Ireland: public finances

Does Ireland have a budget surplus?

Ireland is projected to run a general government surplus of €6.7 billion (1.9% of GNI*) in 2026 and €9.5 billion (2.5% of GNI*) in 2027, according to the Department of Finance's Budget 2027 Economic and Fiscal Outlook, laid before the Oireachtas on 6 October 2026. The Exchequer account is projected to be in deficit by €1.7 billion in 2026.

The general government balance includes the Future Ireland Fund and the Infrastructure, Climate and Nature Fund, so money transferred into them does not reduce the surplus. GNI* is a measure of national income that strips out much of the effect of multinationals.

Official sources: Department of Finance: Budget 2027 Economic and Fiscal Outlook (PDF)

How much tax does Ireland collect?

Ireland's tax revenue is projected at €110.5 billion in 2026 and €119.1 billion in 2027, according to the Budget 2027 Economic and Fiscal Outlook. The 2027 projection includes the effect of Budget day measures and the cost of temporary excise reductions.

The government's spending ceiling is set at €120.3 billion for 2026 and €125.6 billion for 2027. Tax revenue includes income tax, VAT, corporation tax and excise duties. Monthly Exchequer returns from the Department of Finance show how collections are tracking during the year.

Official sources: Department of Finance: Budget 2027 Economic and Fiscal Outlook (PDF)

How much corporation tax does Ireland collect?

Nearly one-third of Ireland's tax revenue in 2026, about €34 billion, is expected to come from the corporate sector, according to the Budget 2027 Economic and Fiscal Outlook. Country-by-country reporting data show that around half of the corporation tax paid to the Exchequer last year was paid by just three large multinationals.

The 2026 figure includes revenue from the higher rate of corporation tax on firms with annual turnover above €750 million, which follows global tax changes. The Irish Fiscal Advisory Council said the government plans to spend about six in every seven euros of corporation tax, and that excluding excess corporation tax it would run deficits rising from €12 billion in 2026 to €20 billion in 2030.

Official sources: Department of Finance: Budget 2027 Economic and Fiscal Outlook (PDF) · Irish Fiscal Advisory Council: Flash Release, Budget 2027

What are the income tax changes in Budget 2027?

Budget 2027 includes a personal income tax package of €1.3 billion, including a €2,500 increase in the standard rate cut-off point to €46,500, according to the Minister for Finance's Budget statement of 6 October 2026, with proportionate increases for married couples and civil partners. The main tax credits are also increased.

The standard rate cut-off point is the amount of income taxed at the 20% rate before the higher rate applies. Raising it reduces tax for people earning above the old threshold. The Budget also raised the Rent-a-Room tax-free threshold from €14,000 to €16,000. The changes take effect through the Finance Bill.

Official sources: Department of Finance: Statement by Minister Harris on Budget 2027

What is the Future Ireland Fund?

The government will transfer €7.8 billion from the Exchequer to the Future Ireland Fund and the Infrastructure, Climate and Nature Fund in 2027, according to the Budget 2027 Economic and Fiscal Outlook. The Minister for Finance announced an extra €1 billion for the Future Ireland Fund on top of a planned transfer of around €4.8 billion.

The Future Ireland Fund is a long-term savings fund intended to help pay for future costs such as pensions and health care for an ageing population. The transfers are neutral for the general government balance because both funds are inside the government sector.

Official sources: Department of Finance: Budget 2027 Economic and Fiscal Outlook (PDF) · Department of Finance: Statement by Minister Harris on Budget 2027

What is Ireland's debt to GDP ratio?

In 2025, general government gross debt in Ireland was 34.8% of GDP, according to the IMF. Its high point since 2005 was 2012, at 119.0% of GDP; its low point was 2006, at 23.7% of GDP. It is 34th highest of 51 in Europe & Central Asia, where the median is 46.9% of GDP. Worldwide: 141st of 185.

Does Ireland's government borrow more than it raises?

1.9% of GDP: that is general government net lending or borrowing in Ireland for 2025, according to the IMF. Its high point since 2005 was 2024, at 4.1% of GDP; its low point was 2010, at -32.2% of GDP. Europe & Central Asia median: -2.4% of GDP; Ireland is 8th highest of 51. Worldwide: 22nd of 188.

What is Ireland's government revenue?

According to the IMF, general government revenue in Ireland was 24.2% of GDP in 2025. The peak was 36.4% of GDP in 2006 and the low 21.9% of GDP in 2020. Across Europe & Central Asia the middle value was 41.3% of GDP, and Ireland placed 47th highest of 50. Of 187 countries with 2025 data, 110th highest.

How much does Ireland's government spend?

According to the IMF, general government spending in Ireland was 22.3% of GDP in 2025. Its high point since 2005 was 2010, at 65.0% of GDP; its low point was 2022, at 20.5% of GDP. Across Europe & Central Asia the middle value was 43.3% of GDP, and Ireland placed 47th highest of 50. Of 186 countries with 2025 data, 131st highest.

What is tax revenue in Ireland?

The IMF puts central government tax revenue in Ireland at 17.9% of GDP in 2024. Its high point since 2005 was 2006, at 26.8% of GDP; its low point was 2020, at 15.9% of GDP. It is 30th highest of 42 in Europe & Central Asia, where the median is 20.8% of GDP. Worldwide: 47th of 92.

What is Ireland's military budget as a share of GDP?

In 2025, military spending in Ireland was 0.2% of GDP, according to SIPRI. Its high point since 2005 was 2009, at 0.6% of GDP; its low point was 2022, at 0.2% of GDP. It is 45th highest of 46 in Europe & Central Asia, where the median is 2.0% of GDP. Worldwide: 144th of 149.