Budget 2026 spending package 'unnecessary' and 'too much', warns Central Bank

Consumer spending is expected to grow by 2% a year on average out to 2027

The latest quarterly economic bulletin from the Central Bank of Ireland said the domestic economy is expected to grow more than expected this year despite the imposition of tariffs. Picture: Leah Farrell/Rollingnews.ie

Additional Government spending to the levels proposed in the upcoming budget is "unnecessary" and “too much” for the position the economy is currently in, officials in the Central Bank of Ireland have warned.

This comes as the Central Bank published its latest quarterly economic bulletin which shows that despite the impact of US tariffs on exports, the domestic economy is expected to grow more than expected this year.