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Nationwide toll increases fly in face of efforts to control cost of doing business

Businesses, hauliers and workers across the country face further increases in the cost of using the national road network
Tens of thousands of people have little practical alternative but to use tolled roads

ISME has called for the proposed nationwide increases in road tolls, announced at the end of last week and due to take effect from January 1st, 2027, to be suspended, warning that they represent another avoidable cost for small and medium-sized businesses, hauliers and workers across Ireland.

Under the increases announced by Transport Infrastructure Ireland (TII), tolls will rise across most of the national toll road network, affecting the M1, N6, M7/M8, M8, N18 and N25, as well as the M50 and Dublin Port Tunnel. Goods vehicles and HGVs will also face higher charges.

ISME said that while individual increases may appear relatively modest, this fails to recognise their cumulative impact. Businesses operating several vehicles may incur tolls multiple times every working day, meaning relatively small increases are multiplied across vehicles, journeys and the entire year.

Neil McDonnell, Chief Executive of ISME, said: “These increases fly in the face of the entire public policy discussion about controlling the cost of doing business in Ireland and protecting our competitiveness. SMEs are already absorbing higher employment, energy, insurance, transport and regulatory costs. It makes little sense to add another increase in the cost of essential national infrastructure.”

“This is not simply a Dublin issue. Businesses and workers across the country depend on tolled roads to move goods, provide services and get to work. For many SMEs, hauliers, tradespeople and delivery companies, these are essential routes rather than discretionary journeys.”

“The effect also extends far beyond the transport industry. Almost everything we buy has to be transported at some point. Higher haulage and distribution costs work their way through the supply chain and ultimately contribute to higher costs for businesses and consumers.”

“There is also a direct impact on workers. Thousands of people across the country have little practical alternative but to use tolled roads to get to and from work. We cannot have a national conversation about reducing the cost of doing business and the cost of living while simultaneously increasing State-controlled or State-regulated charges. Those positions are simply incompatible.”

ISME said there also needs to be greater transparency around Ireland’s tolling system, including the revenues generated, the operating costs and financial returns associated with individual toll roads, and greater clarity for road users on where toll income ultimately goes. TII reported €251 million in combined M50 and Dublin Tunnel toll income in 2025, including €216.3 million from the M50. M50 operating and tolling costs were reported at €59.67 million.

The M50 increases are particularly egregious since it is in State ownership for almost two decades, hauliers are obliged to use it to enter and exit Dublin Port, and the motorway itself is at a virtual standstill.

Mr McDonnell said: “Before motorists and businesses are asked to pay more, there should be much greater visibility around the economics of tolling. Road users should be able to see clearly how much is collected, how much it costs to operate each toll, what return is being generated and where the balance of the money is going.”

TII says toll income from the M50 and Dublin Tunnel contributes to the operation and maintenance of the national road network, while income on the eight concession roads is used to repay construction costs and fund the upkeep of those roads. ISME believes considerably greater public clarity around these arrangements would strengthen accountability, particularly when charges are being increased.

Mr McDonnell added: “Indexation may explain how an increase is calculated, but it does not automatically justify imposing it. Government cannot continue adding small cost after small cost and then express surprise when the cumulative effect damages competitiveness. This isn’t really about ten cents or twenty cents. It is about the cumulative increase in the cost of getting people and goods around Ireland.”

ISME is calling on Government and TII to pause the January increases, publish greater detail on the revenues, costs and financial returns associated with the toll network, and assess the cumulative impact of toll charges on SMEs, hauliers, commercial operators and workers before any increase takes effect