One-Third of State IT Projects Over Budget; €40M Gross Overspend Since 2024
Almost one-third of 220 State IT projects since 2024 are over budget or projected to be, with a €40 million gross overspend. The PAC investigation highlighted concerns including the €228M-€269M Next Generation Ticketing project and abandoned systems. This reveals a pattern of poor oversight and inadequate cost estimates across government.
Almost one-third of 220 State IT projects commenced since the start of 2024 have either exceeded their budget or are projected to do so. An investigation by the Dáil's Committee of Public Accounts (PAC) found 34 completed initiatives had an overspend, and 33 ongoing projects are projected to exceed budget. The gross overspend across Government departments was €40 million, with a net overspend of €1 million when accounting for under-budget projects.
Key concerns include the National Transport Authority's Next Generation Ticketing project for the Greater Dublin Area, aiming for contactless payments by 2028. As of last August, €12.9 million had been spent on this project, which started in August 2021 and has an estimated cost range of €228 million to €269 million. Sinn Féin TD John Brady, PAC chair, called this project «particularly alarming» due to limited details on deliverables.
Other issues highlighted include the abandonment of a €4.3 million Fiosrú case management system project due to contractual issues, after almost €500,000 was spent. A new DNA information management system for Forensic Science Ireland increased from an estimated €760,000 to €2.7 million. An affordable childcare ICT scheme exceeded its original estimate by €3.5 million (49%), reaching €10.6 million. Mr. Brady noted a «deeply concerning pattern of consistent failings across Government» due to gaps in expertise, weak oversight, poor project management, and inadequate initial cost estimates.