Dáil Éireann Debate, Tuesday - 12 May 2026
306. Deputy Eoghan Kenny asked the Minister for Defence the basis on which the current levy arising from public expenditure overruns is being calculated and applied to her Department’s Vote; whether any categories of expenditure, including pay, pensions or staffing-related costs, are exempt from the levy within her Department; and if she will provide a breakdown of the areas against which the levy is being applied [35077/26]
View answerAs recently advised by the Department of Public Expenditure, Infrastructure, Public Service Reform and Digitalisation (DPEIPSRD), a levy will apply to current expenditure in the Defence Vote Group in 2027. This arises from a need to moderate expenditure growth across other Departments and reprioritise additional investment from within agreed fiscal frameworks towards the Education sector.
The overall approach to the levy has been determined at whole-of-Government level, with its distribution designed to protect certain priority areas of expenditure. In this context, particular categories of expenditure within the Defence Vote Group, namely pensions and capital expenditure are exempted.
My Department is required to develop and submit its efficiency and reform proposals to the DPEIPSRD by 17 July to meet its levy requirement, with these proposals forming a key element of forthcoming Budget 2027 engagements. In line with the deadlines specified, work is now ongoing within my Department to consider all available options.
As this process has not yet been concluded, it is not possible at this stage to provide a definitive breakdown of the specific areas against which the levy will be applied on the Defence Vote.
