What Did The Budget Actually Do For Young People?
What Did The Budget Actually Do For Young People?
Text: Izzy Copestake
Spoiler: not much.
Housing is the most pressing issues in Ireland at present, particularly for young people. In July, the number of people living in emergency accommodation reached a grim record of 14,429, average rent in the capital had soared to €2,400 by Spring this year, and just two days ago a study revealed that the average age for moving out in Ireland was 28, well above the EU average.
With one of the worst housing crises in Europe, all eyes were on the government yesterday as they announced the budget for 2025. Measures around housing were announced, but they’ve been criticised for being inadequate given the scale of the problem. Other measures were announced, largely focussed on parents, with a €420 ‘baby boost’ payment and free public transport for children under 9. But what about the single young adults with no children?
We were promised a lot, so this budget felt particularly short sighted, we broke down why.
WHAT WE GOT:
Rental Tax Credits Rise to €1,000 (up €250): This one seemed promising. Renters in Ireland who are registered with RTB will now be able to claim up to €1,000 (previously this was €750). However, not all renters will be able to claim the full amount, and those living with their landlord, subletting, or not registered will RTB will miss out on this all together. On top of this: a €1,000 payment doesn’t even cover half a month of average rent in Dublin.
Student Contribution Fees Reduced By €1,000: This has consistently been welcomed by students for the past few years that it’s been included in the budget. For students who pay their own fees, it puts money directly back into their pocket. However, this has also been criticised. As a temporary measure, bought in weeks after college starts, it leaves students little time to prepare each year for the cost of college, and the future of fees uncertain for the next year.
The Standard Rate Cut Off point for PAYE workers was increased to €44,000: This one is going to help a specific group of people: those who currently earn between €42,000 and €44,000, (or those earning more than €44,000) as they’re now going to be paying 20% tax instead of 40% tax. For the rest of us, there’s not a lot to shout about here.
Energy Credits 44% Lower Than Last Year: This one was disappointing. After proudly boasting that this year’s budget would be putting money back in people’s pockets and helping citizens through winter, the government announced an energy credit programme which is significantly lower than last year. Instead of receiving 3 credits worth €150 each, households will receive 2 credits worth €125 each. According to the wholesale price index, energy costs this year have increased by over 20%.
The budget lacked any mention of rent freezes, banning evictions, or genuine progress in preventing vulture funds from buying up Ireland’s limited housing supply.
