Tánaiste Rules Out Mini-Budget Amid Calls for Immediate Cost-of-Living Aid

Tánaiste Simon Harris has ruled out a mini-budget, stating the government cannot introduce a new budget every week, despite calls from Sinn Féin and Labour for immediate assistance for householders and PAYE workers. He did not, however, exclude further measures to ease cost-of-living pressures.

Sinn Féin finance spokesman Pearse Doherty argued the government is choosing not to act, despite the European Commission urging member states to address electricity prices and the spring economic forecast showing available funds. He highlighted that more people than ever cannot pay electricity bills, with rising fuel, grocery, rent, insurance, and student fees, urging an emergency cost-of-living package now, not in October for January implementation.

Harris countered that the government implemented one of the EU's largest support packages, with current measures running until the end of July. He welcomed the Commission's flexibility acknowledgment, emphasizing the need to remain agile due to global economic unpredictability. Labour finance spokesman Ged Nash criticized the delay for PAYE workers, noting €500 million was found for sectoral interests but energy credits were cut, leaving families with bills up to €500. Nash suggested options like a windfall tax on energy profits, price controls, and income support schemes.

Harris reiterated that a mini-budget would not be introduced, referencing a three-quarters of a billion euro package already in place. He justified support for hauliers and farming contractors due to significant fuel bills, ensuring supply chain continuity. He also cited the Department of Finance chief economist's estimate that inflation would be 0.6% less in May, June, and July. Harris stressed the need for broader engagement with society and representative groups to navigate current challenges, following a meeting with the Labour Employer Economic Forum.