Donegal allocated €9.7m under rural roads scheme over past six years
But funding for 2026 Local Improvement Scheme (LIS) falls by almost half
Donegal has received €9.65 million under the Local Improvement Scheme (LIS) over the past six years, making it the third-highest funded county in the State, although there's a sharp reduction in the national budget for the scheme this year.
Figures released by Rural and Community Development Minister Dara Calleary in response to a parliamentary question from Sinn Féin TD Pa Daly show Donegal received €9.65 million between 2020 and 2025.
Only Cork, with €9.98 million, and Galway, with €9.89 million, received more over the same period.
Donegal’s annual allocation has increased steadily in recent years, rising from €644,541 in 2020 to €2.44 million in 2025, the highest annual allocation during the six-year period.
For 2026, Donegal has been allocated €1.42 million - the lowest amount in five years - including €100,000 ring-fenced allocation for the county's inhabited offshore islands.
The overall national allocation for the Local Improvement Scheme has fallen significantly for 2026.
The Department announced a €17.5 million fund for 2026 in February, down from more than €30 million in 2025. It is the lowest allocation since 2020, when spending totalled just €9.8 million as the Covid-19 pandemic disrupted programmes.
National funding exceeded €20 million every year between 2021 and 2025, peaking at €30.18 million last year.
The Local Improvement Scheme provides funding to improve non-public rural roads and laneways that are not maintained by local authorities. Eligible roads include those providing access to farms, forestry, bogs, seaweed harvesting areas and certain community amenities such as beaches, piers and graveyards.
While the Department provides the funding, each local authority is responsible for assessing applications, prioritising eligible roads and scheduling works.
Donegal County Council, which administers the scheme, requires a minimum of two property owners, one of whom must be engaged in agriculture.
A key element of the scheme is the relatively modest contribution required from landowners and households benefiting from the improvements.
Under the current rules, beneficiaries contribute 10-15% of the estimated project cost depending n the number of landowners involved. The maximum contribution required from any individual household or landowner is capped at €1,200.
That means the State typically funds between 85% and 90% of the cost of upgrading eligible roads, making the scheme one of the most generous sources of capital funding available for improving rural access roads.