€1.3bn in water body costs

More than €1.3bn will be added to the government deficit over a three-year period if a key Eurostat decision on Irish Water goes against the government.

The embattled water utility was provisionally classified by the Central Statistics Office (CSO) as residing on the government’s books in March.

The temporary decision was taken by the CSO pending clarification from the EU’s Luxembourg-based stats agency, Eurostat, whose decision could land more than €1bn extra on the State’s balance sheet.