Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

As the Deputy acknowledged in his earlier remarks, in recent years we have adjusted the 2% USC band to accommodate the change in the minimum wage. That is the right thing to do to ensure, as the Deputy said, that those who benefit from the increase in the minimum wage get to keep as much of that benefit as possible. I certainly intend in the future, where possible, to continue with that principle. It is an important one. What we have done as a Government is agreed the minimum wage for 2024. The Deputy is well aware what the policy is in moving to 60% of the median hourly wage by 2026.

We will have to take it budget by budget, but the Department is well aware of the consequences in terms of impact on the USC. We continue to monitor and prepare for these developments as the minimum wage changes over the years ahead. For now, our focus is on 2024.