James Cox
A €2 billion euro cost-of-living package is being finalised by the Government ahead of the budget announcement tomorrow.
Two double payments of child benefit, possibly before the end of the year, are on the cards for Budget 2025.
Increases in welfare rates, including the state pension, are also expected.
Fees for the Leaving and Junior Certificates are also due to be cancelled for another year, while an energy credit of €250 is set to be announced.
Senior economist at the Irish Fiscal Advisory Council, Niall Conroy, has concerns over the tax cuts and spending increases that are set to be announced.
Mr Conroy told Newstalk: "When the economy is performing really well, as it is at the moment, with really high employment and really low unemployment, this isn't the time when the economy really needs support from the government."
The Taoiseach has agreed with the Minister for Social Protection that the jobseekers’ allowance should not increase at the same rate as other social welfare payments.
Coalition leaders and senior Ministers were engaged in high-level negotiations on Sunday night, ahead of the budget on Tuesday.
Mr Harris said it was a practical matter rather than an “ideological debate”.
“At the end of the day, Government is ultimately going to have to say, ‘These are many good ideas, how do we best make the carpet fit the room?'”
He added: “We’re going to see all of the social welfare payments increase – it is just a question of how much.
“For everything we do here, it means you can’t do something else there. That’s the balance we have to try and get right.”
Mr Harris also suggested the cost-of-living package could be larger than previously expected.
“My priority for this Budget is to make sure we get help to people in the here and now.
“We have to make sure the cost-of-living package is sufficient enough to meet the scale of challenge that people are facing in their lives.” - Additional reporting from Press Association
