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Hundreds of billions set for Irish infastructure and development plan

July 21, 2025 by

THE Irish Government is set to approve a revised National Development Plan (NDP), unlocking €200 billion in infrastructure investment over the next decade.

The new strategy, which outlines €100 billion in spending from 2026 to 2030 and a further €100 billion from 2031 to 2035, is being positioned as a cornerstone of Ireland’s long-term economic prosperity.

At the heart of the plan is a drive to modernise Ireland’s essential infrastructure, particularly in housing, transport, energy and water services.

Public Expenditure Minister Jack Chambers described the plan as a “step change” in capital investment, stating that the goal is to tackle infrastructural shortfalls while positioning Ireland competitively on the global stage.

The revised NDP includes a €30 billion boost in spending over the next five years, a rise from the €20 billion previously earmarked for this period.

This increase has been made possible, in part, by Ireland’s €14 billion windfall from the Apple tax case and revenue from recent sales of state-held shares in AIB and other bailed-out banks.

Central to the government’s strategy is a focus on basic utilities, such as water and sewerage systems, which are currently blocking housing development in Dublin.

Without new treatment capacity, councils may soon be unable to approve planning applications.

Uisce Éireann has called for an additional €2 billion on top of existing funding to tackle growing demand and modernise outdated infrastructure, including the already overstretched Ringsend plant.

The NDP also earmarks funds for electricity infrastructure, responding to surging demand driven by population growth and the rapid expansion of energy-hungry data centres, which now consume over 20 percent of Ireland’s electricity supply.

The revised plan reflects a shift in government priorities on transport spending.

The previous coalition’s 2:1 ratio favouring public transport over roads has now been dropped.

Chambers confirmed that while public transport and active travel will receive a major uplift, road projects in regions like the west and southwest will also move forward, many of which have been delayed for years.

Flexibility will be given to Transport Minister Darragh O’Brien to scale funding up or down depending on local needs.

Despite mounting pressure, the NDP does not list individual projects yet, including controversial initiatives such as the Dublin Metro, which remains in limbo with an estimated cost of up to €23 billion and a new potential completion date of 2035.

Defence will also receive increased funding, a notable change for a country with a long-standing policy of neutrality.

With the war in Ukraine ongoing and rising tensions in global trade, concerns have mounted over the vulnerability of undersea cables and pipelines in Irish waters.

While Ireland has resisted calls to join NATO, the government has acknowledged the need to modernise the Army, Naval Service, and Air Corps, suggesting that defence spending will no longer be left on the periphery of national planning.

Officials have been keen to underscore that the economic backdrop for this plan is unlike anything seen in recent years.

Speaking ahead of the Summer Economic Statement, Tánaiste Simon Harris stated the importance of being prudent and realistic in projecting figures, warning that the global environment requires cautious but decisive action.

Junior Minister Seán Canney reinforced the need to plan even as global risks loom, saying that Ireland cannot afford to wait for clarity on issues like tariffs before preparing for the future.

Despite the scale of ambition, the full list of projects funded by the plan won’t be released for several months.

Climate advocates, regional representatives, and opposition parties will be watching closely to see whether the government can strike a balance between long-term sustainability and immediate infrastructural demands.

As billions are committed to reshaping the country’s future, the challenge now is not just allocating funds but ensuring that delivery matches expectation.

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