Immigrants’ Fiscal Contribution Outpaces Irish-Born Residents, ESRI Finds

The Economic and Social Research Institute (ESRI) finds foreign-born residents have generated a higher fiscal contribution than Irish-born people over the past twenty years. Migration’s net effect on Irish public finances ranges from –1 % to +2 % of GDP, but Ireland consistently records a positive impact. Immigrants are younger, more likely to be employed, and non-EU migrants have especially high employment and third-level education rates, boosting tax revenues. Fiscal impact estimates for Ireland therefore range from 0 % to +2 % of GDP, consistently positive.

The Irish TimesImmigrants make higher fiscal contribution than Irish-born, study finds

CSO data (2014-2024) show 61 % of immigrants received at least one welfare payment in 2024, versus 56 % of Irish-born. Unemployment payments were 9 % for both groups; disability payments were lower for immigrants (4 %) than natives (6 %). Regional patterns varied, with lower unemployment receipt for western-European (13 %) and Asian (12 %) immigrants but higher rates for eastern-European and African immigrants (both 21 %). The ESRI notes a “significant limitation” in omitting international protection applicants.

The Irish TimesImmigrants make higher fiscal contribution than Irish-born, study finds

The ESRI emphasized that migrants fully finance their own share of public goods and also help fund pure public goods that the state would need to provide regardless of migrant presence. Professor Alan Barrett, lead author, said Ireland’s migrant profile—well-educated and employment-oriented—makes the fiscal effect “even stronger.” The immigration debate has intensified, with some commentators claiming migrants could strain public finances; the ESRI findings counter this, showing a net positive fiscal contribution and lower disability-related welfare uptake. The institute also describes welfare findings as “complex” and says there is “no single answer” on whether immigrants receive more welfare than natives. Excluding international protection applicants creates a data gap, and differing methodologies across studies prevent precise quantification of the overall fiscal impact. Both reports were funded by the Department of Justice, Home Affairs and Migration and rely on CSO data.

Immigrants make higher fiscal contribution than Irish-born, study findsThe Irish Times

• “This indicates that migrants entirely finance their own share of public goods, while also contributing to financing pure public goods which the state would need to pay for regardless of the presence of migrants in the country,” — ESRI report

The Irish Times

• “The studies that have been done for Ireland confirm that is the case. Indeed, in Ireland the effect is even stronger, because we're quite unusual in Ireland in the sense that our migrants are typically quite well educated, very employment-orientated... so it seems unambiguous that they made that positive fiscal contribution.” — Prof Alan Barrett, ESRI

Immigrants make higher fiscal contribution than Irish-born, study finds

• “There is no single answer as to whether rates of welfare receipt are higher among immigrants.” — ESRI

The Irish Times