Welfare and child benefit set to get bonuses in new cost of living plan
The Government is meeting this morning.
The Government is set to release its latest cost-of-living package and in it, there is expected to be €400m allocated for social protection measures.
With the package overall on course to exceed €1.2bn, the news comes after the Coalition leaders and the ministers for finance, public expenditure, and social protection met on Monday night (20 February).
The plan is to be signed off by Cabinet on Tuesday morning, with Minister for Social Protection Heather Humphreys arguing for a €200 lump sum social welfare payment.
In addition to this, there is also set to be a €100 lump sum Child Benefit payment per child and €100 extra for the Back to School Clothing and Footwear Allowance.
That said, the Government looks like it will not be introducing an additional €200 energy credit in May as many expected.
There will be a staggered increase in the excise duty on petrol and diesel compared to their previous levels, with petrol increasing by 6 cent per litre on 1 June, 7 cent on 1 September and 8 cent on 31 October.
Diesel is set to increase by 2 cent per litre on 1 March, 5 cent on 1 June, 5 cent on 1 September, and 6 cent on 31 October.
According to RTÉ, Finance Minister Michael McGrath has pushed for a final extension of the 9% reduced VAT rate for the hospitality sector for a further six months, before returning to the standard rate of 13.5% from September.
The Temporary Business Energy Support Scheme is also expected to be extended by three months.