November is a crucial month in the Exchequer calendar as it’s the only point in the year when we get a simultaneous read on corporate, income and VAT receipts, offering a clear snapshot of the economy’s fiscal health.
Corporate tax collection was up 36% compared to the same time last year marking an astonishingly strong result for companies and the Exchequer alike. This month’s corporate tax take is the first real indication of 2025 performance and, during a year of global headwinds and economic pressures, Irish companies demonstrated continued resilience in what was a challenging and, at times, volatile business environment. It is perhaps too early to let complacency set in, but this is very much a positive outcome.
Income tax receipts were up marginally by €1.5 billion despite a marginal uptick in unemployment. Wage inflation and filings from self-employed workers largely offset the potential impact of this development.
We experienced a slight increase in consumer spending as VAT receipts were up €1.1 billion on last year. We traditionally see a downturn in spending during the autumn months as families deal with the end of summer and back-to-school season and, with the ongoing cost-of-living pressures remaining at the top of mind for households, this is a positive development for the exchequer that demonstrates consumers continue to spend despite the current economic backdrop.
Overall, today’s figures demonstrates that we are in a broadly positive fiscal position, meaning the economy is reasonably well-positioned heading into 2026.
