The Green Party has joined Fianna Fáil in querying moves by Fine Gael Minister for Social Protection Heather Humphreys to favour pension increases over a rise in jobseekers allowance in the budget, saying it would be a “very unwelcome departure”.
Ms Humphreys has signalled she will propose a €15 increase to the State pensions in Budget 2025 which will be unveiled on October 1st. Groups such as carers and those receiving disability payments would also benefit from a similar increase.
However, she is not thought to be in favour of a similar increase in jobseekers’ allowance. It is unlikely the other two Coalition parties will agree to such a distinction being drawn between pensioners and other social welfare recipients.
At its ardfheis last April, Fianna Fáil made a series of pledges on welfare increases, including an increase of €12 to the old-age pension, €10 to child benefit, and similar increases to social welfare.
Budget 2025 main points: Energy credits, bonus welfare payments, higher minimum wage and tax changes
Budget 2025 calculator: How this year’s budget will affect your income
Households worse off over failure to peg tax and welfare changes to income growth - ESRI
If our finances go flat, how will Ireland pay its bills?
A Fianna Fáil source said on Sunday people on jobseekers’ allowance were on fixed incomes and had been affected by inflation over the past year, despite it easing in recent months.
The Green Party’s whip, Marc Ó Cathasaigh, in a series of tweets, also said he strongly opposed such a distinction being made.
“We shouldn’t frame this debate as pensioners against jobseekers, with one group more deserving than the other,” he said.
Separately, Sinn Féin has said a cornerstone of its alternative budget, to be published later this week, will be a proposal to scrap Universal Social Charge for average earners.
Its finance spokesman Pearse Doherty said ordinary workers continued to struggle with the cost-of-living crisis.
The party’s proposal, he said, would put more than €1,100 into average workers’ pockets, exempt over two million workers from the USC, and benefit all workers.
“The USC is a legacy of Fianna Fáil crashing the economy. Sinn Féin would do things differently,” he said.
He said Sinn Féin in government would exempt the first €45,000 of every worker’s income, starting by exempting the first €30,000 income in 2025.
- Sign up for push alerts and have the best news, analysis and comment delivered directly to your phone
- Join The Irish Times on WhatsApp and stay up to date
- Listen to our Inside Politics podcast for the best political chat and analysis
