Construction-related inflation is increasing at such a rate that Galway County Council would require an additional €4 million in income or savings next year “just to stand still”.

That’s what the local authority’s Head of Finance, Katie O’Connor, told a meeting of Loughrea Municipal District this week when she outlined a draft of the area’s budget for 2026 – the figures will be finalised ahead of the full Council’s annual budget meeting on November 14.

Cllr Gerry Finnerty (FF) said there was a welcome increase in the forecast figures of more than €800,000 but said this came in the context of rising costs.

“We’re getting very little value for our money these days,” said the Fianna Fáil councillor.

Ms O’Connor said that while the €860,000 forecast increase was welcome, rising prices were having an impact.

“In relation to increasing costs and inflation, it would cost €4 million this year just to stand still.

“The numbers [in the Loughrea Municipal District Budgetary Plan] are not set in stone. We do have a gap in the budget to date and we need to get that gap closed come November 14,” she said. Ms O’Connor set out that there was a gap of more than €11 million between income and expenditure in the forecast figures for 2026 and, as a balanced budget was required under legislation, the next number of weeks would be spent trying to fill this hole in the finances.

Meanwhile, Cllr Martina Kinane (FF) raised the funding allocated for maintenance of the Council’s outdoor recreation and amenity spaces.  In particular, she sought assurances that €10,000 previously allocated for Cow Park in Clarinbridge was being carried over into next year’s budget.

“Last year, there was €10,000 allocated for maintenance. In the last week or so, there has been significant damage done to the board walk area. A garda investigation is ongoing so I won’t go into that but maintenance is very important,” said Cllr Kinane.

Ms O’Connor said that separate funding streams may be available to repair any damage that may have been caused “once the outcome is reached and it’s determined what happened.

“Separate to that, there is an amount incorporated into parks and open spaces for maintenance,” she said.

Pictured: Cllr Martina Kinnane…outdoor amenities.