Budget discussion "A Budget for Workers" - Discussion

[balders93]

Was it?

Marginal rate band increases and tax credits increases after a freeze last year. PRSI rates increases laid out in 2023 are still adding up.

Someone on €44k a year sees an extra €200. The largest winners are those just above the new higher rate threshold at €46.5k a year who are €700 better off. And then for earners above that the amount better off slowly decreases due to the higher PRSI rates.

 

[balders93]

Minimum wage is up 5.6%

 

[Robovac rider]

It's definitely not a good budget for workers who become unemployed.

Prsi rates have been increased.

But for the vast majority of workers who become unemployed, the maximum rates of Jobseekers pay related benefit have not been increased to keep up with inflation.

This is the second consecutive budget where no increase has been given for JPRB.

Workers who become unemployed in 2027 will receive the same benefit payment that applied in 2025.

 

[Cervelo]

The largest winners are those just above the new higher rate threshold at €46.5k a year who are €700 better off.

What I find amusing about this "budget for the workers", is it's supposed to be "for the people who get up early and making sure that work pays"
But in reality it seems that people who have retired and live alone and live mainly on the OAP did better than the working person

 

[blueband]

Noting in it for lower paid workers this time.

 

[faketales]

I don’t believe the tax changes this year make up for skipping last year.

 

[Fortune]

But in reality it seems that people who have retired and live alone and live mainly on the OAP did better than the working person

That seems to be the usual budget approach

 

[Aladdin]

But in reality it seems that people who have retired and live alone and live mainly on the OAP did better than the working person

And all those who just don’t feel like working, god bless ‘em.

 

[odyssey06]

Hard to reconcile that claim with increases n public transport costs.

 

[Purple]

We have full employment and an economy which is at capacity. Any increases in spending and tax cuts will therefore by inflationary and so will cancel themselves out.

 

[LLB123]

We have full employment

Why then the need to budget 30m for Dept Social Protection? Seems baffling.

 

[ClubMan]

Because DSP/SW deal with a lot more than just jobseeker/unemployment support payments? E.g.:

Main Results Social Protection Expenditure in Ireland 2024 - Central Statistics Office

www.cso.ie

 

[Sister Sara]

an economy which is at capacity

I don't think that is correct. There is lots of capacity within the economy for it to grow. Increases in spending will assist that.

 

[LLB123]

Because DSP/SW deal with a lot more than just jobseeker/unemployment support payments? E.g.:

Oh I get that, but why such huge amount of welfare recipients overall?

 

[ClubMan]

There are a lot of pensioners, there are a lot of families (Child Benefit), a lot of people receive PRSI social insurance payments for health issues, etc. I don't see what's so surprising given the nature of our social insurance and related schemes.

 

[Fortune]

why such huge amount of welfare recipients overall?

Because of our aging population

 

[Protocol]

Why then the need to budget 30m for Dept Social Protection? Seems baffling.

DSP expenditure was €27.4 billion in 2025

https://assets.gov.ie/static/documents/ff2be1d8/2025_Annual_Statistics_Report.pdf

 

[Protocol]

Oh I get that, but why such huge amount of welfare recipients overall?

We have a large welfare state, so 65% of the population, or 3.56m people, are beneficiaries.

There are 2.466m recipients:

 

[JoeRoberts]

Why then the need to budget 30m for Dept Social Protection? Seems baffling.

Because for a lot of people it is better to work less hours to keep income down and max out social supports.

 

[joe sod]

Because of our aging population

Thats rubbish we are ageing less than our european peers, we still have a large population at working age. Yes in 20 years the ageing population will be a factor but its not a justification for a 30 billion welfare budget today.