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Dublin Live
17-06-2025
- Business
- Dublin Live
Social welfare Ireland: Taoiseach hints at child benefit shake up as 'nothing is off the table'
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info Taoiseach Micheál Martin has said that all options for addressing child poverty - including a second tier of child benefit - are on the table for Budget 2026. The Programme for Government contains a commitment to "continue to support families with the cost of raising their family through the child benefit payment". It also commits to exploring a targeted Child Benefit. It follows calls for the introduction of a second tier of Child Benefit. Speaking at the National Economic Dialogue in Dublin Castle, Mr Martin said he had identified "two very key areas" that he wanted Budget 2026 to prioritise, including disability and child poverty. The Taoiseach said targeted Child Benefit and all other prospects will be explored ahead of Budget 2026 in October. He said: "We will be examining all aspects of [Child Benefit] and I have a [child poverty] unit within the Department [of an Taoiseach] that is focusing on these issues. I already spoke to Minister of Social Protection Dara Calleary on this, but nothing's off the table. "There's a wide menu there that we can choose from to target resources to meaningfully impact on the child poverty situation. That's not just in terms of income supports, but also in terms of other initiatives in education, for example, the Deis+, which would target children in particular severe disadvantage and other areas. "The Child Benefit remains, but I'm saying we're looking at more targeted responses on the child poverty issue, which can come across a number of instruments." When asked if it was too early to examine the prospect of a second tier of Child Benefit, the Taoiseach repeated that "nothing's off the table". He added: "We're examining all options in perspective. We have to do something targeted and something that will have a meaningful impact on child poverty. Nothing is off the table. There is a very significant expenditure required for something like that as well. There's a range of measures for looking at this." Mr Martin also called for a focus on disability in Budget 2026. This, he said, would include income supports for people with disabilities, investment in respite and supports for transport and mobility. He also said that progress on ending the means test for carers will "obviously come under consideration". Join our Dublin Live breaking news service on WhatsApp. Click this link to receive your daily dose of Dublin Live content. We also treat our community members to special offers, promotions, and adverts from us and our partners. If you don't like our community, you can check out any time you like. If you're curious, you can read our Privacy Notice. For all the latest news from Dublin and surrounding areas visit our homepage.
Extra.ie
17-06-2025
- Business
- Extra.ie
Two-tier children's allowance now likely in October's budget
Extra child benefit payments for lower-income families are being discussed ahead of the October Budget, as Cabinet ministers have been ordered to bring forward ideas to alleviate child poverty. Taoiseach Micheál Martin set out his stall on core issues he hopes to see addressed in Budget 2026, with anti-child poverty measures and a disability package to be prioritised in the formulation of the social welfare package. Today's top videos STORY CONTINUES BELOW Speaking at the National Economic Dialogue in Dublin, one of the main precursor events to the budget negotiations over the summer, the Fianna Fáil leader said 'nothing was off the table' in targeting our most vulnerable children. Taoiseach Micheál Martin. Pic: Michael Chester His comments come as research from the ESRI has found the number of children who are materially deprived rose in 2023, with almost one in five children now deprived, but not at risk of poverty. A separate report from the Children's Rights Alliance, published last week, showed the number of children in consistent poverty had risen by over 45,000 in a year, bringing the total to over 100,000. In a speech at Dublin Castle yesterday, Mr Martin said, despite increased spending on welfare supports, 'the most recent figures show an unwelcome increase in persistent child poverty'. The Fianna Fáil leader said 'nothing was off the table' in targeting our most vulnerable children. Pic: Getty Images 'We need to make sure that this increase turns out to be a temporary spike, out of line with the overall trend. Therefore, for Budget 2026, I have asked my ministerial colleagues to plan and come forward with measures that will really make the difference to the most vulnerable families and children,' he said. An ESRI paper this month found the system of child-related cash and in-kind benefits 'significantly reduces child income poverty and deprivation'. It said the introduction of a second tier of means-tested child benefit payments is the most cost-effective option to prevent child poverty, and would lift 55,000 out of income poverty. The Programme for Government commits to examining a two-tier system of benefits, which includes more targeted payments on top of the universal rate. Asked if the Government would consider the ESRI's suggestion, Mr Martin said 'nothing is off the table' in budget negotiations. Taoiseach Micheál Martin. Pic: Sasko Lazarov/© 'There's a wide menu we can choose from to target resources to meaningfully impact on the child poverty situation. That's not just in terms of income supports, but also in terms of other initiatives in education. For example, the Deis+, which would target more children in particular with severe disadvantage,' he added. According to the ESRI, the effective top-up of the existing €140-a-month child benefit would cost the State € 772 million annually. Mr Martin acknowledged that introducing another tier of support would be costly, but said child poverty will be a priority issue in budget negotiations. The comments come amid a pivot in fiscal policy, with officials signalling capital investment will take precedence over one-off financial supports in budgetary policy over this Dáil term. Finance Minister Jack Chambers and Public Expenditure Minister Paschal Donohoe. Pic: Sam Boal/Collins Photos Money ministers Jack Chambers and Paschal Donohoe have ruled out a cost-of-living package for 2026, while it has emerged that income-tax cuts are not being viewed as a priority. A well-placed source confirmed discussions on how the two-tiered system would operate are ongoing. However, they said it is 'too early' to speculate how the scheme might operate and how much funding will be required. The source said it is unlikely the universal child benefit will see any decreases. However, asked if the basic rate will be raised in addition to a second layer of payments being rolled out, the source said the Department of Social Protection's focus will lie with measures for lower-income workers. The Department of Finance. Pic: Gareth Chaney/Collins Photos 'We are still in the very early stages of figuring out what a two-tier child benefit system might look like, and discussions remain active. But the Taoiseach's messaging is clear: child poverty and disability will be two key areas addressed in the social welfare package. And that is what the Department is focusing on.' The source could not elaborate on whether certain middle-income earners will qualify for an extra level of support, saying no decisions have been taken on the parameters of a new system. Another Government source signalled an expansion of existing, lesser-known measures will likely form part of any package. They pointed to the Equal Start initiative which aims to ensure children experiencing disadvantage have equitable access and participation in early learning and care and school-age childcare. It provides universal and targeted supports to families and childcare settings. The initiative currently supports 35,000 children, with a senior Government source saying the programme will likely be further expanded in Budget 2026. The source also indicated more resources will be provided to family resource centres, which provide universal services in disadvantaged areas. Louise Bayliss, head of social justice and policy at St Vincent de Paul, told that older children and teenagers are disproportionately affected by poverty. 'We know the needs of babies and very young children are met under existing social welfare payments. However, the older children get, the wider the gap between their needs and the State supports they qualify for grows,' Ms Bayliss said. She said the ESRI's two-tier system does not recognise the difference in needs between children under 12 and those older than 12. Meanwhile, one senior Coalition figure said a separate disability package will be introduced in the budget, which is likely to include the annual cost of disability payments promised in the Programme for Government. The Taoiseach also said yesterday he wants the movement of therapy services into schools to be significantly funded in the budget. He also indicated the process of scrapping the means test for the carers allowance will begin in the next budget.
Irish Daily Mirror
16-06-2025
- Business
- Irish Daily Mirror
Child benefit shake up in Budget talks as Taoiseach says 'nothing's off table'
Taoiseach Micheál Martin has said that all options for addressing child poverty, including a second tier of child benefit, are on the table for Budget 2026. The Programme for Government contains a commitment to 'continue to support families with the cost of raising their family through the child benefit payment'. It also commits to exploring a targeted Child Benefit. It follows calls for the introduction of a second tier of Child Benefit. Speaking at the National Economic Dialogue in Dublin Castle today, Mr Martin said he had identified 'two very key areas' that he wanted Budget 2026 to prioritise, including disability and child poverty. The Taoiseach said targeted Child Benefit and all other prospects will be explored ahead of Budget 2026 in October. He said: 'We will be examining all aspects of [Child Benefit] and I have a [child poverty] unit within the Department [of an Taoiseach] that is focusing on these issues. I already spoke to Minister of Social Protection Dara Calleary on this, but nothing's off the table. 'There's a wide menu there that we can choose from to target resources to meaningfully impact on the child poverty situation. That's not just in terms of income supports, but also in terms of other initiatives in education, for example, the Deis+, which would target children in particular severe disadvantage and other areas. 'The Child Benefit remains, but I'm saying we're looking at more targeted responses on the child poverty issue, which can come across a number of instruments.' When asked if it was too early to examine the prospect of a second tier of Child Benefit, the Taoiseach repeated that 'nothing's off the table'. He added: 'We're examining all options in perspective. We have to do something targeted and something that will have a meaningful impact on child poverty. Nothing is off the table. There is a very significant expenditure required for something like that as well. There's a range of measures for looking at this.' Mr Martin also called for a focus on disability in Budget 2026. This, he said, would include income supports for people with disabilities, investment in respite and supports for transport and mobility. He also said that progress on ending the means test for carers will 'obviously come under consideration'.
Irish Examiner
16-06-2025
- Business
- Irish Examiner
Budget 2026: Second targeted child benefit payment 'not off the table'
The introduction of a second, targeted child benefit payment is 'not off the table' for Budget 2026, the Taoiseach has said. Micheál Martin said consideration was being given towards the introduction of a second-tier of child benefit. 'Nothing's off the table, we're examining all options in respect of this. We have to do something targeted and something that will have a meaningful impact on child poverty.' The Taoiseach said there would be a 'very significant expenditure' required for such a proposal, with the Government due to look at other options to tackle child poverty. 'There's a wide menu there that we can choose from to target resources to meaningfully impact on the child poverty situation,' Mr Martin said. 'That's not just in terms of income supports, but also in terms of other initiatives in education. For example, the Deis+, which would target more children in particular with severe disadvantage.' Within the 2025 programme for government, there are commitments to 'explore a targeted child benefit payment'. At present, child benefit is paid out to families at a value of €140 per month per child. It is paid to children until they reach 16. However, payments will still be made to 16, 17 and 18-year-olds if they are still in full-time education or training, or if they have a disability and are unable to support themselves. On disabilities, Mr Martin said the Government would give consideration to beginning the process of ending the means test for the carers' allowance. He added there was a 'commitment' to end the means test within the programme for government. Housing However, the Taoiseach declined to speculate on possible tax breaks for developers featuring as part of the budget. Mr Martin highlighted the market sensitivities, but added there would be further initiatives on housing unveiled in the weeks ahead. He said the Government's agenda was to create 'certainty' to bring in more private finance into the housing market. It comes as finance minister Paschal Donohoe did not rule out the possibility of tax breaks for developers, saying how the Government supports the building of homes and infrastructure would be a 'key feature of the budget'. 'What I just want to ensure is that any decisions that we do make are ones that are affordable, well designed and myself, [public expenditure] Minister [Jack] Chambers and the party leaders, will be able to listen to all of these views and work out what I believe will be a safe, sensible budget for next year.' Pressed on this and how he previously came out against such tax reliefs, Mr Donohoe said: 'We're at a position now where we will be intensifying the work in relation to the budget. 'I've outlined my views in the past, I'm clear, but what I'm focused on doing now is working with Minister Chambers to deliver the budget and making sure that all we do in the budget is safe.' Meanwhile, Mr Harris said the Government's pledge to cut the Vat rate to 9% for hospitality was a 'solemn commitment' and it was not just a tax cut for businesses. 'It's about recognising that in every town and every village, there are small businesses that are creating employment that want to be able to keep going and need to be supported,' Mr Harris said. Mr Donohoe added that the Government was committed to delivering on Vat in the budget. However, he warned there may not be income tax cuts in the upcoming budget, with the finance minister saying 'decisions have to be made'. 'If we decide that we are going to make a particular set of decisions and investments in tax, then that means there are other things that we will not do,' Mr Donohoe said.
Irish Examiner
20-05-2025
- Business
- Irish Examiner
Deis plan to emphasise retention of students up to Leaving Cert and beyond
A new government plan will focus on tackling rising absenteeism levels in schools and keeping more students from disadvantaged areas in education to Leaving Cert level and beyond. On Tuesday, education minister Helen McEntee will publish a new Deis plan to focus on "improving the opportunities for children at risk of educational disadvantage". It is understood that the plan will place a major emphasis on retention of students up to Leaving Certificate and improving progression rates to higher education and the world of work, as well as a major focus on school attendance and tackling the rate of absenteeism in both Deis and non-Deis schools. Data from Tusla has shown a dramatic increase in absenteeism in recent years. The latest figures, based on the 2022/23 school year, reveal that over 110,000 primary and 65,000 post-primary students missed 20 or more days during that academic year. This compares to 54,890 primary school pupils and 44,874 post primary students missing 20 or more days before the covid pandemic in 2018/19. There were higher rates of absence and also of student suspensions in Deis schools located in areas of economic disadvantage. In second-level Deis schools, 30.7% of students missed 20 days or more. This compares to 19.5% for non-Deis schools. Ms McEntee will update Cabinet on her work to establish a new Deis+ scheme which will support schools with the highest level of educational disadvantage, particularly in the areas of literacy and numeracy. This includes the establishment of an advisory group with representatives who work with children from areas of high inter-generational disadvantage. 'Dedicated focus' to small businesses Cabinet will also be updated by arts and media minister Patrick O'Donovan on the digitisation of the 1926 census, the first census carried out by the State, while enterprise minister Peter Burke will bring a memo establishing a new small business unit within his department. Government sources said that the unit will mean that small businesses have "a dedicated focus and are recognised and acknowledged across Government, and emphasis is placed on them within the Department of Enterprise". Also at Cabinet, social protection minister Dara Calleary will provide an update on the procurement competition to source investment management providers for the automatic enrolment retirement savings system. Mr Calleary will also update ministers on the recruitment for the positions of board members for National Automatic Enrolment Retirement Savings Authority (NAERSA), which will oversee the "My Future Fund" that will launch on January 1, 2026, following a recent government decision to delay the scheme. 'Shared history' Meanwhile, Cabinet is set to approve cross-government engagement with the trans-European cultural initiative, 2027 The Year of the Normans - People of Europe. The year-long commemoration in 2027 aims to celebrate "a shared history that has shaped the island of Ireland and Europe". A government statement says that "throughout modern Ireland, the legacy of our Norman heritage can be found in our lands, laws, monuments, and built environment". Participation in the initiative "aims to commemorate and recognise our Norman history, whilst also benefiting tourism and its associated economy". Ireland's participation is being co-ordinated by the National Monuments Service.
