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Budget 2027: Jack Chambers announces string of social welfare changes
The package adds €1.3 billion in income tax relief, raises welfare payments by €10 a week and caps childcare costs at €550 a month per child.
On Tuesday, Finance Minister Simon Harris delivered the €125.6 billion Budget 2027, featuring €1.5 billion in tax cuts and €7 billion in spending increases. The package spreads measures across working families but lacks specific policies addressing graduate wages.
Ministers Harris and Jack Chambers chose to sprinkle tax cuts across the board rather than target specific cohorts. This strategy reverses last year's approach, which coalition TDs acknowledged performed like a "lead balloon" for average households.
Changes include raising the 40% tax rate threshold to €46,500 and capping childcare costs at €550 monthly for children up to senior infants. The government also introduced a €500 once-off disability payment, though advocacy groups say more is needed.
Opposition parties criticized the measures as insufficient. Sinn Féin's Pearse Doherty TD said the "majority" of workers "won't get a sniff" of significant breaks, while Labour Party TD Ged Nash noted the plan fails to help those in electricity arrears.
Fiscal projections warn that while the state currently runs a surplus, reliance on volatile corporation tax receipts could quickly create a deficit. Observers stress budgets "can't be about chasing inflation" while balancing household support with inflationary pressures.