As Minister of State at the Department of Transport with special responsibility for Rural Transport, I have responsibility for policy and overall funding in relation to rural public transport service provision.
A fundamental reset in funding was required to place the Public Service Obligation (PSO) programme on a sustainable, long-term footing, in line with the Programme for Government. Accordingly, the 2026 PSO allocation was structured to eliminate the need for supplementary in-year funding, providing greater certainty and stability for service delivery.
To underpin this, the Department secured an unprecedented €940 million allocation for PSO and TFI Local Link services in Budget 2026, a substantial 43% increase on Budget 2025. This significant investment provides a robust foundation to ensure that existing public transport services are delivered reliably and sustainably throughout the year, enabling the system to meet rising passenger demand and assist to absorb growing operational costs. €31m has also been ring-fenced for dedicated investment into key rural transport services.
Below are the details for the Rural Transport Programme, Rural Regular Services, and Connecting Ireland including maintenance and implementation of relevant new services:
|
Year
|
Current Expenditure
|
Capital Expenditure
|
|
2020
|
€22.8m
|
€0.65m
|
|
2021
|
€27.6m
|
€0.65m
|
|
2022
|
€34.6m
|
€0.65m
|
|
2023
|
€47.8m
|
€0.875m
|
|
2024
|
€54.2m (+ €10m all new services*)
|
€3.1m
|
|
2025
|
€73.4m (+ €15m all new services*)
|
€3.3m
|
|
2026
|
€97m
|
€3.4m
|
*During 2024 and 2025 there was a combined allocation to New Services (Connecting Ireland, New Town Services and Bus Connects).