Labour’s finance spokesperson Ged Nash TD has called on government TDs to support the party’s mini Budget proposals aimed at helping households with the cost of living in the months leading up to October’s Budget.
Labour Mini-Budget would bridge gap for PAYE workers
- Dáil to debate measures next Thursday
- €100 grocery support via Child Benefit
- Windfall tax on energy profits to pay for energy credits
- Increase bank levy to support small business energy grants
- Pilot free public transport to tackle congestion
- Deploy Apple funds to turbocharge retrofitting
Deputy Nash said:
“There’s too much back-of-the-envelope short-termism from Fianna Fáil and Fine Gael when it comes to dealing with the ever rising cost of living. Labour’s mini-Budget proposals to be debated next week are crafted to provide targeted and sustainable supports for the households who most need some respite between now and October’s Budget.
“These measures would transfer profits from the big energy companies, big tech, the banks and burger barons to the pockets of PAYE workers and the self-employed who are struggling to make ends meet in the teeth of what has all the hallmarks of a permacrisis.
“PAYE and self-employed workers have been left behind during this onslaught, and are seeing real cuts to their disposable income, all thanks to decisions made by Fianna Fáil and Fine Gael in last year’s budget.
“That’s why Labour’s mini Budget proposals are clear: we are calling on government to show leadership and to reverse the ill-thought through VAT reductions due in July, and use the savings to provide for indexation of income tax bands and credits, backdated to January 2026, to put money back into the pockets of working families.
“Grocery prices continue to rise. Just this morning, The Irish Times is reporting that certain branded butter is 65% more expensive in Ballybunion than Berlin. Labour has already proposed stronger powers to tackle excessive pricing through our Competition & Consumer Protection (Excessive Prices) Bill.
“Our package includes a €100 grocery payment to be targeted through the Child Benefit payment to provide relief to families, particularly during the summer months when the Hot School Meals fall away.
“We are also calling for the restoration of the €100 previously cut from the Back to School clothing and footwear allowance and to remove State exam fees. Families are already staring down the barrel of the annual back to school costs, so let’s be proactive now and help families prepare for the tough months ahead.
“This crisis is rooted in a failure to invest in sustainable energy, crucially in Fine Gael and Fianna Fáil’s failure to invest in Ireland’s energy capabilities through renewable energy. Labour’s mini-Budget will introduce a windfall tax on energy profits to fund targeted energy credits and support an additional ‘summer bonus’ social welfare payment in June.
“We would also increase the bank levy to €500m to provide targeted energy grants for small businesses and focused supports to increase the uptake of electric vehicles for households and businesses. If we want to be serious about driving down the cost of business, we need to see real investment, now, in renewable energy.
“This includes deploying the windfall Apple funds to turbocharge retrofitting, deploying solar power and offshore wind and the electrification of heating and transport to drive down the cost of bills.
“Commuters have been particularly impacted by the latest energy crisis and are under serious pressure from high fuel costs. Our package proposes the introduction of pilot trials of free public transport to reduce fuel use. It’s not a silver bullet, but we need to provide options to commuters who are feeling the pinch at the pump.
“Analysis carried out by the ESRI on Budget 2026 is clear. Households lost an average of 2% of disposable income with low-income households hit hardest. Coupled with the illegal war launched by the United States and Israel against Iran, Ireland’s cost of living crisis has seen increased inflation with further price rises still to come on energy, food and other commodities. The government can no longer hide from this fact, and it’s about time they did the business for PAYE workers.
“The Labour Party is proud to be the only Party to come forward with real, meaningful and fiscally responsible proposals to address the crisis that is consuming households across the country. We would urge the government to implement these measures and protect the people who need it most, next Thursday.”
