Potential Introduction of New Child Benefit Tier in Upcoming Budget

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Number in consistent poverty up 45,000 over one year, notes recent report

During a recent speech at the national economic dialogue, Taoiseach Micheál Martin highlighted the concerning rise in child poverty in Ireland. In response to this issue, a new tier of child benefit is being considered to help lift thousands of children out of poverty before Budget 2026.

Emphasizing the government's commitment to addressing child poverty, Martin urged his Cabinet to brainstorm ideas that would have a significant impact on vulnerable families and children.

An annual report from the Children's Rights Alliance revealed a stark increase of over 45,000 children in consistent poverty in Ireland within a year, totaling over 100,000 children affected. Despite previous investments, the recent figures indicate a worrying trend of persistent child poverty.

The Economic and Social Research Institute (ESRI) proposed introducing a new "second-tier" child benefit payment of €285 per month, which could potentially lift 55,000 children out of poverty. The estimated cost of this top-up to the existing child benefit scheme would be around €800 million annually.

When asked about the possibility of including this proposal in the upcoming budget, Martin expressed openness to exploring all options to effectively tackle child poverty. He highlighted the importance of not only income supports but also educational initiatives in addressing this issue.

Additionally, the budget is expected to introduce a new Delivering Equality of Opportunity in Schools (Deis) Plus education scheme. This initiative aims to provide enhanced resources to schools facing significant disadvantage, creating a more flexible system of support for children and young people in need.



Source: The Irish Times
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