USC cuts and welfare boosts in budget

USC cuts, welfare boosts, and expanded childcare will form key parts of a more generous than expected vote-chasing budget.

Finance Minister Michael Noonan is expected to use at least €600m of the €750m he has earmarked for tax cuts to lessen the burden of the deeply unpopular USC.

Up to 100,000 low-paid workers are expected to drop out of the USC net altogether, with those earning €50,000 a year set to be €500 better off annually. With the Cabinet’s Economic Management Council set to put the finishing touches to the package today, the Christmas bonus for welfare recipients is set to be restored to at least 60% of its pre-crash level, but a total restoration has been ruled out.