A major cost of living package aimed at reducing costs for hard-pressed families is being developed by several government departments.
The
has learned that the Government is examining ways to reduce costs in healthcare and childcare, as well as lowering public transport fares, cutting taxes, and ramping up its cost rental scheme.So far, since last October’s Budget, the Government has unveiled cost of living measures totalling €2bn and these further measures are being developed in the context of this year’s budget.
In a clear attempt to regain lost ground to Sinn Féin which is now the most popular party, sources have said the Coalition is keen to address the cost of living pressures and further one-off measures cannot be ruled out.
Fine Gael sources said it insisted on a cost of living package in Budget 2022 and will be pressing for similar measures in Budget 2023.
This is necessary to help those on lower incomes and especially the squeezed middle including nurses, teachers, and gardaí, and anyone struggling to make ends meet, they said.
The sources said Fine Gael is demanding that Budget 2023 include income tax, pension and welfare measures, but will also set out to reduce costs that are out of line with those in other EU countries and will actually reduce inflation.
Among the measures being considered are increased universal childcare subsidies for all parents and making recent reductions in public transport fares permanent.
In recognition that the costs of putting children through college are now very high for families, especially in rural Ireland, the Government is considering how to make it more affordable.
In healthcare, one of the options being considered is to extend the scope and eligibility of GP visit cards, as well as reducing hospital charges and medicine costs.
Tánaiste Leo Varadkar has asked for proposals to be developed and costed.
Sources say the measures being examined have been found to be out of line with those in other EU countries and they need addressing.
While the measures are primarily being looked at in the context of the budget, the opposition parties have called on the Government to act now and introduce a mini-budget.