The Finance Minister says the economy will grow by 4.3 percent this year and 3.5 percent next year.
Outlining budget 2018 in the Dail, Paschal Donohoe says that unemployment is to fall to 5.7% in 2018.
You can scroll down for more key points:
BUDGET 2018 TOTAL
The budget will amount to € 60.9 billion for 2018. That’s € 12,700 per person in the country.
Capital Plan
€ 4.3 billion more to current Capital Plan over next 4 years up to end 2021
USC
Entry point to USC remains at € 13,000
2.5% rate lowered to 2% with ceiling for this rate raised from € 18,772 to € 19,372 (keeps minimum wage earners out of it)
5% USC rate lowered to 4.75%
INCOME TAX
Point of entering higher income tax rate raised by € 750 from € 33,800 to € 34,550
HOUSING
€ 1.83 billion for housing in 2018
3,800 new social houses built next year
HAPS scheme getting additional € 149 million to support an additional 17,000 households in 2018
INCOME TAX REDUCTIONS
Total tax reductions in budget 2018 on income will be € 335 million
CURRENT & CAPITAL SPENDING
Current Spending for 2018 € 55.6 billion
Capital Spending € 5.3 billion in 2018 – That’s up € 790 million on 2017
RAINY DAY FUND
Established in next year with € 1.5 billion transferred from Ireland Strategic Investment fund to start in off. From 2019 € 500 million a year will be added to the Rainy Day Fund.
ECONOMIC GROWTH
4.3% in 2017 and 3.5% in 2018. Unemployment to fall to 5.7% in 2018
HOMELESSNESS
€ 18 million increase to € 116 million for emergency accommodation
extra 31 million for social housing expenditure – total 115 million
NAMA HOUSING
€ 750 million from Ireland Strategic Investment Fund for commercial investment in housing through new entity – Home Building Finance Ireland
SECOND NAMA HOUSING
Nama will still be wound down, HBFI will comply with state aid rules but will use NAMA expertise
STAMP DUTY
Commercial Stamp duty tripling from 2% to 6% from midnight tonight
VACANT SITE
3% levy for 1st year of vacant site to more than double to 7%. Any landowners who doesn’t develop in 2018 will pay 3% in 2018 but 7% from 2019 on.
CAPITAL GAINS TAX
7-years owners must retain assets to enjoy full relief of CGT to be lowered to 4-years
MORTGAGE RELIEF
Lowered to 75% for 2018, 50% 2019 and 25% in 2020
HEALTH
Increase of € 685m in Health spending in 2018 bringing total to € 15.3bn for 2018 – 5% increase
PRESCRIPTION CHARGE
Reduction under 70 years from 2.50 to 2 per item
PRIMARY CARE
An extra € 471m to be made available from 2018 – 2021
CIGARETTES
An extra 50c on a pack of 20
SUGAR TAX
30 cent tax on a litre of fizzy drinks with 8g per 100ml
20 cent tax on a litre of fizzy drinks with 5-8g per 100ml
STUDENT TEACHER RATIO
Lowered to 26:1
SNAs
1000 extra special needs teachers by Sept 2018 bringing total to 15,000
GARDAI
800 extra Gardai to be recruited in 2018. An additional 500 civilians to also be hired into the force
BREXIT
Brexit Loan Scheme for SMEs announced – € 300 million to be available to them at competitive rates
TOURISM VAT
VAT rate on tourism & services sector WILL NOT change
TRANSPORT & TOURISM
Dept of Transport & Tourism to have budget of over € 2bn – € 112m for tourism and market the country
SPORT
Dept of Transport, Tourism & Sport will get € 111m for sport in 2018
IRISH
An extra € 2.5m for Irish language training in 2018
AGRICULTURE
Dept of Agriculture gets extra 64m bringing total in 2018 to € 1.5bn
TUSLA
To get extra funding of 40m for child protection bringing total to 754m
SOCIAL WELFARE
€ 5 per week in all weekly social welfare payments from last week of March 2018
DEPT OF FOREIGN AFFAIRS
Increase in allocations to dept of finance extra 13 million euro for 2018
ELECTRIC CARS
0% benefit in kind on electric vehicles
SELF EMPLOYED
147,000 self employed to see Earned Income Credit raised € 200 to € 1150 in 2018
HOME CARER CREDIT
The Home Carer Credit to increase € 100 in 2018 to € 1200 a year
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