Ireland’s strong public finances in the face of global uncertainty will allow for a personal income tax package in the budget to help people with the cost of living, Tánaiste Simon Harris told his party Wednesday night.
The Fine Gael leader and Minister for Finance said there will be a special parliamentary party meeting on May 6th to discuss Budget 2027. He said this will focus on core supports for “hard-working people” with an income tax package important in terms of allowing people keep a little bit of their own money and also make sure that work always pays.
The Tánaiste said helping to reduce cost of childcare is a key priority as well as work now moves to producing the Summer Economic Statement.
He said global uncertainty remains rife and nobody can say with certainty where we will be in six weeks, “never mind six months”.
READ MORE
He said following the publication of the Annual Progress Report and Spring Forecast this week, even in the most optimistic scenario, the economic impact of these shocks – particularly on energy prices – will take time to unwind.
He said that is why Government has acted quickly with targeted, time-bound measures and that there will be further details on the agriculture and transport schemes next week.
The Tánaiste told the meeting the surplus forecast for this year allows Government to intervene when shocks arise and put in place a stronger response than many other countries.
He added the only long-term answer to repeated energy shocks is to reduce dependence on volatile fossil fuels and invest in energy independence.
He also said Fine Gael has always stood up for rural Ireland as the party that established the Department of Rural Affairs, ensured unprecedented investment into rural communities and was the only party that stood by the National Broadband Plan, which will see the first county (Kilkenny) to complete the roll-out in June.
The Tánaiste said he’s never believed in dividing people by where they live or the job they do.
Whether someone lives in rural Ireland or urban Ireland, he told the meeting, “whether they are a farmer, self-employed, or an employee – what matters are their values and their contributions”.
Harris added that across the country, both urban and rural, he sees hardworking people who want the same thing: to get ahead, not just get by.
“They keep their side of the social contract. They work hard, contribute, and play their part in their communities.”
“And they want to know that their Government has their back – that it is doing its best, being straight with them, and delivering for them.”
His comments came in light of an appearance on the Path to Power podcast where former taoiseach and leader of Fine Gael Leo Varadkar said people in rural Ireland often suggested they were the “real workers” and “paying all the bills”, but urban Ireland was in fact paying more while rural residents are “in receipt of a lot of subsidies and a lot of tax benefits that other people don’t get”.
