also rose substantially, with total gross voted expenditure reaching €93.6 billion, an increase of €6.5 billion or 7.4% compared to 2025. Current expenditure accounted for €81.6 billion, driven largely by rises of approximately €1.7 billion each in health and social protection budgets. Capital expenditure grew by €0.8 billion to €12.0 billion, underpinning critical infrastructure projects in housing and transport.
Tánaiste and Finance Minister Simon Harris emphasised the resilience of the Irish economy despite global uncertainties and highlighted the Government’s fiscal prudence, including a €1 billion allocation to the Future Ireland Fund next year. Minister for Public Expenditure Jack Chambers reaffirmed the commitment to delivering enhanced public services and ensuring efficient use of increased funding following Budget 2027 announcements.
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