The Health Minister says it's going to be an "extremely challenging year" in the sector.
James Reilly has been outlining cuts of more than 540 million to the Health budget for 2012.
He admits it's not possible to protect all services and some community nursing units will shut.
However there is some good news - 35 million euro is being set aside for Mental Health services.
Briefing the media on the cuts, Minister Reilly said difficult choices have been made: