Dublin: Bus and train passengers across Ireland are facing further fare increases, with the National Transport Authority (NTA) warning that ticket revenue has failed to keep pace with the rising cost of operating and expanding public transport services.
The NTA has defended its decision to introduce an average 15 per cent fare increase from January 2027, arguing that additional revenue is necessary to support the long-term financial sustainability of the public transport system.
Appearing before the Oireachtas Transport Committee, NTA Deputy Chief Executive Hugh Creegan said ticket revenue was falling significantly short of the cost of operating existing services and introducing new routes and additional capacity.
The authority said the funding gap could not be covered entirely through government support and that public transport required a more sustainable financial model.
Public Transport Funding Gap Exceeds €800 Million
According to the NTA, the public transport sector faces a funding shortfall of more than €800 million, driven by declining ticket revenue and rising operating costs.
Despite an increase in passenger numbers, annual ticket revenue fell from €667 million in 2019 to €576 million in 2025. During the same period, operating costs rose from €971 million to €1.379 billion.
A decade ago, ticket revenue covered approximately 69 per cent of operating costs. By last year, that figure had fallen to 38 per cent, according to the NTA.
Jeremy Ryan, the NTA’s Director of Public Transport Services, said passenger fares account for approximately 44 per cent of average public transport costs across Europe, compared with around 39 per cent in Ireland.
The NTA also pointed out that there had been no general nationwide fare increase since 2018, while fares were reduced by 20 per cent in 2022. Concessions such as 50 per cent discounts for young people and students, free travel for children under nine, and the expansion of the Free Travel Scheme have further affected revenue.
The authority argued that additional funding would be required to maintain these benefits while expanding public transport services.
Fare Increases Across Bus and Rail Services
Under the new fare structure, the cost of a 90-minute Leap Card journey in Dublin will increase from €2 to €2.30. Some short-distance fares will rise to €1.65, while certain journeys could see increases of up to 33 per cent.
Some passengers could pay an additional 50 cents per journey. For daily commuters, this could mean an increase of up to €1 per day, or approximately €5 over a five-day working week.
Intercity rail fares will also increase, with Express tickets rising by 10 per cent and economy fares by up to 20 per cent. The NTA has also decided to discontinue open-return tickets on Intercity rail services.
The authority said increased ticket revenue would help support the 140 new service and capacity expansion projects identified for 2027, as well as improvements to existing routes.
Fare Increase Faces Political Opposition
The proposed fare increases have drawn criticism from politicians across both government and opposition parties.
Sinn Féin TD Louis O’Hara described the decision as “deeply disappointing”, arguing that fares should not be increased while families continue to face pressure from inflation and the rising cost of living. He accused the Department of Transport of making passengers bear the cost of inadequate government funding.
Independent Ireland leader Seán Canney said the NTA should focus on reducing internal costs and improving its cooperation with private operators rather than placing an additional financial burden on passengers.
Fine Gael TD Grace Boland questioned whether the fare changes were supported by sufficient evidence and called for greater transparency regarding the NTA’s calculations and decision-making process.
Green Party leader Roderic O’Gorman criticised Fianna Fáil and Fine Gael, arguing that responsibility for the fare increase ultimately rested with the Transport Minister rather than the NTA alone. He said approximately €70 million would have been sufficient to prevent the increase and questioned the decision to raise fares while inflation stood at 3.7 per cent.
Labour leader Ivana Bacik also criticised the government, saying it had the financial capacity to keep public transport affordable. She questioned why the government could allocate €400 million for diesel subsidies but could not provide the funding needed to avoid higher passenger fares.
Government Defends Decision
Taoiseach Micheál Martin said the increase represented the first nationwide fare rise in eight years and was necessary to ensure that public transport remained financially sustainable while continuing to serve passengers.
He highlighted measures introduced by the government, including the 90-minute fare system, discounted fares for young people and students, and free travel for children.
Martin also pointed to the NTA’s 2027 plans, which include 140 new service proposals and measures aimed at increasing capacity on existing routes.
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