Dáil Éireann Debate, Wednesday - 13 May 2026
28. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance to set out the rationale for running an exchequer deficit in the years 2026 to 2030, primarily to finance transfers to the Future Ireland Fund and the Infrastructure, Climate and Nature Fund, as set out in Table 12 of the Annual Progress Report 2026; and if he will make a statement on the matter. [35425/26]
Amharc ar fhreagraThe Annual Progress Report assumes an Exchequer deficit for the next four years.
The Exchequer position over the forecast horizon reflects ongoing transfers to the Future Ireland Fund (FIF) and Infrastructure, Climate and Nature Fund (ICNF).
The transfers to the FIF and ICNF are a core pillar of this Government’s budgetary strategy. These funds will allow us to save a portion of windfall tax receipts to prepare for future challenges instead of using them to fund day-to-day spending. As of today, just under €20 billion has been transferred into the two funds, enhancing our fiscal resilience.
The FIF will help absorb some of the increased expenditure pressures that we know are on the horizon, such as the costs associated with demographic change, while the ICNF will be used to fund climate-related expenditure projects, such as the Metrolink.
I would emphasise that the transfers to the funds do not impact on the wider general government position. These transfers involve simply moving funds from one part of the government sector, i.e. the Exchequer, to another i.e. the FIF and ICNF.
On a general government basis, the fiscal position is projected to remain in surplus for the rest of the decade.
