Budget 2024: Everything You Need To Know

Minister Michael McGrath will outline changes in taxation, totalling €1.1 billion. 

The Finance Minister is outlining the details of Budget 2024 in the Dáil. 

He'll be followed by the Public Expenditure Paschal Donohoe, who will outline new spending measures.

Michael McGrath is just getting up to speak, and he will outline changes in taxation, totalling €1.1 billion. 

It is his first budget to deliver and says it is a privilege.

Minister McGrath says it will ensure there is opportunity for all and will provide a safety net for those who need it. 

He believes Budget 2024 will put in place a long term plan for Ireland's future. 

He says inflation is making life very difficult for people and household budgets are stretched. 

He expects living standards to improve in the next year. 

The Government will be providing direct help with household energy bills in the Budget. 

NATURE FUND

€14 billion put aside of Infrastructure Climate and Nature fund by 2030.

FUTURE FUND

The Future of Ireland fund with potential to grow to over €100 billion by middle of next decade to help protect living standards.

BUDGET PACKAGE

The total Budget Package of €14 billion.

SURPLUS

Surplus of €8.8 billion euro projected for this year, €8.4 billion for next year.

BUDGET

€1.1 billion in tax measures, €5.3 billion in core spending changes.

COST OF LIVING

Cost of living package worth €2.7 billion net of windfall revenues from energy sector.

He outlined the overall cost of today's Budget:

INCOME TAX

Income tax package worth €1.3 billion.

Higher rate of increase up by €2,000 to €42,000

TAX CREDITS

Personal employee PAYE and earned income tax credits to increase by €100.

A tax disregard up to €400  per year will apply to those who have renewable energy supplies on their home which then can be sold to the national grid.

Minister McGrath outlines what it aims to achieve:

USC

4.5% rate falling to 4%.

Entry rate into third point of USC raised to €25,760.

Minister McGrath confirmed changes to the USC and the cut off point to pay the higher rate of tax:

MINIMUM WAGE

Up €1.40 to €12.70.

CARERS

Home carer and single person child carer credits to rise by €100.

€450 euro disregard for Carers Allowance means test.

ENERGY

Extending 9% VAT rate for gas and electricity for another 12 months.

FUEL

Restoration of 8 cent on petrol and 6 cent on diesel deferred to April 24 and August 24.

RENT TAX CREDIT

Renters tax credit raised to €750.

MORTAGE RELIEF

One year mortgage tax relief to be capped at €1,250 to benefit 165,000 mortgage holders.

Minister Michael McGrath announced a number of measures the Government believes will help tackle child poverty:

HELP TO BUY

Help to buy scheme to be extended to the end of 2025.

LANDLORDS

Temporary tax relief for small landlords.

Rental income of €3,000 disregarded at standard rates in 2024, €4,000 in 2025, and €5,000 for years 2026 and 2027.

Minister McGrath says the tax incentives for small landlords can be clawed back if they leave the market:

VACANT HOMES

Increasing vacant homes tax to five times the property's existing basic Local Property Tax.

Minister McGrath announced the vacant homes tax is increasing to five times the existing Local Property Tax rate:

€207 million aimed at bringing vacant and derelict homes back into supply.

ELECTRICTY SELLING

Income disregard of €400 per year to apply to profits or gains from micro-generation of electricity and selling back to the grid.

CARBON TAX

Carbon tax to rise from €48.50 per tonne to €56 per tonne from 11th of October.

Will lead to a 2.5 cent rise on diesel, and 2.1 cent on petrol.

Minister McGrath confirmed carbon tax will increase this month:

E-BOOKS

VAT on e-books to reduce from 9% to zero in January, bringing it in line with printed books.

FARMING

Consanguinity relief to be extended for 5 years.

BANK LEVY

Put in place a revised bank levy in 2024 to raise €200 million.

CIGARETTES

A pack of cigarettes to increase by 75 cents, raising price to €16.75. 

Pro-rate increase on other tobacco products.

E-CIGARETTES

Domestic tax to be introduced on e-cigarettes in next year's budget.

Minister McGrath says he plans to introduce a tax on e-cigarettes next year:

FUTURE IRELAND FUND

A new savings fund called the Future Ireland Fund is to be established to help meet the costs of running the State in the future.

0.8% of GDP annually to be inserted into the fund from 2024 to 2035.

INFRASTRUCUTRE / CLIMATE FUND

New Infrastructure, Climate and Nature Fund to use portions of windfall corporate taxes to grow by 2 billion euro for seven consecutive years.

First €2 billion will come in 2024 from the National Reserve Fund.

The fund will have a climate and nature component worth over €3 billion to help with carbon budgets through capital projects where its clear climate targets aren't being reached.

Government approved Heads of Bill providing for both new funds.

ENERGY CREDITS

Three energy credits of €150  each to be provided between the end of this year and April of next year.

FUEL ALLOWANCE

€300 lump sum payment for fuel allowance recipients.

LIVING ALONE

€200 to be paid to Living Alone allowance recipients.

CHRISTMAS BONUS

Christmas bonus to be paid in early December.

COST OF LIVING 

One-off double week Cost of Living support to be paid to all qualifying recipients.

Once off €400 payment to those who get Carers Allowance, Disability Allowance and others.

CHILD BENEFIT

Double payments of Child Benefit before Christmas.

Foster care benefit double payment also this year.

SCHOOLS

Fee waivers for school transport and State exams.

COLLEGE FEES

€1,000 cut for free fees students, and a 33% cut in contribution fees for apprentices in higher education.

BUSINESSES

250 million euro scheme for business supports to be established

CHILDREN

€1 million euro to be provided to the CSO for the Growing Up in Ireland survey to improve understanding of child poverty and well being.

Expanding Child Benefit to 18 year olds in full time education.

Minister Paschal Donohoe announced permanent changes to social protection measures targeting the wellbeing of children:

HOT MEALS

Hot school meals to be expanded to a further 900 primary schools from August 24th.

WORKING FAMILY

Income threshold for Working Family Payment to increase by 54 euro per week.

DISABILITY

€64 million for investment in disability services.

CHILDCARE

€338m euro increase to core spending of Department of Children.

Further 25% reduction in childcare costs for parents to be implemented from September 2024.

EDUCATION

€10.5 billion euro to Department of Education.

TEACHERS

740 additional teachers to support those with special educational needs.

1,200 additional SNAs.

SCHOOLBOOKS

Free schoolbooks scheme to be extended to Junior Cycle post-primary students.

SOCIAL WELFARE

€12 euro increase for anyone getting a weekly social protection payment.

Public Expenditure Minister Paschal Donohoe confirmed an additional payment will be made to those on social welfare in January:

PRSI

Increase of 0.1 percent on all PRSI contributions from October next year.

HOUSING

€7 billion in funding for Department of Housing.

€1.9 billion euro to deliver 9,300 new build social homes.

€265 million euro to support delivery of 6,400 affordable homes in 2024.

Minister Paschal Donohoe announced five billion euro in capital funding for housing initiatives for 2024.

He outlined where some of that money will be spent:

HEALTH

€22.5 billion euro for the Department of Health.

€808 million increase in core funding to address demographic and service pressures.

€1.23 billion being provided through the National Development Plan for delivery of additional health infrastructure.

Public Expenditure Minister Pascal Donohoe says the overall health budget for 2024 will be worth 22.5 billion euro:

RETROFITTING

€90 million for the retrofitting of social homes.

HIGHER EDUCATION

€4.1 billion to Department of Higher Education.

LOCAL ENTERPRISES

€9 million to Local Enterprise Offices.

€3 million for Digital Services Co-ordinator to support enforcement of Digital Services Act.

NATIONAL DEVELOPMENT PLAN

€900 million allocated to the NDP in 2024.

Public Expenditure Minister Paschal Donohoe didn't outline any specific projects: 

CLIMATE

€380 million to residential and community energy schemes.

TRANSPORT FARES

Minister Paschal Donohoe announced the extension of public transport fare reductions of 20 per cent to the end of 2024.

He also revealed a change to the eligibility criteria for a young adult travel card:

ROADS

€1.35 billion for the development, protection and renewal of roads network.

CYCLING

Public Expenditure Minister Paschal Donohoe has continued with the Government's commitment to spending one million euro a day on cycling and walking infrastructure:

BROADBAND

€348 million in the National Broadband Plan to provide another 100 thousand homes with chance to connect to fibre broadband.

RURAL

€431 million for the Department of Rural Affairs and Community Development.

AGRICULTURE

€1.9 billion  for the Department of Agriculture.

Minister Paschal Donohoe says €700 million will go for farmers participating in agri-environmental actions:

TOURISM
€1.17 billion for the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media.

GARDAI

1,000 Gardaí and up to 250 civilian staff in specialist roles to be hired in An Garda Siochana.

Minister Donohoe says there will also be a 25 million euro increase to the Garda overtime budget:

DEFENCE

€1.23 billion euro for the Defence sector.

Public Expenditure Minister Paschal Donohoe says there will be funding for 400 more military personnel, including in cyber security:

IRISH AID

8.4 % increase on the level of Irish Aid funding - up to €776.5 million.