The State’s population grew by almost 90,000 last year, according to figures produced by the European Union.
The population of the Republic stood at 5,439,898 at the end of last year compared with 5,351,681 at the end of 2023.
In the 27 EU countries, Ireland’s annual population growth, at 1.64 per cent, is surpassed only by Malta and is about seven times higher than the EU average of 0.23 per cent.
Eurostat figures show Ireland reached a population of five million in 2020. With current projections, it is likely to reach 5.5 million by the end of this year.
RM Block
These figures are different from the estimates produced by the Central Statistics Office (CSO). The Irish office’s estimates run from April to April, and the figures for April 2024 to April 2025 have yet to be produced.
All indicators suggest the population is growing rapidly since the end of the Covid-19 pandemic, buoyed by a strong labour market with a record 2.8 million people at work.
The population increase is largely driven by inward migration. The last figures from the CSO show net migration (immigration minus emigration) to Ireland between April 2023 and April 2024 was 79,300.
The natural increase in the population (births minus deaths) was 19,400, making for a total increase in the population of 98,700.
Recently, Minister for Finance Paschal Donohoe was asked about a column in The Irish Times by David McWilliams suggesting inward migration would have to decrease to allow the housing supply to catch up with population growth.
Mr Donohoe responded by saying the expanded labour force is generating tax revenues that can be invested into infrastructure.
He said investment in infrastructure will help the State cope with inward migration. “A growing population with growing investment is how we will support our economy in the years ahead,” he said.
A Department of Finance report entitled Economic Insights published this month says labour shortages in the Irish economy cannot be tackled without inward migration.
It states that unemployment is at a historic low. While 780,000 people between the ages of 15 and 64 (working age) are not in employment, the potential for many of them to take up work is “limited”, the Department of Finance has concluded.
Many have not worked for years because of health issues, while others do not have the necessary skills to fulfil labour shortages in the economy.
Unemployment in the construction sector declined to a record low last year, the report added, “which underscores the importance of either attracting skilled labour from abroad or increasing the pipeline of apprentices or graduates in the sector”.
The report predicted labour force growth is unlikely to be sustained because of an increasingly ageing population and an expected slowdown in net migration.
“As a result, it will become increasingly important to maximise the labour force contributions of our existing working age population as well as productivity improvements.”
It concluded: “It underscores the role that both inward migration and productivity improvements will need to play to support employment and economic growth going forward.”
