Pension payments are set to increase by €12-per-week in the budget, Tánaiste Micheál Martin has signalled.
As deliberations on the final welfare package near their conclusion, Mr Martin dismissed reports that Fine Gael has been seeking a €15 increase for pensioners, with a lower increase for jobseekers, as “spinning” and “completely overplayed”.
It comes as the Government prepares to deliver a bumper package nearing €2 billion aimed at helping households with the increased cost of living in what will be viewed by many as a giveaway budget in advance of a general election.
The once-off payments in the budget to households, most of which will be paid before the end of the year, will be greater than the €1.5 billion expected, with two double child benefit payments potentially being distributed before Christmas.
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Asked at the opening of the new Civil Defence headquarters in Cherry Orchard, Dublin, on Monday if it was an attempt to win over the electorate Mr Martin said “no”, adding “we did say there would have to be a cost-of-living package”.
He said the precise figure will be revealed on Tuesday adding: “There is no doubt that people are under a lot of pressure in terms of cost-of-living increases with the inflation increases of recent years.
“The rate of inflation has come down, but prices remain at an elevated level, and it’s with a view to easing the pressures on families in particular, and there will be targeted measures in that cost-of-living package”.
He was asked about reports that Minister for Social Protection Heather Humphreys wanted a €15 increase in the State pension with a similar rise in carers’ and disability payments, but a lower increase in jobseekers payments.
Mr Martin replied: “I’m bemused by the entire thing. “I’m reading in newspaper reports about €15. There was never €15 tabled ever at any meeting I attended.
He said there has been “spinning” going on about this and “I think it’s completely overplayed.”
Mr Martin added: “The Summer Economic Statement gave the overall expenditure framework. Go back to that, and you’ll see that clearly, a €12 increase in the pension was stitched in to that. Nothing has changed since then. There’s been no attempt to change that.”
He added that: “any differential would be marginal in overall cost so I think there’s much ado about nothing there.”
Asked about Fianna Fáil’s resistance to differing rates of increases for pensioners and people on jobseekers’ payments Mr Martin said: “there was never a big discussion about it.”
He suggested there’s “a bit of mischief going on from a political point of view because this only surfaced in the media.”
Mr Martin added: “for the last four years in Government, this never arose. There was never an issue made of this by any party in Government.
“It was always agreed that the same level would apply because of the pressures, generally, of inflation and coming out of the energy crisis from Ukraine war.”
