Paul McAuliffe (Dublin North West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

121. To ask the Minister for Public Expenditure and Reform how public expenditure in Ireland on social protection, on health and on education compares to other EU countries with similar demographic characteristics; and if he will make a statement on the matter. [5664/24]

Paschal Donohoe (Dublin Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The latest data available from Eurostat, the European Union’s statistical office, relates to 2021. According to Eurostat, in 2021 35.2% of General Government Expenditure in Ireland was on the Social Protection function, 21.2% was on the Health Function and 12% was on the Education function. This compares to an equivalent EU average of 39.9% on the Social Protection Function, 15.8% on the Health Function and 9.4% on the Education function. It is important to note that the classification of the functions of Government here are set out by Eurostat and may not align exactly with how expenditure is split by Government Departments in Ireland.

In 2019, the most recent year for which data is available and not impacted by COVID-19, the split for Ireland was 35.8% on the Social Protection Function, 19.7% on the Health Function and 13.2% on the Education Function. This compares to an equivalent EU average of 41.4% on the Social Protection Function, 15% on the Health Function and 10.1% on the Education function.

The most pertinent point in relation to Ireland’s demographics is that Ireland has a young population. The median age in Ireland was 38.8 years old in 2022 compared to an EU average of 44.4. Ireland also has a higher proportion of younger people than the average across the EU; in Ireland, 26.4% of the population is under the age of 15, compared to 20.2% across the EU. By contrast, 6% of those across the EU are over the age of 80 compared to 3.5% in Ireland. Age demographics are an important driving factor behind Government spending by function; for instance, for all countries excluding Ireland, old age and survivors' benefits accounted for the highest share of EU expenditure on social protection benefits in 2021.