Waterford City and County Council has overwhelmingly backed a motion calling on the Government to abolish the Universal Social Charge (USC), with 29 councillors voting in favour at its latest plenary meeting.

The motion, proposed by Cllr. Joe Kelly, argued that the USC was introduced as a temporary emergency measure during the financial crisis in 2011 but has remained in place long after the economic circumstances that prompted its introduction had passed.

Addressing the chamber, Cllr. Kelly said the charge continues to affect almost every working person in the country and also applies to private pension income. He argued that successive governments had repeatedly promised to abolish the tax but had failed to deliver, despite significant improvements in the State’s finances.

Cllr. Kelly pointed to the growth in corporation tax receipts, saying they now far exceed the revenue originally generated by the USC, and described the charge as “a crisis-era solution that has outlived its justification.” He urged councillors to support the motion and “give them back some of their hard-earned money.”

Seconding the motion, Independent Cllr. Donal Barry said he strongly opposed the Universal Social Charge and believed the Government should be held accountable for continuing to retain what was introduced as a temporary measure.

He said the USC reduces the take-home pay of workers across a wide range of professions, including nurses, teachers, care workers, factory workers, tradespeople, firefighters and ambulance personnel, as well as younger workers already facing high living costs and rising rents. Cllr. Barry questioned why the charge remains in place if the country’s finances are now in a much stronger position.

Speaking on behalf of Sinn Féin, Cllr. Joeanne Bailey confirmed her party’s support for the motion, saying Sinn Féin’s policy is to abolish the USC for the average worker while protecting lower-paid earners. She described the Universal Social Charge as one of the country’s most unpopular taxes and said removing it would ease financial pressures on lower- and middle-income households.

The motion passed with 29 councillors voting in favour. Cllr. Mary Roche cast the only vote against the proposal, while Cllr. Jim D’Arcy abstained.

Explaining her opposition, Cllr. Mary Roche said she did not believe the financial case for abolishing the USC added up, arguing that relying on one-off corporation tax receipts to fund permanent tax cuts would be fiscally irresponsible and risk repeating mistakes made during the Celtic Tiger era.