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When will people get supports and tax cuts from new budget measures?

Budget 2023: Bulk of once-off financial payments in package to be paid in November

In a massive €11 billion budget announced on Tuesday, the Government sought to tackle the soaring cost of living, with measures to help parents, middle-income earners, renters and those who rely on social welfare payments. So when will the various financial supports and tax cuts come into effect?


People receiving social welfare payments will receive a double payment as a cost-of-living support.


The first of three €200 electricity credits to help offset the expected spikes in household bills during the winter will kick in.

There will be a once-off payment of €500 to those in receipt of the Carer’s Support Grant, people on Disability Allowance, and those drawing the Blind Pension and Invalidity Pension.


There will also be a €200 lump sum payment to the 230,000 people on the Living Alone Allowance and an extra €500 payment to parents availing of the Working Family Payment. A double payment of Child Benefit will be made during the month, which will mean families receive an extra €140 per child.

Before the end of the year

For students the once-off reduction in the third-level student contribution fee by €1,000 is to happen at some point in the final three months of this year, as well a double payment of student grants and a once-off payment of €500 for PhD researchers.

Free GP care is also to be provided to six- and seven-year-olds in the last quarter of this year.

January 2023

There will be a €12 increase to weekly social welfare payments, including the State pension, from the start of January.

Childcare fees are to be reduced by up to 25 per cent under the National Childcare Scheme from the start of next year.

Income tax: The point at which people have to start paying the higher 40 per cent rate of income tax will increase to €40,000 from 1st January, meaning many people will pay the lower 20 per cent rate on an extra €3,200 of income each month. There will be proportionate increases in the standard rate cut off point for married couples and civil partners as well.

The second €200 electricity credit to help households cope with high bills will come into effect during January.

The qualifying income threshold for the fuel allowance will increase to €200 from €120 above the relevant rate of the State pension, and €500 or €1,000 (couples) for the over-70s.

Later in 2023

The Government announced the introduction of a €500 tax credit for around 400,000 renters who do not receive other State housing supports. Renters will be allowed to claim the first credit for this year from Revenue next year, as well as the €500 tax credit owed for 2023.

The third €200 electricity credit to reduce monthly household bills will take effect in March.

Free GP care is to be extended to a further 330,000 people who earn below the median income of €46,000 after tax next April.

The provision of free schoolbooks to all primary school pupils will be in place from September of next year.

A scheme providing free contraception to women aged between 17 and 25 is to be expanded next year to those aged 16 to 30. A State-funded IVF scheme will also be started next year.

Jack Power

Jack Power

Jack Power is a reporter with The Irish Times