Louth TD warns of ‘wasted boom’ and says families being left behind

Louth TD, Deputy Ged Nash, has said that the government is wasting the boom and doesn't understand the depth of the crisis facing many households this winter.  

The Labour Party's Chairperson; and spokesperson on Finance; Public Expenditure, Infrastructure, Public Service Reform and Digitalisation said that his party's approach would be to provide immediate support to address the cost of living crisis, as well as laying the foundations for long-term investment in Ireland’s public infrastructure, using a thriving economy to create a fairer society.

Launching the Labour Party’s Alternative Budget 2026, Deputy Nash said: “Ireland is a record-breaking country. Record numbers at work, while record numbers of children have no place to call home. Eye-watering business tax returns sit side-by-side with shameful levels of child poverty.

"The Ireland of 2025 is a country of stark contradictions, and I’m deeply concerned that Fine Gael and Fianna Fáil are set to leave behind thousands of people in this country. 

“On the macro, we’re thriving, but at the micro level, so many families are struggling to get by. I’m thinking of the hard-working families who are essentially paying a double mortgage on childcare; the young couple trapped in a never-ending rental cycle with little hope of owning a home of their own; the carers nationwide who work night and day to pick up the pieces locked out of financial help."

Deputy Nash continued: “Budget 2026 must spell the end of the easy decisions, the do-everything all-at-once, all things to all people budgets that have become Fianna Fáil and Fine Gael’s stock in trade. 

“Labour is clear. We accepted a long time ago that we cannot spend and cut taxes all at the same time and expect anything but a negative outcome for our country. Corporation tax is the stamp duty of 2008, used by this government as if it will never end, to fund more and more spending, while taxes on wealth and assets remain untouched.

“Rather than broaden the tax base to make it ready for the future, this Government is hell bent on hollowing it out. The door is wide open for a massive VAT cut for hospitality but last week’s National Competitiveness and Productivity Council report showed that there has been a net expansion in the number of firms in the sector, as well as in employment and earnings, in recent years. We have had no evidence from the Government that backs up the need for a VAT cut. 

“Labour believes in a different approach. Where we propose to increase spending, we do so on the basis that we would raise revenues on non-productive assets and on wealth to pay for the social interventions and supports our country needs, all of which are detailed in our Alternative Budget. 

“For Budget 2026, our priorities are;

• A children’s budget to end child poverty with an allocation of €770m for a targeted second tier of child benefit, supported by not reducing VAT in the hospitality sector. 
• 6,000 new childcare places in 104 centres on the way to a public childcare service and a reduction in the costs to parents to €50 a week over two years.
• €16 per week increases to core, weekly social welfare rates and the indexation of personal income tax and USC rates to take account of inflation and wage growth.
• Targeted energy support payments to 1.2m households, paid for with a windfall tax on the profits of energy companies and data centres.
• Investment in an extra 6,000 social and affordable homes in 2026 and comprehensive action to reduce child homelessness, vacancy and dereliction. 
• Free GP care for all children, over two years, with a step-change in approach to the delivery of GP and primary care services and investment in new hospital beds. 
• The introduction of the DEIS+ schools model, increased funding for schools to end voluntary contributions and a permanent €1,000 cut to third-level fees.
• A step change in energy efficiency upgrades, reduced public transport fares and the expansion of investment in public transport and active travel.
• Abolition of the means test on Carer’s Allowance and the introduction of a Cost of Disability Payment. 
• Real support for SMEs, not temporary, expensive VAT cuts, with energy supports and an increased cost of business grant for Main Street firms.

“This Budget will define this government’s term and their approach to managing the public finances. This term, they have gotten off to a bad start. Annual budgets that are works of fiction. A Summer Economic Statement that lacked detail. A Medium-Term Spending Framework with no spending ceilings.

"No clear or consistent data on what it will cost to maintain Existing Levels of Service in health, education, social protection and in other crucial areas. Rather than laying the foundations for change, they are giving us more of the same. Enough is enough. It’s time for brave but responsible choices in Budget 2026.”