Taoiseach: Further income tax cuts and cost-of-living package as part of Budget 2025

Simon Harris will make the promises in his keynote speech at the National Economic Dialogue on Monday

Simon Harris speaking at the Child Poverty and Well Being Summit in Dublin Castle. Picture: Collins

Taoiseach Simon Harris is to promise further income tax cuts and a cost-of-living package as part of Budget 2025.

Mr Harris will also pledge to “re-imagine” public services and deliver a further package of supports to businesses.

The Taoiseach will make the promises in his keynote speech at the National Economic Dialogue on Monday.

“In the coming budget, we must ensure we provide the extra funding required to keep pace with the expanding population and a cost of living and welfare package that protects the most vulnerable,” he will say.

“Income tax bands and credits must again be properly indexed so that people do not drift into the higher rate band of income tax.” 

Mr Harris will say that small businesses are currently struggling to “absorb rising costs and challenging trading circumstances”.

“In the coming budget, we will build on that package for business, and I look forward to engaging closely with businesses and their representative organisations ahead of Budget 2025,” Mr Harris will say.

On reforming the public service, Mr Harris will say that the State is currently struggling to keep pace with Ireland’s rapidly growing population.

This means recruiting more civil servants and additional spending on capital infrastructure and public services, Mr Harris will say.

However, Mr Harris is due to outline that there will be a requirement for reforms in the public sector, saying that many civil servants are being “held back by systems that do not serve them well” 

“Spending more and recruiting more without reform is a wasted opportunity and it leaves us exposed for a time when money might not be so plentiful,” Mr Harris is to say.

The Taoiseach will also speak about the new EU requirements to set out a medium-term budgetary policy, describing it as an important development that will help the Government “focus on the reforms and investments that we need”.

Mr Harris is also due to address housing in his speech and will say that “no option is off the table”.

“More money helps, but it’s about so much more than that. It means increasing the capacity of the construction sector, attracting more workers to the sector, being more efficient and productive, and promoting innovation, including modern methods of construction,” he will say.