Minister for Public Expenditure Jack Chambers has announced an increase in the standard capitation rates paid to all schools.
This will include, on a per pupil basis, €50 for primary and special schools (from €224 to €274), and €20 for post-primary schools (from €386 to €406).
In addition, Mr Chambers said the Department's €1.6bn capital allocation for 2026 "will progress delivery of over 300 school building projects with the majority of these expected to be completed in 2026 and 2027".
"Within this, there will be a strong focus on delivering additional capacity for approximately 2,800 places for special classes and special schools and the first tranche of projects under a Climate Action Summer Works Scheme."
Welcoming the €50 increase per student, the Catholic Primary School Managers Association called it "a positive step towards a properly funded primary system".
"We haven't quite got to the promised land but we are in sight of it."
Primary teachers union the INTO said the increase showed the government had heard the sector's calls.
"Although the rise falls short of the €75 per pupil demanded by the INTO, it should help our primary and special schools to balance the books next year" the union said.
Overall, the Department of Education and Youth will receive funding of €13.1bn for 2026.
The funding will go towards 1,717 additional Special Needs Assistants (SNAs). The Government said this funding will see the highest number of SNAs we have ever had in our education system, at almost 24,900.
In addition, there will be an increase of 1,042 teacher posts, including 860 additional teachers working across various Special Educational Needs settings including in mainstream, special classes and special schools.
Anthony Quinn, president of the Teacher's Union of Ireland that has members at second and third-level, said that his sector was "suitably underwhelmed" and haven't seen any substantive improvements in this budget.
He said that certainly on large ticket items, the sector has seen a silence from the Government. He said due to the problems caused by ongoing underinvestment and cut backs, it is not going to alleviate the recruitment and retention crisis that exists in the sector.
Students react to changes to college fee:
According to Mr Chambers, €4.1bn of current expenditure will allow for increased delivery of apprenticeships to support key infrastructure projects for the economy; the provision of 1,110 new places in key health and social care professions to meet the workforce needs of the health, disability and education sectors; and a permanent reduction of €500 in the student contribution fee (to €2,500) to support students facing rising living expenses.
However, national student body AMLÉ said the loss of a temporary €1,000 relief granted in recent years means an effective €500 increase in fees, and that students are "extremely disappointed".
It said this would "be felt as an increase", and would have "a significantly negative impact on student welfare".
AMLÉ pointed out that Ireland has the highest student fees in the EU, and on SUSI grant measures said: "We of course welcome an increase on thresholds and non-adjacent grant rates, details of which we expect to be published by the end of the month."
Kathryn Walsh, National Youth Council of Ireland director of policy and advocacy, said: "A €500 college fee reduction is not progress. The announcement of a permanent €500 cut falls far short of the €1,000 reductions students and families had come to rely on in recent years. This isn't just a financial shortfall—it’s a breach of trust."
Meanwhile, a capital allocation of €810m will fund key infrastructure projects, including the recently established Taighde Éireann, student accommodation projects at Maynooth University and University College Dublin, development and operation of 11 technological university facilities covering 70,000 sq m and supporting stem and related disciplines.
This capital allocation will also go towards two new veterinary medicine colleges to almost double the number of veterinary graduates, and the progression of centres of excellence for retrofit skills, including Near Zero Energy Buildings and the National Demonstration Park for Modern Methods of Construction under Housing for All.
Investment in the School Transport Scheme will bring 170,000 students to and from school.
As part of Budget 2026, the education funding will support the implementation of DEIS Plus and a new DEIS Plan, while the planned rollout of the Education Therapy Service will commence in special schools providing access to essential therapy services.
Additional funding for young people through youth services is also being provided, with an increased focus on capital investment.
The Department of Further and Higher Education, Research, Innovation and Science will receive funding of almost €5bn in 2026.
