Finance Minister Michael Noonan has said there has not been any real discussion on a Brexit, which he said was a scenario that nobody wants.
He was responding to a question from Fianna Fáil Finance spokesman Michael McGrath in the Dáil, who said while he sincerely hoped a Brexit did not happen, the country had a duty to be prepared.
Minister Noonan said the focus of the Government was assisting the UK to remain in the EU.
The Minister said that Ireland would be the most affected member state if the UK were to leave the European Union.
He also said that Ireland believes the EU is stronger and more effective with the UK as a member.
Minister Noonan said there were precedents in place in terms of what would replace the existing agreements, citing Norway as an example of a country outside the EU.
He said it was better to look at it as the UK trying to make changes for the better of all members. "I would see a situation where the UK advocates change, we would all benefit," he said.