Albert Dolan
Question:194. Deputy Albert Dolan asked the Tánaiste and Minister for Finance the contingency plans he has in place in the event of a downturn in tax revenues; and if he will make a statement on the matter. [9538/26]
View answerTuesday, 10 February 2026
Questions (194)
Written answers
Significant progress has been made over the last number of years in building a stable and sustainable tax base. This reflects the lessons learned in the aftermath of the global financial crisis, when the public finances had become overly reliant on volatile and unreliable sources of tax revenue.
The stand-out feature of Ireland’s fiscal performance in recent years has been the surge in corporation tax receipts. I have made clear that windfall tax receipts are not a suitable basis on which to build permanent expenditure commitments. Government is acting to mitigate the risks around this revenue stream: last month we made the first set of transfers this year into the Future Ireland Fund and Infrastructure, Climate and Nature Fund: by the end of this year, around €23 billion will have been transferred into the funds. This means we are setting aside a portion of these revenues to prepare for future challenges and enhance our economic resilience, instead of relying on them to fund day-to-day spending.
More broadly, the best way to guard against a decline in tax revenues is to continue to pursue a balanced and sensible approach to overall budgetary policy. Last year, Government published Ireland’s Medium Term Fiscal & Structural Plan, which targets continued budgetary surpluses and keeps public spending at sustainable levels while also allowing for continued investment in our economy and public services.