More than 1,000 extra teachers will be employed next September to cater for growing pupil numbers as part of next week's Budget, the Irish Independent has learned.
The package will also include funding for additional relief from water charges for low-income families.
Finance Minister Michael Noonan will also announce a reduction in the higher rate of income tax in a three-year tax cutting package, which may even kick in next year.
The price of a packet of 20 cigarettes is expected to increase by 20c. But the price of alcohol will remain untouched, as Mr Noonan is conscious of the impact any increase in the price of a pint would have on rural pubs.
The Finance Minister will have even more scope to give something back to hard-pressed families after the latest official data shows EU fiscal targets will be easily beaten without any new cuts or taxes.
Health Minister Leo Varadkar has secured nearly all the €500m extra funding he wanted for next year in Budget negotiations.
Education Minister Jan O'Sullivan has won additional funding for teachers in negotiations ahead of next Tuesday's Budget.
The extra teachers will not reduce class sizes as they are needed just to cope with additional pupils in the system.Most of the additional staff will be hired for primary schools, which are experiencing the biggest surge in enrolments.
But there will also be more jobs for second-level teachers.
In the improving economic environment, Ms O'Sullivan has fended off a €39m cut to her 2015 Budget that was envisaged a year ago.
As well as averting the cut, the minister has also secured some additional funding, which means that for the first time since 2008 the education budget will rise next year.
However, it does not mean that certain savings previously announced will be avoided.
The minister is following through on a number of cost-cutting measures, such as cuts in school grants for day-to-day running costs, which will continue in 2015.
Similarly, the programme of increases in the third-level student contribution charge will go ahead, and the fee will rise to €3,000 next September.
Mr Varadkar was looking to get the same amount of money in 2015 as will be spent on the health service this year when the €500m overrun is included.
The additional funding for next year will be made up from a number of sources, including an additional estimate, once-off monies he will be allowed to keep and the benefits to measures the following year.
The net effect will be Mr Varadkar getting the extra funding but the money won't be a permanent allocation from Public Spending Minister Brendan Howlin so he'll have to do battle again next year for 2016.
Tanaiste Joan Burton has secured additional funding to pay for relief from water charges. Ms Burton had already planned to give a €100 discount to 415,000 people on the households benefits packages, including the over 70s, carers and people with disabilities
But the Tanaiste has secured additional funding to improve the relief package.
Environment Minister Alan Kelly will have a substantial increase in money for housing and will announce a Social Housing Strategy the week after the Budget.
Justice Minister Frances Fitzgerald has got the green light for a significant investment in new garda vehicles. In discussions with Mr Howlin, Ms Fitzgerald has voiced concern about the need to replace the "ageing fleet".
In her budget, the minister will be able to continue garda recruitment next year and replace officers who retire.
Transport Minister Paschal Donohoe has secured additional funding for infrastructure. Mr Donohoe also argued for additional funds in order to increase the subvention to Irish Rail. While sources said they anticipate being able to increase the subvention, the level of increase is less than the minister had hoped.
A new sports capital programme worth at least €20m will be announced. Sports Minister Michael Ring lobbied for the programme this week.
Figures published late last night by the Department of Finance show if no new measures are introduced in the Budget, overspending will fall to 2.4pc next year.
That is well inside the EU imposed target of getting the overspending deficit below 2.9pc of total spending in 2015.
While the figures show we will still be spending more than we earn next year, it means Mr Noonan and Mr Howlin face a tough decision - leave the Budget unchanged and beat the targets, or ease up by lowering taxes and allowing more spending, just enough to stay within the rules.
With a General Election certain within the coming 18 months, and austerity increasingly out of fashion, the odds on giving households and businesses some relief are growing.
A full four days before the Budget is announced, the Cabinet met to sign off on the spending estimates. But Mr Noonan did not divulge the taxation package, which he plans to keep under wraps until Tuesday.
Embattled Arts Minister Heather Humphreys is understood to be seeking extra funding for her Department ahead of the 1916 Rising commemorations in two years time. A number of events are due to be held around the country celebrating the 100th anniversary of the Easter Rising. It is understood Ms Humphreys did not secure any additional funding at yesterday's Cabinet meeting but there is a possibility extra resources will be announced in next week's Budget.
New Rural Affairs minister Ann Phelan is said to be "hopeful" of securing a modest stimulus package for rural towns.
The minister wants to support in towns in decline.
Irish Independen
No comments:
Post a Comment