I move amendment No. 2:
To delete all words after "Dáil Éireann" and substitute the following:
"affirms Government's efforts to:
— deliver a more frequent, reliable, accessible and sustainable public transport network;
— rollout contactless fare payments on all public transport, and keep fares low and affordable;
— place the Public Service Obligation (PSO) programme on a more sustainable footing;
— support households and businesses through addressing congestion; and
— work to address Ireland's climate targets;
notes that:
— the Government is committed to the delivery of major public transport projects, as evidence by last year's review of the National Development Plan (NDP) allocation of €24.3 billion to transport projects from 2026 to 2030;
— while the Government has allocated an unprecedented level of investment in transport, representing an almost 87 per cent increase as compared to the previous five-year period, investment decisions will always require a degree of sequencing and prioritisation of individual projects;
— for public transport infrastructure, there is over €12 billion in funding in the NDP from 2026 to 2030, this represents more than double the amount provided in the previous five years;
— the funding in the NDP will provide for the progression of a number of major public transport projects over this period, including the commencement of construction of MetroLink, Luas Finglas, the Dublin Area Rapid Transit (DART)+ Programme and the Western Rail Corridor from Athenry to Claremorris, as well as the continued implementation of the Cork Area Commuter Rail Programme and the BusConnects programmes across Dublin, Cork, Galway, Limerick and Waterford cities;
— this funding will see the new DART+ Fleet rollout next year, as well as enabling early construction work to commence on DART+ West next year;
— on public transport services, PSO journeys have continued to grow steadily, reaching a record 363.5 million passenger journeys by the end of 2025, this represents an increase of 6 per cent or almost 20 million journeys over the 2024 total of 343.6 million, this sustained and significant growth in passenger numbers underlines the extent to which people are increasingly relying on public transport and demonstrates the critical importance of maintaining and investing in the network to meet this demand;
— Connecting Ireland Rural Mobility Plan is another strong example of progress, delivering exponential growth in rural transport since its launch in 2022, 185 new and enhanced services have been introduced, resulting in almost 8 million passenger journeys in 2024, where Connecting Ireland Rural Mobility Plan services have been implemented, patronage rose by 38 per cent from 2023 to 2024, and is up by 165 per cent compared to early 2019;
— passenger fare revenue is a critical component of the funding base, and is essential to maintaining the financial sustainability of the network into the future;
— since 2022, passengers have benefited from a 20 per cent cost of living fare reduction, extension of the 90-minute fare, a 50 per cent discount for Young Adults and Students, free travel for children under nine years of age, and extensions to the eligibility of the Free Travel Scheme, which is run separately by the Department for Social Protection;
— even following the 2026 adjustment, fares remain approximately 8 per cent lower in real terms than they were eight years ago, and the additional revenue generated through this determination together with continued Exchequer investment, will help the National Transport Authority (NTA) manage rising operating costs, improve capacity and reliability on existing services, and continue the rollout of new services;
— in 2025 alone, 363.5 million passenger journeys were made on the Transport For Ireland network – this level of demand places significant pressure on the funding required to sustain and expand services, and underlines why fare revenue is an essential component of the overall funding model;
— public transport remains highly competitive and affordable, the fare changes support continued network expansion and climate objectives by funding future improvements;
— the Government recognises that an equitable and reliable public transport network plays a vital role in encouraging a shift away from private car use, it is essential that the public transport system remains well funded and responsive to passenger needs and adequate fare revenue is essential to support this; and
— the NTA continually works with operators to improve efficiency and maximise value for money from both fare revenue and public investment, however, public transport services have expanded significantly in recent years, and operating costs have increased substantially, a sustainable public transport network requires an appropriate balance between fare revenue and Government funding to support continued growth and investment.".
We can all agree on the importance of stabilising the PSO funding model, investing in the public transport network and the crucial role that fare revenue plays in addressing this. I welcome the chance this evening to discuss the measures already being progressed and those that are captured as part of wider policy initiatives across Government.
In accordance with its responsibilities under the Dublin Transport Authority Act 2008, the NTA announced an adjustment to national fares as per its new fares determination on 3 September 2026, with the revised fares taking effect from January 2027. This is a critical step in the standardisation of the national fares structure and in line with the national fares strategy published in 2023. The key objective of that strategy is providing a more equitable and consistent structure for all PSO services, to which I will return later.
Fare revenue covers approximately 38% of the cost of operating PSO services nationally compared to the European average of 44%. The direct State subvention is much higher in Ireland than the European average. In 2025, about €850 million was spent on the PSO programme, which included a €192 million supplementary requirement to support our public transport network. In 2026, we raised the base for PSO funding with a substantial increase but inflationary pressures have increased the cost of operating public transport services. This has limited the NTA’s ability to introduce improvements to existing or new services, which many of the Deputies opposite are calling for. The adjustments to fares are required to help offset the cost increases in recent years, improve fare revenue recovery and ensure the sustainability of the PSO model. That model underpins our transport system and, importantly, allows for the continued roll-out of BusConnects, Connecting Ireland and DART+.
Since 2022, we have seen inflation of almost 21% which has driven up the cost of operating subsidised public transport services, including fuel, vehicle maintenance and staff costs. In the same period, public transport fares have decreased through various measures, such as the 20% cost-of-living discount, the young adult card discount of 50% and the extension of free travel to all children under nine, which no one opposite has mentioned. This has meant that approximately 1.5 million, or 27% of people in the Republic, are eligible for free or reduced-fare travel. While this is positive from a social inclusion perspective, it has widened the gap between what it costs to run services and the revenue fares bring in. There is a requirement to strike the right balance in public transport fares to enable further enhancements, which both Government and Opposition Members are calling for, to the public transport network in the coming years, offer the most competitive fares to younger and student passengers and to ensure value for money of the PSO subsidy to society.
While adult fares will increase by an average of 15%, child fares are being reduced in several areas nationally. In the Dublin commuter zone, in regional cities, in participating towns and on TFI Local Link services, a new reduced child rate will apply set at 33% of the equivalent adult fare. Again, no one opposite mentioned that. The determination will also continue to protect existing Government-supported fare initiatives, including the free travel scheme, free travel for children under nine years of age, and free companion travel arrangements for people aged over 70. A lot of people - approximately 1.5 million - are supported under the free travel schemes and rightly so. The NTA’s assessment is that even with these changes fares will remain approximately 8% lower in real terms than they were eight years ago.
Despite any demand elasticity effects arising from the fare increase, steady passenger growth is expected to continue throughout 2027, reflecting the continued strength of underlying demand for public transport services. Ongoing expansion and enhancement of services are anticipated to attract additional users and further strengthen public transport demand, outweighing any moderate reduction in demand associated with higher fares. The NTA will continue to monitor patronage trends across the network. I want to be really clear that any overall increase in revenue generated will go straight back into investment in public transport services, delivering better connectivity, increased capacity and greater reliability for passengers and commuters. I represent a commuter constituency as well and I speak to commuters from across the country. I know that what they are looking for are reliable services and more services. This investment also forms a key part of the Department's engagement. In the budget process, I will be seeking additional funding to further expand public transport services.
The NTA continuously monitors punctuality, reliability and demand. The Deputies opposite are right to raise specific issues on certain routes and I raise them directly with the NTA myself.
We needed many of those routes to improve reliability and provide additional services. The additional funding that will be provided in 2027 will be directed exactly to that end. We are working closely with the NTA to address the service issues. I am working with it directly on that. We must ensure reliability is improved for passengers.
The NTA has identified approximately 140 new and enhanced service initiatives nationally as part of the additional funding that will be available under the 2027 budgetary Estimate. Many Members have spoken about certain services they want to see. I, too, want to see them. We must ensure the funding is there to enable that to happen. That will be done through fare income, which is an important part of it, and through public service obligations. When I became Minister for Transport, I said I wanted to put the PSO process on a sustainable footing such that we do not have to go back every single year looking for Supplementary Estimates. A bus or rail network cannot be planned into the future in that way.
The additional revenue will be focused on providing a lot of the new services people are looking for, while also protecting the most vulnerable. There are three aspects to improving public transport accessibility, particularly for people with disabilities. The first is ensuring there is a universal design approach for all new infrastructure, to which our ambitious investment programme will adhere. The second is addressing legacy infrastructure deficits. We have greatly increased the funding to retrofit legacy inaccessible parts of our infrastructure. We will maintain that increased level of funding to ensure disabled people will be able to turn up and go, just as they should be able to do. Third is providing supports for independent travel. The NTA has expanded the independent travel support scheme to Dundalk, Drogheda, towns in Donegal, Sligo and Leitrim, and to the Louth Meath Fingal Local Link area.
Under the national development plan, as Deputies know, there is significant increased investment in the public transport network. In the Fingal area, work is commencing on MetroLink, which will carry 20,000 passengers per hour to and from the city. Planning has been approved for the Luas extension to Finglas. Phase 1 of the Cork commuter rail project is done and we are moving on to phase 2. Work is under way on the Liffey Valley BusConnects, with a second corridor contracted. All of these services are critically important for a growing population.
We are seeing people respond to those developments. In the past full year, there were approximately 363.5 million public transport journeys. I want to see more of that. We want to see improvements across our rail system. Deputy Martin Kenny mentioned issues in Sligo, of which I am aware. Issues in different areas are raised with me regularly at Question Time. I want to see improvements because I want to see more people using public transport services. We have had a significant increase over the past number of years, including last year. This year, we are projecting a 6% increase.
Commuters want affordable services but they also want reliability and to see an expansion of the services that are already there. I assure Deputies that the additional income arising from the NTA determination on fares is not to secure a stand-still position. In fact, it is to provide additional services. As part of the budgetary discussions I am engaged in, I am seeking additional funding to enable us to do even more. Fortunately, we are now in a position in which we are able to build significant public transport infrastructure across commuter rail, Luas and DART services. The roll-out of DART+ will take the service into Deputy O'Reilly's constituency as well as my own. That has been long called for and it is starting this year through shared island funding and additional funding from my Department.
This year was a stabilisation year across services. There still are issues regarding reliability and punctuality on certain services in particular. I raised those issues directly with the operators and the NTA and I am meeting the latter again tomorrow to discuss them. I assure Deputies that the additional revenue from the fare determination brought forward by the NTA will go into new and expanded services. Many of the Deputies' constituents and commuters generally are looking for that, and I intend to deliver it. As part of our budget negotiations, we intend to secure additional funding to do more in that regard.
I thank Deputies for their comments and feedback. It is important to get feedback. We all want to see improved services and an increase in the use of public transport. What we are doing will help to ensure that happens.