State pays Deloitte Ireland €10.45m in consultancy fees

Since the start of last year, the Irish state has paid Deloitte Ireland €10.45 million in consultancy fees to assist with the response to the International Protection (IP) accommodation crisis and the war in Ukraine. In the latest quarter, from April to June, the Department of Justice, Home Affairs and Migration paid Deloitte Ireland LLP €2.45 million for these services. This payment is divided between €2.07 million for IP accommodation costs and €378,687 for Ukrainian accommodation and other expenses.

The total payments made by both the Department of Integration and the Department of Justice, Home Affairs and Migration to Deloitte Ireland LLP from January last year to the end of June this year amount to €10.45 million. This sum includes €8.86 million for IP accommodation and related costs, along with €1.6 million for Ukrainian accommodation.

According to a Department of Justice spokesman, Deloitte has provided consultancy services to aid the response to the IP accommodation crisis and the war in Ukraine over multiple years, focusing on areas such as process improvement and reducing rates for accommodation services.

Deloitte Ireland declined to comment on its work for the Department of Justice. However, Deloitte Ireland did receive an additional €1.07 million from the Department for Information Management and Technology (IM&T) for maintenance and support in the same period.

In comparison to other spending, the payments to Deloitte Ireland LLP for IP and Ukrainian accommodation represent an additional €3.48 million per day, totaling €317.05 million between April and June. The spending on accommodating IP applicants and Ukrainians has seen a significant reduction, with firms handling IP applicants receiving €255.6 million and payments to Ukrainian accommodation firms dropping to €61.45 million for the three months.

Minister for Justice, Home Affairs and Migration, Jim O'Callaghan, addressed the issue in a recent Dáil reply, stating that the International Protection Accommodation Services (IPAS) is reviewing commercial contracts and working on improving standards, governance, and compliance. He announced that the introduction of a new rate card model in May 2025 is expected to reduce costs for new and renewed contracts.

O'Callaghan also mentioned that the allocation for IPAS accommodation and support for 2025 is €1.2 billion, decreasing to over €1.1 billion for 2026.