Minister for Finance Paschal Donohoe yesterday unveiled a €10 billion budget which includes a €3bn cost of living package to help ease the burden on households, welfare recipients, college students and those in rental accommodation.
Education: third-level fees have been immediately reduced by €1,000, while all families who earn under €100,000 will receive a further permanent €500 reduction. Also, families earning under €62,000 per year will pay no more than €1,500 in fees. Students who receive the SUSI grant will get a double payment before Christmas. PHD students are also to receive a once-off cost of living payment.
At primary school level, all pupils will get their schoolbooks for free, and around €10 million has been allocated for the school bus scheme
Health: hospital in-patient fees have been scrapped and the free GP Visit Card has been extended to an additional 430,000 people. Ireland’s first publicly- funded IVF treatment was also announced, beginning next year, while the Free Contraception Scheme for women aged 25 and under has been extended to those 30 and under.
Housing: a tax credit for renters has been re-introduced. Taxpayers who rent will receive €1,000, split into two credits. One will apply this year and the second one will apply next year. Also, the Help to Buy Scheme which gives first-time buyers a tax rebate of €30,000 will be extended for another two years.
The Help to Buy Scheme is to be extended at the current rates until the end of 2024. A new Vacant Home Tax will be levied on homes which are occupied for less than 30 days a year, and will be charged at three times the rate of Local Property Tax.
Energy: households will receive €600 in electricity credit, paid over three bills.
Motoring: there will be excise rate reductions of 21c on petrol and 16c per litre on diesel, as well as 5.4c per litre on marked gas oil.
Agriculture: five tax reliefs are to be extended, the Young Trained Farmer Relief, Farm Consolidation Stamp Duty Relief, Farm Restructuring CGT Relief, Young Trained Farmer, and Registered Farm Partnership Stock Relief.
Social support: universal €12 a week social welfare hikes were announced, starting from next January 1st. To add to that, all welfare recipients will receive a double payment under the cost-of-living package in the coming weeks, and another one at Christmas.
Eligibility for the Fuel Allowance is also to be widened and payments increased. A once-off payment of €500 for carers of people with a disability was also announced.
V.A.T: the 9% VAT rate on hospitality will increase to 13.5% next March. Vat on newspapers will reduce to zero percent from January, as will VAT on defibrillators.
Tobacco: A packet of 20 cigarettes, will increase by 50c, with a pro-rata increase on other tobacco products.