06/10/2026
💰 ❌️ is no workers’ budget. It fails working people during a cost-of-living crisis, and continues to push public money into private hands. Modest increases in wages, social welfare, and tax credits cannot compensate for a system in which housing, energy, and childcare cost so much.
In his budget speech today, Minister for Public Expenditure Jack Chambers claimed to have made "significant provision” for a public sector pay deal. While the headline figure of €1.2 billion sounds impressive, it should not be mistaken as a €1.2 billion payrise. The figure must cover the outstanding elements of the previous agreement and pensions, as well as any future deal for the hundreds of thousands of public sector workers.
Meanwhile, the minimum wage is set to increase by 79c to €14.94 per hour, as per the recommendation of the Low Pay Commission. This still falls short, however, of the €16 figure deemed by the Living Wage Technical Group as necessary to allow workers to “afford the essentials of life.” Although a living wage was previously promised, it appears that this can has been kicked further down the road.
As the sub-minimum wage rates for those under the age of 20 remain in place, the actual lowest legal wages paid in the state will be €10.46, €11.95, and €13.45 for those below 17 years of age, 18-year-olds, and 19-year-olds respectively; even further below the €16 living wage.
The €10 social welfare increase for pensioners, carers, and disabled people will likewise do little to improve the lot of those in receipt of such payments. The new maximum weekly payments still fall far below the cost of living, with the highest being that of the contributory state pension at €309.90 per week.
Such is their modesty that, in the context of rising prices, these increases may soon become practically unrecognisable to working people and their families if they are not already. They will be gone out of their pockets as soon as they come in.
On housing, it is clear that the government continues to — either foolishly or maliciously — push the idea that making small tweaks to a failing model will somehow end the crisis. The €150 increase in the renters’ tax credit amounts to merely an extra €12.50 a month for an individual able to claim it in full. It does nothing to bring rents down or provide greater security of tenure. Worse, because the credit depends on income tax liability, renters on the lowest incomes may receive only part of it or nothing at all. The focus on housing largely remains on letting the private market do what it will, with subsidies thrown in here and there — which will simply end up in the private hands of landlords anyway — rather than on prioritising the delivery of universally-accessible, mixed-income public housing at a mass scale.
Regarding childcare, the modest decreases in costs do not go far enough in solving problems for parents. The current system is designed to benefit for-profit private operators by handing them public money through subsidies. A proper state-funded and state-run pre-school system, based along the same lines as the primary school system, is needed to effectively and efficiently tackle the issue.
When it comes to energy, although an increase in fuel allowance and a reduction in the carbon tax on home heating fuels will provide some relief, neither guarantees affordable bills. Workers should not have to wait for budget day each year to see if they will struggle to keep their homes warm. Targeted support must be accompanied by stronger regulation of prices and standing charges, protection against disconnection for households in hardship, and investment in publicly-owned renewable generation. A serious long-term energy strategy should also include an evidence-based assessment of the role of nuclear power.
Although the plan to reintroduce excise rates on petrol and diesel has been pushed out, it is worth remembering that this is only a temporary measure. There is every possibility that we will find ourselves in the same situation in twelve months or sooner. The wider issue in energy is one of relying on a fossil fuels market that is being disrupted by American interference in the Middle East.
This budget does little to ensure that working people can afford to live in a secure home, heat it, raise their children, and live in comfort with dignity. By outsourcing so much to the private market and failing to build public alternatives, the government leaves the Irish working class paying for the same failures year after year.
