LAST UPDATE | 9 Oct 2023

WE’RE 24 HOURS out from Budget 2024 and after a weekend of tense talks, some of the details remain to be hammered out today. 

Intense negotiations took place on Sunday between ministers and coalition party leaders, with sign-off given on a welfare package of more than €1.1 billion now expected. 

The cost-of-living package of one-off measures will cost more than €2.3 billion, it is understood. 

Here’s what do we know so far:

• Electricity credits of between €300-€400 – though there are some indications this evening that the amount could rise slightly above the €400 mark.
• Further 25% reduction in childcare costs agreed in final budget talks today which will be introduced later in 2024. It’s understood the final details are still under discussion. 
• Cuts to USC and an increase in the entry point to the higher rate of income tax to around €42,000 are now expected.
• Free school books up to Junior cycle (as reported by The Journal on Sunday)
• Mortgage interest relief will also be announced for homeowners who have been badly hit by rate hikes
• Roll out of the new pay-related-benefit scheme to ensure those that lose their jobs get higher social welfare payments that are linked to their previous salaries (as reported by The Journal on Saturday)
• Gardaí trainee allowance will also see a boost, rising from €185 per week to €305 per week, in a bid to recruit and retain gardaí in the force
• Renters tax credit to increase to €750
• Landlords to get a tax break of between €600 and €1,000, they will have to remain in the rental market for four years if they avail of the credit
• One-off business energy grants 
• Minimum wage to increase by €1.40 to €12.70
• Between  €12- €15 social welfare payments, such as the pension (still under discussion)
• Double child benefit payment
• Double fuel allowance payment
• Student grants to increase by €300
• Post-graduate students will be eligible for grant support of up to €2,300
• Young Adult Card eligibility to increase. Currently, young people aged 19-23 qualify for half-price fares on public transport, as well as participating commercial operators. The qualifying age will increase to include 24 and 25-year-olds. When added to the 20% fare cut for adults, it means a 60% fare cut for all 19 to 25-year-olds.
• 50c increase on cigarettes
• New tax on vaping to be announced 
• No increase in tax-free allowance from employers 

Talks are ongoing today with a number of departments such as health yet to finalise its budget, with sources stating there it has been “challenging” to reconcile some of the financial information, with some data being months out of date. 

Related Reads

€300-€400 electricity credits, free school books to junior cycle and €1k renters credit not off table yet

'I am broken mentally, physically and financially': What readers want to see in Budget 2024

Finance Minister: 'People can be optimistic that their living standards are about to improve'