Taoiseach hints pension rise will be higher than €7.50

TAOISEACH MICHEAL MARTIN has indicated that the pension might rise by more than €7.50 per week.

Despite reports over the weekend that the pension may only increase by that amount, the Taoiseach told the Dáil that reports about pension increases “may not be accurate at all”.

Social Democrats deputy leader Cian O’Callaghan said leaks about the €7.50 pension increase would be a “clear betrayal” of pensioners by Fianna Fáil and Fine Gael.

Calling it a “paltry increase” which would not even keep pace with inflation, he said it would tip a huge number of older people, many of whom are already barely scraping by, into poverty.

The Taoiseach told the deputy that he should not believe everything he reads in the newspapers or hang his hat on every report. 

While he said there is always a lot of briefing before budget day, the bottom line for the government is it is very conscious of the cost of living.

Martin said Social Protection Minister Dara Calleary is looking at other ways, in addition to the pension, of helping pensioners in the forthcoming budget.

“He will be bringing forward proposals in that regard on budget day. What I would say to the Deputy is, do not believe the reports in the newspapers in respect of pensions because they may not turn out to be accurate,” he said. 

The Taoiseach said that outside of the pensions, other supports that will be introduced through social protection and through taxation will be beneficial for some pensioners. 

Childcare costs 

Meanwhile, Tánaiste Simon Harris told his parliamentary party this evening that next week’s budget will focus on rewarding work, reducing childcare costs and helping households with their energy bills.

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On childcare, the Tánaiste confirmed he intends to increase the Childcare Services Tax Relief threshold. He said this relief is designed to encourage stay-at-home parents and people working part-time to provide childcare on a small scale.

Harris said childcare costs will be tackled through both fee reductions and the tax system. Reducing income tax and helping households with energy costs will also be key features of the budget.

 Final negotiations will continue over the coming days ahead of Budget Day next week.