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TO PROTECT CITIZENS from the rising cost of living, there needs to be a return to budgets that include tax and welfare packages, according Tánaiste Leo Varadkar.
Asked about what might be included in next month’s budget, Varadkar indicated increases in the state pension and social welfare payments are among some of areas being considered by government.
Speaking at the Fine Gael think-in in Co Meath, the Tánaiste refused to disclose any figures under consideration.
Among the measures expected to be included in Budget 2022 are a tax package for middle income earners, as well as welfare and pension packages.
Varadkar said there will also be financial aid packages for businesses, particularly sectors that have not yet fully reopened.
“I’m not going to mention any numbers because I’d imagine both Heather [Humphreys, the Social Protection Minister] and Micheal [McGrath, the Public Expenditure Minister] would string me up if I did but that’s going to have to be negotiated between now and budget day.
“The reason why Fine Gael is calling for that pensions and welfare package to be in the Budget is because there hasn’t been an increase in the State pension now for a number of years, hasn’t been an increase in the basic weekly payments on welfare for a number of years and I think that was acceptable at a time when the cost of living wasn’t rising.”
The cost of living is rising now, he added, stating: “We’ve seen a return to inflation. Anyone who pulls into the petrol station, anyone who goes to the supermarket will tell you that the cost of living is rising again.”
“As a party we’re all about protecting people’s incomes and that applies to pensioners and people on welfare too,” he added.
Social Protection Minister Heather Humphreys said she will focus on the vulnerable, and hopes to improve the situation for those reliant on social welfare payments.
She also highlighted that there has been no pension increase in the last two years.
Asked about increasing the pension age, she said she had received the report from the pensions commission last week, stating that she plans to bring it to government next week for consideration.
While she said she did not want to go into specifics of the report, she said “very difficult decisions are going to have to be made”.
“At the end of the day what we want to do is protect the State pension so that young people who start a working life today will get the same benefits as those who retire today or tomorrow and that’s really at the heart of the decisions that we need to make.”
The current situation with Ireland’s State pension is not sustainable, she said.
It was reported over the weekend that Varadkar would oppose suggested hikes in PRSI on self-employed people which would help fund plans to put off increasing the State pension age to 67 until 2031.
Finance Minister Paschal Donohoe was asked about the possible bonus healthcare workers might expect in the upcoming budget. He said work was still ongoing on how best to “define” how the “huge efforts” of frontline workers can be recognised.
He said he can understand how frontline workers would like to know what they can expect, but Donohoe said such detail is a matter for budget negotiations and won’t be revealed until Tuesday 12 October.
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Somebody is trying to get back into the good books again.
@Odd Socks: There’s a serious whiff of election in the air
@JusticeForJoe: or you know an up coming budget.
@Roy Dowling: and a load of let’s-test-the-water articles about which way people would vote, can they imagine a SF government, etc.
I reckon there’s a doings a transpirin’!
@Odd Socks: ah yea the extra 5er to bag the votes. I swear Id love to see politicians try and live off the average state pension and see how they get on.
@Karen Ní Dhochartaigh: ah stop…. these people are overseeing a public sector pension deficit of about €2.5 billion. Who’s going to fill that hole?!
@Odd Socks: yeah, that’s how politics work….
Rather than across the board rises in welfare, far better to speed up move to a contribution based system, ie dole payment is proportional salary, and are tapered, so a true safety net job between jobs, rather than encouraging dependency
How about no. Lower my already insane taxes
@John Michalski: if they raise income tax, what’s your choice? Vote for Sinn Fein? If they hand out cash and go for the SF vote they might not get crucified at the next election
@Mr Cylinical: if they raise my taxes directly or indirectly then yes. I have no issues voting for SF. Im not saying they will do a great job, but these guys are not listening so something has to be done to be heard.
Sounds about right. I am just back from a shop that was selling fuppin’ wicker baskets for putting logs in for €99. Prices of just about everything have gone mad. Would hate to be eking out an existence out of the dole these days.
@Quiet Goer: that’s the idea. You should be put off.
@AJ: Bought one of those baskets for €109 lately, great addition to the penthouse.
@Johnny Mads: No point in getting one unless you have an open fire pizza to accompany it.
@Quiet Goer: 99 euro I can get a proper local willow one made up the road for less and it will last for ever
@AJ: but then again if god forbid for some unforeseen circumstances, you land yourself in that position-payment should be enough for a decent living,short term of course i mean thats why the taxes are so high right?
What constitutes the word ‘hike’ a €2.50 rise a week?
@Pádraigín O’Sirideáin: and from when, maby April 2022.
@Pádraigín O’Sirideáin: probably another e5 for a coffee or a sandwich!!
@Pádraigín O’Sirideáin: nothing compared to the hike in berties pension is it?
@#1 Fifthwheel: was suffering from a lack of sleep yesterday and went into a well known coffee shop chain. They charged over €7 for a fairly basic sandwich. €5 won’t get you anywhere.
Good Old Leo Leaking the Budget What’s Another Leak No Harm in Leo’s Eyes
Can we get rid of the austerity tax/USC as promised Leo?
Am I the only pensioner here who thinks that the state pension(contrib and non-contrib) is already generous. It is in no actuarial sense remotely justified on the basis of the contributions currently required to qualify for 20 to 30 years of not working (and thats not counting the cost of the increased health and care supports needed as we age). Pensioners are exceptionally well looked after in this country, but it is future generations who will eventually have to pay for generosity towards my generation today. To even consider raising the pension payment, or other already generous welfare payments, is vote buying that is pure bribery.
@Joan Murray: Joan that is a very fair point, it really seems like they looking for votes to be honest with you and couldn’t give a fiddlers. about anything but that…
@Joan Murray: you may think differently when you see the price hikes that’s coming.
Apartment I rented 10 years ago has tripled in rent price. Inflation has been soaring while house prices & rents across the border are two to three times cheaper.
We’re losing billions to tax avoidance, which this party NEVER tackles. And losing wages that go to company profits instead of going to the actual workers.
There’s an election in Norway today with indications that they are leaning further Left which will strengthen worker rights.
@Dean: And then they will learn and change back like Sweden did when they tried the left life.
The 5 Nordic countries have always been Left govts, under a Social Democracy model, which gives strong worker rights.
American companies tried to bust unions in Sweden to pay workers less but failed. They still set up their businesses there.
@Dean: You might want to look up the swedish.
Throw the pensioners and the disabled a few euros a week extra while they enjoy a couple of rises themselves worth thousands,
Yes we are all in this together comrade Varadakar!
A lovely tanned picture of Leo for that article of good news …..It will cost a lot more than an extra fiver for OAPs and social welfare recipients in the budget to buy Fine Gael another stint with their snouts in the trough !
@Max Power: perhaps this hint at a SW pension ‘hike’ ( which is a joke) is to justify their 5 grand a year payrise… again.
@Max Power: That fiver increase would work out as at least a 10% increase, how many employees are getting a 10% increase? For pensioners alone the cost would be over an extra 135 million per year. People give out about tax rates and tax increases but then give out that we aren’t giving large enough increases to social welfare rates, building enough social housing etc., you can’t have it both ways.
@The next small thing: not giving out about increases….. It is the FG PR stunt to buy power with my taxes what is sickening me
200e social payment increase of 5e is not 10%
Where you getting 10%?
@The next small thing: your maths are way out with 10%.And pensions were cut in real terms in the last two budgets.
@Max Power@Paul Power: Sorry, the 10% is way off alright. Jesus you take a week off work and your brain just shuts down, don’t mind me, I’m just going to lie down in a dark room for the rest of the evening.
Buying votes
How old? before TD’s can collect their pensions . . . .
Couldn’t believe this clown 12 of July he said we can’t give tax cuts to the people because of COVID what a differences a few scandals make
https://www.irishexaminer.com/news/politics/arid-40335302.html
No tax cuts in July cause we can’t afford it now he says there will be a tax package remember these lads will give with one hand and take back double with the other
Reactive instead of proactive, Iv news for FG, the cost of living has been skyrocketing since 2013 mainly driven by the cost of property and rent across residential and commercial property. Wake up.
Pensioners work all their life and retire to a pittance the state pension should be at least the equivalent of the minimum wage
@Margaret Kane: All comes down to how much tax is been taken in, the money for state pensions comes from the people working right now…. But make no mistake about it these chancers are not in the slightest worried about “Pensioners work all their life” they simply want votes, nothing less nothing more.
@Margaret Kane: you do realise the minimum wage is an hourly rate, which means you would receive precisely zero, for zero hours worked.
@Joan Murray: im talking about pensioners who worked all their life and put in thousands of hours
What about the squeezed middle who have to pay for everything and still get up early in the morning?
I’m assuming the honest hard working people who kept the country form drowning will get some good news soon maybe? I doubt it…
@Dave: doubfull, my sector was due an ERO increse in 2020, that was delayed to early 21, then June which became Sep and we are now told early 22 maybe.
Havent seen an increase since 2018.
In an industry that was told we were frontline and essental but didnt even get so much as a personal thanks for working throuout the pandemic.
Varadkar gave an interview early this morning saying pension and social welfare payments will be increased. Only problem is later on Drive time Pascal O’Donoghue stated this increase has yet to be discussed with FF/ Greens. Wonder did Varadkar tell the spineless one Martin about his statement or like the Zappone fiasco is he keeping it as a last minute surprise for Martin.
I won’t be bothering with the pension I can live on fumes now got a good experience of leaving on foraging the supermarket’s for cheap nutrition , in the ten years of the last recession, ha
The idea of this rise is to pit the haves and the have nots at each other, while deflecting any criticism at the goverment. For what we all pay in tax(eveybody pays some form) we get short changed in services no matter what part of the social ladder your on
Watch out for the greens stealth taxes given in one hand taken by the other
Text book move…shocked if they didn’t try pull this one yet again.
Cynical Bertie Bowl stuff, freebies for everyone to distract and deflect. I thought this type of side show was a Fine Fail trope? If Martin has any scruples left he should pull the plug before this Punch and Judy party get the stage. The minuscule amount the pensioners will get won’t make a modicum of difference with inflation, rising fuel and electricity prices, plus no mention of tax reforms. Cynical, ignorant and insipid stuff from the party for the wealthy. …. On it goes…..
I’m planning on saving the fiver for 3 years and then getting a pair of Kanya West trainers.
A €4 a week increase while taking in an extra €8 from steath tax/increases more likely.
Election on the way, FFG need to improve their poll ratings, beware of the hand that feeds you because it will be taken back as quick as you turn your back, typical of FFG…
Less tax for me please
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