After weeks of speculation and last minute negotiations, the 2022 budget has finally arrived.
Minister Donohoe made this year’s announcement in a joint speech with Minister of Public Expenditures Michael McGrath at the Dail Tuesday.
Fine Gael TD said: “We are entering a new phase where we will recover, restore and repair. In developing this budget, the government has been aware of the cost of living pressures faced by so many citizens and workers. companies.
“As the recovery takes hold and we get back to normalcy, we in government remain focused on higher debt levels – which will hit € 240 billion next year. The 2022 budget meets double that goal of investing in our future and meeting the needs of today. “
And despite the difficulties of the pandemic, government officials have confirmed a number of important changes.
There has been a boost for retirees, welfare recipients and support for those struggling with the rising cost of living.
There was also good news for the childcare, aviation and tourism industries.
However, smokers are poised for another price hike as Ireland aims to become tobacco-free by 2025.
But there is better news for a central aspect of Irish life – the prices of alcohol and the pint.
Here’s everything you need to know about all of this and more since Tuesday’s budget announcement:
There has been no increase in the cost of pints given the difficult year and a half it has been for hospitality professionals.
The government was reportedly aware of the suffering of pubs and restaurants during the pandemic and decided not to make it worse by raising prices.
And the price of alcohol in supermarkets like Tesco won’t change either, Finance Minister Paschal Donohoe confirmed.
The price of cigarettes will rise again, with a 50 cent increase in excise duty.
Minister Donohoe explained that he was working with public health to try to reduce the prevalence of smoking in Irish society.
He told Dail: “To support public health policy aimed at reducing smoking in Irish society, I am increasing the excise duty by 50 cents on a box of 20 cigarettes.
“This will bring the price of cigarettes in the most popular price category to € 15.
Social assistance recipients will receive a weekly increase of € 5 from January, it was confirmed on Tuesday.
A full Christmas bonus is also on its way after a difficult 18 months for the public during the pandemic, Expenditure Minister Michael McGrath said.
Mr McGrath confirmed that the state pension will increase to € 253.30 over the New Year – an increase of € 5 per week.
The life-only allowance will also see an increase from € 3 to € 22 next year.
Recipients of sickness benefit or jobseeker’s allowance will also benefit from a bonus of € 5.
“This includes a full increase of € 5 for young job seekers,” the minister said.
“The price of the Qualified Children Supplement for children under 12 will be increased by € 2 and € 3 for children 12 and over.
“Over a long period of time, our social protection system has sought to restore balance, supporting the most vulnerable among us.”
The fuel allowance will drop to € 33 per week, but there is bad news for your pocket on the carbon tax front.
This will require another significant jump from € 7.50 to € 41 per tonne – and will increase by the same amount each year until 2030.
This means that from Wednesday the cost of gasoline, diesel and home heating will increase.
Coal and peat will also see a price hike from next May, at the same time as other fuel costs rise as part of the government’s plans to tackle climate change.
However, Public Expenditure Minister Michael McGrath said any additional funds raised through these changes will be “returned to the Irish people” on a “gradual basis”.
He added that 174 million euros will be made available in 2022 for energy efficiency and to protect the most vulnerable in society.
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