In past hour, Finance Minister has been announcing the budget for 2020. Paschal Donohoe says this is a budget developed in the shadow of Brexit.
A 1.2 billion euro package has been announced excluding EU funding, to respond to Brexit.
650 million will go towards supporting Agriculture, Enterprise and Tourism. 220 million of that to be deployed immediately if there’s no deal.
This will include:
A 45 million euro transition fund
A 42 million euro rescue and restructuring fund
An 8 million euro transformation fund for food and non food businesses
An 5 million euro for micro finance Ireland
A 5 million for LEO Brexit Fund
A 2 million for Intertrade Ireland
A 3 million for regulatory bodies
85 million euro for beef farmers
14 million euro for fisheries
6 million euro for livestock farmers and mushroom sector
5 million euro for food and drinks processing
SOCIAL
365 million euro for Social Protection Expenditure on Live Register and 45 million euro for people to transition to New Jobs post no deal Brexit.
RAINY DAY FUND
1.5 billion euro into the rainy day fund from Ireland Strategic Investment Fund
Decision not to put 500m extra promised from exchequer
DEFICIT
Department expecting a 0.6% deficit next year
BUDGET OVERRUNS
Minister says significant reduction in supplementary estimates needed to bail out overspending departments.
TAX
Paschal Donohoe confirms tax measures to raise 300m euro
Total net budget package of 2.9 billion euro
EXPENDITURE
Total voted expenditure will be 70 billion euro next year
CARBON TAX
Carbon tax to increase by 6 euro a tonne
Carbon tax will apply to auto fuels from tonight, but other fuels will be delayed until May 2020 after winter heating season.
Carbon tax will raise 90 million in 2020.
Carbon tax funding used for package targeted at Midlands/Bord na Mona. Midlands investment will support 400 environmentally sustainable jobs with 100 more through peatlands rehabilitation, according to Minister. No announcement for Moneypoint.
20 million for a new energy efficiency scheme targeted initially at social housing stock in the region.
5 million for peatland rehabilitation.
6 million for a just transition fund.
The 1% diesel surcharge will be replaced by a nitrogen oxide emissions based charge
It will apply to all new cars registered from 1st Jan 2020
GREEN
Benefit in Kind to have environmental rationale for commercial vehicles from 2023
Extend BIK zero rate on electric cars to 2022
Extend VRT relief on hybrids to 2020
Diesel rebate scheme for hauliers to compensate for fuel cost increases
Equalising electricity tax rates for businesses and non businesses
BUSINESS
Nearly 1 billion euro for Dept of Business
10 million for disruptive technologies fund
600 million for Brexit loan and growth scheme
Increasing the R&D tax credit for small and micro companies from 25 to 30 per cent
Increasing qualifying production cap for microbreweries from 40,000 to 50,000 hectolitres
A relief for small independent bookmakers up to 50,000 euro a year from the betting duty
AGRICULTURE AND RURAL
Farm restructuring relief to be extended until 2022
Government investing 2 billion in rural Ireland next year including 51 million more for Dept of Agriculture
3 million to pilot a new agri-environmental schemes in 2020 to reduce emissions in sector
TOURISM
40 million for tourism specific initiatives in 2020
OVERSEAS
21 million increase in overseas aid to 837 million in 2020
TRANSPORT
384 million extra to Dept of Transport to total budget of 2.7 billion
9m for sustainable mobility projects like greenways and urban cycling projects
3m for electric car infrastructure
Will double the number of local authority on street charge points
New scheme for communal charge points in apartment blocks
Roll out of fast charging points at taxi ranks
8 million to Dept of Communications for retention of grants to buy electric cars
HOUSING AND SOCIAL
Extra 20 million for homeless services bringing budget to 166 million
1.1 billion to support building of 11,000 social houses in 2020
A further 12,000 in 2021
80 million for HAP payments
17.5 Million for the Land Development Agency and 186m for the serviced site fund and affordable housing
130 million for urban regeneration fund
2 million in additional funding for the RTB to step up powers
Help to buy scheme extended as is until 2021
Rate of stamp duty applicable to non-residential property to increase 1.5 per cent at midnight
HEALTH
Health current spending to increase by 6.3 per cent to 17.4 billion euro
Health current spending to increase by 6.3 per cent to 17.4 billion euro
Prescription charges to be reduced by 50c
25 million extra for the National Treatment Purchase Fund
Drug payment scheme being reduced 10 euro a month
Change in bands for over 70s so 56,000 more people get medical cards
Free GP care for under 8s
Free dental care for under 6s
1 million additional home help hours
20 million in slaintecare fund
1,000 therapists, nurses and other healthcare workers to be recruited
TEACHERS
150 new teaching posts and 1.9 billion investment in special education
400 teaching posts to support those with special educational needs and 1,000 SNAs
LEVY
0.1 per cent increase in higher ed training levy to raise 74 million
HIGHER EDUCATION
60m extra for human capital initiative for 3,000 extra places in identified priority skill areas
GARDA
700 new garda recruits with extra garda budget of 81 million
DEFENCE
32 million extra for the Defence Forces
TAX
No across the board tax cuts
CARERS
Increase in Home Carer Credit of 100 euro to bring it to 1600 euro
SELF EMPLOYED
Earned Income Credit going up 150 to 1500
USC
Reduced rate of USC for medical card holders until December 2020
DIVIDEND WITHOLDING TAX
Increase of Dividend Witholding Tax from 20 to 25 per cent from Jan 1st
Modifying of the scheme too
BANK LEVY
Banking levy increasing from 59 to 170 per cent
IRISH REAL ESTATE FUNDS
New measures being announced to avoid aggressive tax avoidance by Irish Real Estate Funds
INHERITANCE TAX
Increase in threshold for tax free threshold for inheritance tax by 15,000 to 335,000
CHRISTMAS BONUS
100% Christmas bonus retained
ALONE
Living Alone allowance to increase by 5 euro
ONE PARENT FAMILIES
One Parent Family Payment going up by 15 euro and 10 euro for working family payment