Budget 2018 Main Points

LATEST NEWS ANNOUNCEMENTS HOUSING 300x180 - Budget 2018 Main Points


  • €1.83 billion for housing in 2018
  • 3,800 new social houses will be built next year by local authorities and approved housing bodies
  • Housing Assistance Payment (HAP) Scheme increased by €149 million in 2018
  • Funding for homeless services will increase by €18 million to over €116 million in 2018
  • 4,000 extra social housing units to be delivered next year and a commitment to accelerate the delivery of social housing from 2019
  • An extra €500 million for the direct building programme to see 3,000 additional new build social houses by 2021
  • The level on stamp duty on commercial property transactions will rise from 2% to 6% from midnight (raising €400 million)
  • The vacant site levy will double from 3% in the first year to 7% in second and subsequent years
  • Affordable housing scheme operated via local authorities
  • Special fund for rural builders
  • Help-to-buy scheme for first-time home buyers to be retained



  • Increase of €685 to almost €15.3 billion for the Health Service in 2018
  • €90 million for a new access plan including an extra €55 million for the National Treatment Purchase Fund
  • Reduction in prescription charges for all medical card holders under 70 from €2.50 to €2 per item. The monthly cap drops from €25 to €20, with the threshold for the Drugs Payment Scheme dropping from €144 to €134
  • €40 million additional funding for primary care
  • An additional €471 million for capital health projects
  • Funding for additional transitional care beds and 45 additional Home Care Packages per week during the winter period
  • Additional resources for the nursing home support scheme (Fair Deal)


Agriculture and Rural Ireland

  • Additional increase in funding of €64 million to €1.5 billion in 2018
  • A special agri-food loan scheme to the value of €25 million
  • Retention of stamp duty relief at 1% for inter-family farm transfer for a further three years
  • Exemption for young trained farmers from stamp duty on land transactions retain



  • Over €10 billion in funding for education in 2018
  • 1,300 additional teaching posts
  • Pupil teacher ratio at primary level to reduce to 26 : 1
  • €1.7 billion for special education needs in 2018
  • 1000 additional Special Needs Assistants in time for September 2018
  • €47.5 million of additional investment in higher and further education in 2018



  • Retention of 9% VAT rate on the Tourism and Hospitality sector



  • A new Brexit loan scheme to assist small and medium enterprises of up to €300 million
  • The Minister for Agriculture will bring forwards a package of Brexit measures to assist the agricultural sector to the value of €50 million in 2018


Social Welfare

  • From the last week of March, €5 per week increase in all weekly social welfare payments, including Disability Allowance, Carer’s Allowance, Jobseekers Allowance and State Pension
  • A further €5 increase in the State pension
  • A Christmas bonus payment of 85% will be paid to all social welfare recipients in 2017
  • €20 increase in the earnings disregard for the One Parent Family Payment and Jobseekers’ Transitional Scheme
  • The threshold for Family Income Supplement will rise by €10 per week for families with three children. €2 per week rise in the rate of the qualified child payment
  • The Home Carer Credit will rise by €100 to €1,200



  • The free pre-school programme will be further developed – ensuring entitlement to the full two year service from September 2018


Telephone and Fuel Allowance

  • An increase in the Telephone Allowance of €2.50 per week for those in receipt of both the Living Alone Allowance and the Fuel Allowance
  • An increase in the Fuel Allowance from next October



  • Additional 1,300 teaching posts & a reduction in pupil teacher ratio 26:1
  • €1.7 billion invested in special education, with more than 1,000 new Special Needs Assistants being recruited before September 2018
  • Additional 800 Gardaí and 500 civilians to be recruited during 2018
  • Health allocation includes additional 1,800 staff in frontline services across acute, mental health, disability, primary and community care sectors



  • An additional 800 Gardaí will be recruited in 2018
  • Another 500 civilian Gardaí employees will also be hired


Mortgage Interest Relief

  • Mortgage interest relief for owner occupiers with qualifying mortgages between 2004 and 2012. 75% of the existing 2017 relief will be continued into 2018, 50% into 2019 and 25% into 2020



  • 2.5% USC rate to be reduced to 2% with the ceiling for the new rate increased from €18,772 to €19,372
  • Entry point to USC to remain at €13,000
  • 5% USC rate reduced to 4.75%
  • An increase of €750 in the income tax standard rate band for all earners, from €33,800 to €34,550 for single individuals and from €42,800 to €43,550 for married one earner couples
  • A working group will be set up over the coming year to plan the amalgamation of the USC and PRSI over the medium term
  • The Earned Income Credit for the self-employed will rise by €200 to €1,150 a year
  • Reduction in seven-year period for owners to enjoy full relief from Capital Gains Tax to four years
  • Minimum wage to be raised by 30 cent, to €9.55 an hour



  • Sugar Tax: from April 2018, 30 cent per litre of tax on drinks with over 8g of sugar per 100ml. Reduced rate of 20 cent per litre on drinks with between 5g and 8g of sugar per 100ml
  • The excise duty on a packet of 20 cigarettes will rise by 50 cents
  • 23% VAT rate on sunbed services
2017-11-03T13:52:37+01:00 1 August, 2017, 3:43 pm|