Public transport and roads maintenance could face cuts of up to €50m in the upcoming budget.
That is according to the Minister for Transport whose comments come on the back of an on-going dispute at Dublin Bus over cost-cutting measures.
The public transport company has been trying to implement a package of cuts worth €11.7m - as yet no resolution has been found.
Leo Varakar said the dispute needs to be resolved soon as there is no further cash in the pot to help the transport company.
"This time last year CIE was on the verge of going bust I took a decision with my colleagues to borrow and beg money from everywhere to inject another €36m into that company," he said.
"But the difficulty I suppose that I definitely have this year is that I just don't have that option
"The money that was put into CIE last year was put in on the basis that the companies would be restructured, they would be reformed, that cost savings would be delivered and they actually haven't been delivered."