Minister for Finance and Public Expenditure and Reform Mr. Paschal Donohoe TD presented his
Budget to the Dáil on the 9th October 2018.
Below is an overview of some of the main changes announced in the Budget.
Social Welfare Payments
- all weekly social welfare payments will increase by €5 per week from the end of March, 2019. Payments affected include the State pension, carer’s allowance, disability allowance, jobseeker’s benefit and jobseeker's allowance
- Christmas bonus payment of 100% for all social welfare recipients in 2018
- Qualified Child Payment increased from €31.80 to €34
- national minimum wage will be increased to €9.80 per hour
- two extra weeks paid parental leave will come into effect from November, 2019
- entry point for the higher rate of income tax has been increased from €34,550 to €35,300
- 4.75% universal social charge (USC) rate reduced to 4.5%, to further benefit low and middle level income earners
- Earned Income Tax Credit for the self-employed increased by a further €200, making it €1,350 per year
- increase of €300 to the Home Carer Tax Credit, making it €1,500 per year
- value-added tax (VAT) rate for the tourism sector has been increased from 9% to 13.5%
- interest deduction for residential landlords will be restored to 100% from 1 January 2019
- launch of up to €300 million Future Growth Loan Scheme for SMEs and the agriculture and food sector
- extension of Vehicle Registration Tax (VRT) relief for hybrid vehicles
- €70 million for Targeted Agriculture Modernisation Scheme (TAMS)
- additional €70 million for the Environment and Waste Management Programme
- reduction in prescription charges and monthly Drug Payment Scheme thresholds
- excise duty increased on tobacco products
- no excise duty increase on alcohol
For the full details on the changes announced in Budget 2019, see the Minister's statement, below.
Budget Speech delivered by Finance Minister Paschal Donohoe