Labour Calls for Critical Investment in Skills and Construction Innovation

• Critical investment needed to close infrastructure gap

Labour Leader Ivana Bacik TD has called for urgent action following new findings from the Irish Fiscal Advisory Council, which reveal that Ireland’s infrastructure is lagging 25% behind that of other high-income European economies. Deputy Bacik pointed to this gap as a direct result of government inaction, emphasising that despite having ample resources, the government has failed to invest adequately in critical infrastructure, skills gaps, housing, and services to permanently alleviate the cost-of-living crisis.

Deputy Bacik said:

“This government has had the means, yet we are seeing a stark reality where, in one of the wealthiest countries in Europe, our infrastructure and services are decades behind. While other European nations forge ahead with modernised infrastructure, Ireland remains stunted due to a lack of political will to invest in lasting solutions.

“These deficits are not just numbers on a page—they represent families struggling to find housing, parents unable to access affordable childcare, and communities affected by a lack of essential services. In Labour’s Alternative Budget 2025, we outlined a clear, bold path to close these gaps. We proposed 6,000 new publicly funded childcare places to support working families and advocated for a full year of paid parental leave to ease the financial strain on young families. Additionally, Labour is committed to building 6,000 more social and affordable homes each year, targeting the housing crisis at its root.”

Deputy Bacik highlighted the need to build a skilled workforce as well as the capacity for modern construction methods to create lasting improvements.

“A key barrier to bridging this infrastructure gap is our skills shortage, which has been largely ignored by Fine Gael and Fianna Fáil. We need to invest in skills that are critical to developing and maintaining robust public infrastructure. Furthermore, we must embrace modern construction methods that many other high-income European countries have already adopted, helping to deliver quality public projects faster and more cost-effectively.

“The reality is that this Government has unprecedented budget surpluses—funds that are the envy of many countries. Yet, these funds have not been channelled into building the infrastructure we desperately need. Ireland cannot afford to remain a cash-rich country with poor infrastructure; the paradox is a disservice to the Irish people.”

Labour’s Budget, Deputy Bacik argued, was a comprehensive, realistic plan that would offer immediate and long-term solutions for Irish families and communities.

“In our Budget, Labour put forth radical but realistic proposals aimed directly at Ireland’s chronic infrastructure deficits. Our budget plan addressed key economic insecurities and laid out structured, achievable goals that would have delivered true, positive change in people’s lives.

“It’s clear that investment in infrastructure is not just about roads or buildings; it’s about reducing economic insecurity for Irish families. Our Labour Budget was focused on people—on their needs and their futures. It was a budget designed to provide the public with services they can count on, giving all of us confidence that our country is prepared for the challenges ahead.

“The next Minister for Finance will inherit a huge budget surplus, yet we have public services and infrastructure that should shame us. It’s time for a government that puts these resources to use for the people—building a society where cash-rich doesn’t mean infrastructure-poor, and where every Irish person can enjoy the prosperity this country is capable of achieving. We must make these critical investments now.”