The Government acted quickly and decisively in 2022 - 2024 to help households respond to a sharp spike in prices. It did this through a combination of measures including one-social welfare payments and energy credits. However it also increased core social welfare payment rates by €41 per week between 2022 and 2025. These increases of over 20% exceeded the increase in average prices, measured by the consumer price index, of about 18.5%, between 2021 and 2025.
Given inflation has stabilised and given that underlying social welfare rates had more than maintained pace with inflation the Government was very clear that the focus would move from one-off measures to permanent measures targeted at helping households most at risk of poverty.
By allocating €320 million in permanent measures allocated to alleviate child poverty budget 2026 included the largest Child Support Payment increase in the history of the State. This payment increased by €16 per week to €78 for children aged 12 and over (a 26% increase), and a weekly increase of €8 to €58 for children under 12 years (a 16% increase).
This brings the total annual value of the Child Support Payment to more than €3,000 for each child under 12 and more than €4,000 for each child of 12 and over. Since 2019 the value of the child support payment has increased by about 110% (more than doubled) for children over 12 and by 71% for children under 12.
The Budget package also provides significant supports to help householders with the cost of heating and other energy bills. The Fuel Allowance increased by €5, or 15% - nearly three times the rate of inflation - and, for the first time, families receiving the Working Family Payment will qualify for the Fuel Allowance. In addition, people moving from Disability Allowance or the Blind Pension to take up work will retain their Fuel Allowance for five years.
In addition, the Government continued to support core social welfare rates - the €10 per week increase in core rates for 2026 represents a 4.1% increase on most payments, when consumer prices according to the CSO had increased by 3.2% over the 12 months to November 2025.
These increases all reflected, and were based on, the wide range of data used by my Department including CSO price data, ESRI research, analysis from the Minimum Essential Standard of Living studies of the Vincentian partnership (which the Department funds) as well as extensive direct engagement with stakeholder and advocacy groups including through the Department's pre-budget forum and the Social Inclusion Forum.
This research and engagement will continue to inform the Department's approach for future budgets.