Ministers, trade unions and employers to discuss Budget priorities

Government ministers, trade unions, and employers will convene at Dublin Castle to outline priorities for Budget 2027, with a focus on addressing inflation and rising energy prices amid economic challenges projected until 2065. The meeting follows the Coalition’s long-term economic forecast, which highlights immediate cost pressures, including a 3.6% inflation rate and increasing electricity and gas prices for consumers. The Irish Congress of Trade Unions (ICTU) criticized the government’s decision to cut VAT for the hospitality sector at a cost of €750 million and its earlier support for the haulage industry during fuel protests. ICTU General Secretary Owen Reidy called for better use of corporation tax windfalls, tax band adjustments to ensure fairness, and reductions in public transport and childcare costs, alongside increased investment in public services and infrastructure. Tánaiste and Minister for Finance Simon Harris emphasized past Budget measures that raised the higher-rate income tax threshold, helping workers retain more earnings. He stated that further increases to this threshold will be considered in Budget 2027 to support wage growth and higher take-home pay. The Department of Finance will address demographic shifts, decarbonization efforts, and the need for digital investment, alongside the impact of deglobalization on multinational operations. Taoiseach Micheál Martin noted Ireland’s economic resilience but warned of geopolitical fragmentation, while highlighting three AI priorities: boosting productivity, improving public services, and advancing science and medicine. Employers group IBEC’s director, Fergal O’Brien, urged proactive workforce transitions for AI adoption, stressing its transformative potential. IBEC called for deploying the €2 billion national training fund toward lifelong learning and upskilling initiatives to prepare the workforce for AI-driven changes.