Social Protection Minister Heather Humphreys has hinted that there will likely be a double child benefit payment and no increases to the jobseeker’s allowance in the upcoming budget.
Ms Humphreys said pensioners, carers and people with disabilities should be prioritised in Budget 2025.
She said the double child benefit payment paid out at Christmas time was “extremely popular” and said there are not many people that do not need that payment as costs such as groceries were still high.
As Ireland was still at full employment, the minister said she does not believe there is a policy rationale for increasing welfare payments to those who are long-term unemployed.
She highlighted a recent change to jobseekers’ benefit that will see people who are let go from their jobs receive a higher rate of payment linked to their pay over a three-month period.
“For those that are long term unemployed, there are many, many opportunities for them to take offers of work,” she said.
She also said that a €20 increase for all social welfare payments would cost €1.5 billion
“I think it’s important that we support people in the budget that can’t work. So some people with disabilities can’t work. Some of them can, and we’re trying to help them in that area too, but generally speaking, people with severe disabilities cannot work.
“People who are caring, they’re providing a service, and they’re helping somebody to remain in their home, and they often can’t work.
“Pensioners, they have they have done their piece. They have worked hard over their lives, and now they’re retiring.”
Asked about whether there would be more lump sum payments, she said: “I think it’s important to remember that lump sum payments were introduced at a time when inflation was running at a very high rate and thankfully, inflation has dropped considerably since then.
“However, the cost of going into the supermarket is still expensive, groceries are expensive – there’s no doubt about that – and lump sums have proved very, very popular.
“I was in Connolly Station on Monday morning, and there was a lady I met going up the escalator as we were announcing the expansion to the free travel pass, and she said to me ‘the lump sum was great’. She said ‘keep it going’. So there you go.
“She was an old age pensioner. And she said it was great, and I said, ‘Well, it’s good to hear that’.”
Ms Humphreys and Mr O’Gorman were commenting from Ringsend and Irishtown Community Centre where they extended parental leave by two weeks bringing it up to nine weeks.
They said it had increased from two weeks over the government’s time in office and that in the first year of government, 16,700 people applied for this leave, while last year 78,000 did.
Speaking at a separate event, Finance Minister Jack Chambers said that there would be €1.8 billion available in the budget for new expenditure measures which would include “a very substantial package of supports” for pensioners and the least well off in society.
“Because of our sound management of the economy, we can provide for pensioners and other groups who depend on our social protection system,” he said.
“We want to again, prioritise those that are least well off and also pensioners in the context of the social protection package, which will be substantial again this year, in the context of the €8.3 billion which has been made available for 2025.”
He said that extending the 9% VAT rate on gas and electricity will be among the issues being considered for Budget 2025, and said that cost of living will be an “essential” factor.
He added: “I understand that for many families, cost of living is still a central issue. And despite the flash rate of inflation being at about 1.5 per cent in June and July, prices haven’t fallen for many families, whether it’s in groceries, in energy and across different price dynamics of our economy.
“That’s why cost of living will be an essential consideration in how we frame Budget 2025.”
