Budget 2027 – time to invest in Ireland’s future

16.06.2026: The Irish Universities Association (IUA), representing Ireland’s seven research intensive and enterprise engaged universities, has called on Government to deliver for the sector and for the future of Ireland’s society and economy in Budget 2027. Government agreed in 2022 that the sector was underfunded by over €300m annually. Four years on, despite massive increases in spending elsewhere, the gap is still substantial – €133.5m of the original annual deficit remains compounded by emerging pressures on student numbers and pay awards. This is a time for sustained investment in education, at a time when geopolitical turmoil and technological change mean Ireland’s knowledge economy is more important than ever.

In its pre-budget submission, presented to Minister Lawless on 15 June and sent to the Taoiseach, Tánaiste, and Ministers Chambers and Burke, the IUA is therefore calling for:

• €190m annual increase in Core Grant funding to tackle under-investment and meet unavoidable cost increases in 2027;
• €250m over 5 years in capital spending to upgrade universities’ digital Infrastructure, to provide teaching and research at the cutting edge of AI;
• €475m over 4 years in capital spending to Decarbonisation our university estate and create fully sustainable campuses;
• The unlocking of the National Training Fund (now almost €2bn) to allow universities to provide the lifelong learning, upskilling and reskilling Ireland needs.

Paul Johnston, Director General of the IUA said:

“These are big numbers, but there are huge opportunities here, which we risk missing. Ireland is rightly proud to have one of the highest percentages of third level educated citizens in the world. This is a necessity, not a luxury. Ireland’s only natural resource is its people. And highly educated and skilled workers and citizens are at the core of Ireland’s future. Budget 2027 is thus the time for Government to invest in our leading universities, to allow them to meet their full potential in both teaching and research, to ensure that our graduates continue to meet the demands of a rapidly changing society.

“Government has acknowledged a €307m annual underfund in higher education, and Budget 2027 is the time to show decisive progress in their commitment to address it. There is a clear choice on Budget day: act decisively to close the funding gap, supporting students of all ages, or risk eroding the capacity, quality and competitiveness of our third-level sector.

“An increase in the Core Funding grant of €190m will be an important step, addressing legacy funding deficits across the sector and will support the sector in continuing to cater for increased enrolments arising from demographic growth. This will support an additional 550 academic posts, having an immediate impact on not only the quality of teaching, learning and research, but also on student experience.

“Investment in digital infrastructure and decarbonisation will allow universities to provide students the rapidly evolving skills they need to thrive, but also to keep pace with our obligations under the Climate Action Plan.

“Technology is changing what education looks like in real time. We need to accelerate the shift towards lifelong learning, up-skilling and re-skilling. Unlocking the National Training Fund (NTF) is absolutely crucial to allow universities to respond proactively to the rapidly changing needs of employers, businesses and students. IBEC and ISME are making similar demands of government.

“Ireland’s universities are known worldwide for the quality of teaching, research, and that of our graduates. We cannot take this for granted, and we cannot maintain these standards without proper investment and support. Last year’s budget saw welcome capital investment in new infrastructure for research. But infrastructure (human as well as physical) is needed to keep our universities at the cutting edge of teaching and research, to the benefit of Irish society and the economy. The higher education sector has been waiting too long for this investment, and Budget 2027 is the right time to do so.”

Ends

Additional notes:

The Irish Universities Association (IUA) is the voice of Ireland’s seven research-intensive universities: Dublin City University, Maynooth University, Trinity College Dublin, University College Cork, University College Dublin, University of Galway and the University of Limerick. We have over 155,000 students across undergraduate and postgraduate courses, including almost 10,000 PhD candidates.

Our universities contribute around €10 billion to the Irish economy every year, almost 3% of GNI.  By comparison Ireland spends less than1% of GNI on tertiary education – well below the EU25 average and ranking Ireland 40th out of 42 OECD countries.

Our seven IUA universities accounted for almost 45,000 graduates, three fifths of all graduates, in 2024. Alongside students entering higher education directly from secondary school, our universities are increasingly supporting learning at every stage of life, with almost 36,000 part-time and flexible adult learners enrolled in 2024/25.

In 2024, research investment across Ireland’s higher education sector reached €880 million, with IUA universities accounting for three quarters – almost €670m – of all research activity. 85% of Irish university spin-out companies originate from research conducted within IUA universities.