Budget 27: As It Happened

The 2027 Budget is being delivered at 1pm today.

Good afternoon, welcome to our live Budget 2027 coverage.

Our coverage is with thanks to Milne O’Dwyer Chartered Accountants & Chartered Tax Advisers. For more information visit milneodwyer.ie 

Homelessness was mentioned three times in today’s budget speeches.

However the Simon Communities of Ireland says details around supports was lacking, with no mention of the overdue child and family action plan.

Executive Director Ber Grogan, says it's disappointing:

Family Carers Ireland is welcoming increases to the income disregard for the carer’s allowance, but says supports don’t go far enough.

Patricia O’Regan is a carer for her son and says the Government needs to provide more certainty for future planning in the sector:

Many people will be looking to the hauliers for their reaction to get a sense as to whether or not protest action could be in the offing.

The Irish Road Haulage Association has always maintained the importance of staying at the negotiating table.

Its President is Laois man Ger Hyland.

He says he's not sure his members will be thrilled with today's announcement:

Sinn Féin says Budget 2027 has failed every test.

Finance Spokesperson Pearse Doherty accused Ministers of leaving workers, families and pensioners behind:

MINISTER JACK CHAMBERS HAS COMPLETED HIS SPEECH, PEARSE DOHERTY FOR SINN FEIN BEGINS THE OPPOSTION REACTION

The Minister used part of his Budget speech to urge unions in the public sector to stand down their industrial action:

ARTS

There will be €34.4m for the Basic Income for the Arts Scheme.

SPORT

€4m to league of Ireland academies, €1m increase to the Gaelic Players Association, €1m for a hurling and camogie academy initiative, and €22m for hosting the 2027 Ryder Cup and the 2028 Euros.

SHARED ISLAND

There will be €200m for the Narrow Water Bridge and a new teaching bulding at the University of Ulster.

DEFENCE, POLICING, AND FOREIGN POLICY

There will be 850 new permament defence force members.

New helicopters will be procurred.

The long campaigned for new millitary radar will be delivered.

There will be investment in maritime surveillance and cyber security.

1,000 extra gardaí will be recruited.

€855m for international co-operation which includes Irish aid diversification programmes.

Former Defence Force member, and security analyst, Mullingar's Declan Power says the measures are modest but welcome:

HEALTH

The health budget is being increased by €1.6bn

HSE workers will see an increase in pay.

Free contraception will be extended up to those aged 37.

More funding is being made available for youth mental health services.

Public Expenditure Minister Jack Chambers explains where that money will be spent:

EDUCATION

The Minister is announcing an increase in capitation grants for schools of €17m.

There will be €2m extra for DEIS schools.

Resources will be made available to deliver 2,339 additional SNAs and 1,353 extra teachers next year.

The student contribution fee is being reduced by €150.

The SUSI maintenance grant is going up by 4.5%.

Amanda Keyes is the Deputy President of the Athlone Campus for TUS Students Union.

She says the current measures dont go far enough for third level students:

CHILDCARE

Maximum childcare fees are being reduced to €550 a month up to senior infants.

The Government says parents will save a total of €2,220 per child per year.

These people think the childcare fee cap doesn't go far enough:

Early Childhood Ireland says the budget fails to address recruitment and retention issues in the early learning and childcare sector.

Director of Policy with Early Childhood Ireland, Francis Byrne says its four thousand members are very disappointed:

ENERGY

Fuel allowance is going up by €5.

The income threshold single pensioners is being increased by €534 to €641.

While the living alone allowance is going up by €3 per week.

Social Justice Ireland’s Research and Policy analyst Suzanne Rogers says its disappointing:

SOCIAL WELFARE

A budget of €30.9bn.

€10 increase in social welfare rates including pensions.

The working family payment is increasing by €30.

The carer's income disregard is increasing to €1,150 for a single person.

Minsiter Chambers says social welfare increases will outrun inflation next year:

MORE ON HOUSING

The overall housing budget will be €9.4bn.

There will be 11,250 new build social homes.

The government is promising thousand more affordable homes.

And there will be €2.2bn for the Housing Assistance Payment and other rent supports.

Philip Kelly from DNG Kelly Duncan in Tullamore says the headline figure of 9.4 billion euro is positive:

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€2.3bn is being set aside for Uisce Eireann - Minsiter Chambers says the move will boost water supply and home building.

€155m is being announced for the circular economy including €47m to tacklke waste contamination sites.

There will be a boiler scrappage scheme with more grants for retrofitting.

DISABILITY

A new vehicle adaption scheme for those with mobility needs to be created.

There will be a new 'cost of disaibility' payment of €500 to be paid in January.

There will be 489 extra Residential Care packages with 191,000 extra hours of respite.

EXPENDITURE MINISTER JACK CHAMBERS IS SPEAKING

The State will develop a new public spending efficiency taskforce.

€22.3bn will spend on capital projects - an increase of a billion euro on last year.

€6bn is being allocated for the Metrolink project from 2027 to 2030.

The Minister says the Metrolink project will receive additional funding:

SIMON HARRIS' SPEECH HAS JUST ENDED

There's €1 increase on excise to a pack of 20 cigarettes. There will be Pro rata increase to tobacco products.

E-liquid products rising by 20 cents per milliliter.

Eilís Ní Chaithnía from the Asthma Society of Ireland, says it should discourage people from the habit, which will benefit people’s heath:

FARMING

There will be an extension to the wear and tear allowance for farm safety equipment to 31 december 2029.

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We're starting to collect local reaction from the Midlands to today's announcements:

A Laois financial advisor says it may take time for new tax measures to take effect.

Portlaoise's Shane Tobin is the CEO of Truewealth.ie and a QFA Financial Advisor and  says people will need to see the savings for themselves:

TOURISM AND HOSPITALITY

€15m is being announced for rural and local pubs in a scheme to be developed in the coming weeks

Minister for Enterprise, Tourism and Employment Peter Burke, explains why 15 million euro is being spent on a scheme for rural pubs:

HOUSING

A new derelict property tax is on the way with a register to be published on September 1st 2027 and a rate of 7%.

Rent a room income relief increased by €2k to €16k

That will also include 'detached auxiliary dwellings' of 32-45 square metres. (Sheds and cabins).

Renters tax credit to increase by €150 to €1,150.

It was well previewed but Simon Harris is confirming the Help to Buy scheme is going up from €30k to €35k.

Social Justice Ireland Research and Policy analyst Suzanne Rogers, says increasing the funds available for first time buyers isn’t necessarily a good thing;

MORE TAX MEASURES

The standard rate of capital gains tax to be reduced from 33% to 31%.

Tax relief for childminders is going up by €5k to €20k.

VRT relief on electric vehicles extended until 31st December 2028.

VRT rates on high polluting cars in band 3 to 20 increasing by 1%.

There's an increase in the annual threshold for tax relief on the donation of heritage items to Irish national collections from €8 to €12 million.

INVESTMENT

The Ireland Strategic Investment Fund is launching a €1bn investment programme to create the next generation of large Irish companies

€2bn to be invested in Eirgrid.

While the Microgeneration income tax disregard is increasing by €200 to €600 per year for people who sell energy back to the grid.

A new investment scheme will have a tax free threshold of €50k

A 1% contribution tax on the value above €50k

Max contribution of €12k per annum.

The State investment account will open July 1st 2027.

Here's Minister Harris with the details:

While taxes on investment in offshore funds to drop from 38% to 35%.

TAX

Minister Harris is confirming the threshold at which the higher rate of income tax kicks in is being increased by €2.5k.

He's confirming tax on fuel will not be increased over the "winter months".

Excise duty rates on petrol and diesel to remain reduced until 28th February 2027

Will be placed back on in four phases after that up to June 30th 2027

NORA levy cut extension until 31st December 2026

Diesel rebate scheme extended until 31/12/26

Tax on kerosene and gas for carbon to be reduced to €48.50 per tonne for the lifetime of the Government.

Taoiseach Micheál Martin has defended the fuel package contained in the budget amid criticism it doesn't go far enough:

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The following changes are being confirmed to the inheritance tax system:

GROUP A from €400k to €420k

GROUP B from €40k to €44k

GROUP C from €20k to €22k

The Employer PRSI rate is increased from €552 to €600.

The overall income tax package will total €1.3bn

The entry point for Universal Social Charge 3% band has been raised by €1,600.

Finance Minister Simon Harris explains why:

The carer tax credit is going up by €100.

Main tax credits are up by €125.

Portlaoise's Shane Tobin is the CEO of Truewealth.ie and a QFA Financial Advisor.

He says people will need to see the savings for themselves:

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Finance Minister Simon Harris is just taking to his feet in the Dáil chamber to deliver his first budget.

Budget 2027 will see income tax cuts, reductions in the cost of childcare and a fall in the carbon tax.

So who are the winners and losers?

Well middle class workers are likely to be better off to the tune of 750 euro each through tax changes - while the Government is arguing changes to the minimum wage and USC bands mean someone earning 25k will be better off to the tune of 1,200 euro a year - the most of any group.

But others are weighing the trade offs People renting out a room will now be allowed to charge 16k tax free rather than 14k - does that mean rents are about to go up for their tenants?

The new 500 euro cost of disability payment has been heralded by Government - but campaigners say it amounts to just a tenner a week.

And while the cost of home heating oil and gas is about to fall - there won't be anything on petrol and diesel.

And already questions about whether it's right for the Government to subsidize fossil fuel use. We'll know in the next two hours if the Ministers have held back any surprises.