Minister Lawless obtains Government approval to amend National Training Fund Act, unlocking funding package of €1.5 billion
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From: Department of Further and Higher Education, Research, Innovation and Science
- Published on: 29 April 2025
- Last updated on: 29 April 2025
Minister for Further and Higher Education, Research, Innovation and Science James Lawless TD obtained Government approval to prepare a General Scheme of a Bill to amend the National Training Fund (NTF) Act, unlocking a funding package of €1.485 billion for the tertiary education sector over a six-year period from 2025 to 2030.
This investment is part of the NTF funding package announced in Budget 2025. An amendment to the National Training Fund Act is required to unlock the accumulated surplus in the Fund.
Minister Lawless said:
“The National Training Fund has been a cornerstone in supporting our education and skills framework, enabling us to weather the impacts of past economic downturns.
“However, it is essential that we unlock the surplus in the Fund to future-proof our workforce, ensuring that they are equipped with the skills needed to thrive in an increasingly unpredictable global landscape.
“I aim to make a small number of amendments to the Act as quickly as possible and before the end of 2025. I will be engaging with the relevant stakeholders shortly to discuss the required amendments to the Act, which are very limited in nature and are required to utilise the full funding package. This is vital for the continued development of the tertiary education sector.
“These changes will not affect the purposes of the Fund, which are to raise the skills of those in employment, provide training to those who wish to acquire skills to take up employment and provide information in relation to skills requirements in the economy.”
This funding package includes:
- €650m core funding package for Higher Education, addressing Funding the Future commitments by increasing core funding by €150m per annum by 2030.
- €600m capital uplift including €150m to provide key training facilities in the areas of Veterinary, Medicine, Nursing, Pharmacy and Dentistry; €150m for the upgrading and decarbonisation of the tertiary estate; €150m capital funding for the Further Education and Training Sector.
- €150m for the research sector including research infrastructure and an increase in the PhD stipend.
- €235m for the tertiary sector as one-off current funding including skills and apprenticeships.
Minister Lawless added:
“This substantial funding package will ensure Ireland can deliver the critical skills necessary for the 21st century. It will enhance our tertiary education system, supporting world-class learning and producing skilled graduates who are ready to contribute to a dynamic and competitive economy. The increased funding in research is also essential for driving innovation and cultivating the next generation of talent.”
NOTES
The National Training Fund was established by the National Training Fund Act 2000 as a dedicated fund for schemes which are established to:
- raise the skills of those in employment,
- provide training to those who wish to acquire skills to take up employment, or
- provide information in relation to existing, or likely future, requirements for skills in the economy.
The Act provides for the imposition of a Levy on employers for a group of certain employees. Originally set at 0.7% of reckonable earnings, the rate was increased incrementally by 0.1% over 3 years, from 2018 to 2020, to the 1% rate currently applied following consultation with industry partners.
The accumulated surplus in the Fund is estimated to be approximately €1.8 billion at the end of 2024.