Fine Gael - Pascal Donohoe - Fianna Fail - Michael McGrath
The government have set out their stall for spending plans in 2022.
The Minister for Finace Paschal Donohoe and his colleague, the Minister for Public Expenditure Michael McGrath have announced a budget package worth €4.7bn.
That will mean a breakdown in expenditure of €4.2bn, with €500m worth of tax measures.
: Budget 2022 - Broken down :
Welfare
A €5 weekly increase for all social welfare recipients
The weekly fuel allowance is to increase by €5 from tonight
The Christmas bonus will be paid in full for 2021
The State pension will increase by €5
An extra €3 will be added to the Living Alone Allowance
More carers will qualify for payments in the first major reform of the Allowance in over a decade
The Carers Allowance will also increase by €5
A COVID-19 contingency fund is being created and includes €500m for testing and tracing, a vaccine booster campaign and PPE
Employer Wage Subsidy Scheme extended in a graduated form until April 30th 2022
- No change to the scheme in October and November
- In December, January and February, a two-rate structure of €151.50 and €203 will apply
- In March and April 2022 a flat rate of €100 will be in place - reduced employers PRSI to no longer apply
- Scheme closes to new entrants from January 2022
The earnings limit on Disability Allowance will rise from €350 to €375
Parents and families
The Back to School Allowance will go up by €10
Parents Benefit to increase to seven weeks from July next year
Plans to freeze childcare fees have been unveiled
Free GP care will be given to children aged six and seven - with plans to extend it to those up to 12 years
New funding stream for 4,700 childcare providers from September 2022
Maternity benefit and parental leave payments will go up by €5 a week
The pupil-teacher ratio in primary schools will be reduced by one point
Taxes
The lower tax band of €35,300 will rise by €1,500
A 2% rise in the personal tax credit
The ceiling for the second band of USC is rising to €21,295
The USC exemption for medical card holders and those over-70, earning less than €60,000, stays in place
Carbon tax will rise by €7.50 per tonne - increasing the price of natural gas, bag of coal and bale of briquettes
The cost of a full tank of petrol will go up by €1.28 and the diesel will go up by €1.50
The VRT exemption for Battery Electric Vehicles is to be extended to the end of 2023
A revised motor tax system from January will see:
1% increase in VRT for bands 9-12
2% increase for bands 13-15
4% increase for bands 16-20
Reduced VAT rate of 9% for hospitality sector will remain in place until August 2022
Cost of living
The minimum wage is rising by 30c to €10.50 an hour
The price of alcohol will be unchanged - 50 cent will be added to the cost of a pack of cigarettes from midnight
A pilot scheme is being introduced to provide a basic income for artists
The live events sector is to get €25m in support
Working from Home Employees can claim back 30% of vouched expenses for heat, electricity and broadband for working from home
€25m for a new Youth Travel Card, which will see 50% discount on public transport for those aged 19-23
