Michael Collins (Cork South-West, Independent Ireland Party)

One of my constituents after seeing the budget today sent me this message: "Work, work, work, and at the end of the year you are back to where you started." After budget 2026 has been unveiled, many working families across the country are asking a simple question: where is the relief for us? Despite rising wages, soaring rents and relentless inflation, the Government has chosen not to adjust income tax bands. This decision means that middle-income earners - the backbone of our economy - will continue to be taxed more heavily as their earnings rise, even if those increases barely keep pace with the cost of living.

We are in the midst of a cost-of-living crisis. Families are struggling to afford groceries, childcare, energy bills and housing. Yet instead of easing the tax burden, the budget leaves them exposed. The failure to index tax bands to inflation means that more of their income is pushed into higher tax brackets, reducing take-home pay and punishing hard work. This is bad news for working families. It is bad news for the nurse doing overtime, the teacher taking on extra duties and the small business owner trying to grow. These are the people who keep our country running and they deserve better.

There are welcome measures in this budget - increases in social welfare, investment in housing and support for the arts - but, for the average worker earning €40,000 to €60,000 a year, there is no meaningful tax relief, no recognition of the pressures they face and no signal that their contribution is valued. We must ask whether this budget is for everyone or just for some. Middle Ireland is not asking for handouts. It is asking for fairness, a tax system that reflects reality and a government that understands that working harder should not mean falling further behind. Let us not forget that economic growth must be inclusive. If we leave behind the very people who drive that growth, we risk undermining the social contract that binds us together.

The Government's decision to reduce the VAT from 13.5% to 9% for food-led hospitality and personal services is a hard-won victory, one for which I and my colleagues in Independent Ireland have campaigned relentlessly. This is not just a budget line item; it is a lifeline. For months, I have stood in this Chamber and in towns and villages across Ireland warning that, without urgent action, businesses would close, jobs would be lost and communities would be hollowed out. I said plainly this was a necessary pressure-release valve for an industry under immense pressure. Let me be clear that delaying the measure until July 2026 is a mistake. It risks pushing many operators to the brink. We cannot afford to wait. Every day counts when you are trying to keep the lights on. I cannot understand People Before Profit Deputies continuously dismissing this as a non-runner. They keep picking out high-flyers in the industry but the bottom line is that hairdressers, small cafés and small restaurants are in dire trouble. Some 600 of them closed in 2024 and 150 closed in the first three months of this year. People Before Profit Deputies are probably not on the ground like we are; they are probably in a bubble thinking this VAT rate is not welcome. It certainly is but I wish it was going to be delivered straight away. The fuel increase is going through tonight; the VAT decrease should go through tonight as well.

I met with café owners in Kerry, salon operators in Dublin and pub owners in Cork. They told me the same thing, namely, they are keeping the doors open but are not taking home a wage. Margins have been decimated by insurance premiums, rates, energy bills, wage demands and supply costs. This so-called temporary measure has become the economic bedrock for many local businesses. Entire enterprises were launched during the life of the 9% VAT rate, particularly across Cork, Kerry and the west coast. They are now clinging on in the hope that some stability will be restored. To those in government who say the VAT cut is too costly, I ask what is the cost of doing nothing. If even a fraction of these businesses shut down, the knock-on effects will be devastating - not just job losses, but the loss of community anchors. These are not faceless corporations but family businesses, corner cafés and village pubs that are live wires of towns and parishes up and down the country.

In the budget, the wet pubs have got nothing, which leaves many of them in a dire situation. The only thing they see out of it is the minimum wage has risen so they will have to pay out more. This is a big blow to them. With geopolitical uncertainty threatening foreign direct investment, now is the time to double down on supporting domestic industries. Hospitality and personal service remain among the largest indigenous employers in Ireland. We welcome the VAT reduction but will continue to fight for its swift implementation, for fairness and for the survival of the small businesses that make Ireland what it is.

The budget does not meet the moment. It does not reflect the hardship faced by ordinary people, especially those in rural Ireland, where the cost of living continues to spiral and where the burden of Government policy is felt most acutely.

Let us talk about fuel - a basic necessity for families, workers and farmers. Today, the average price of petrol is €1.74 per litre and diesel is €1.67 per litre. These prices are among the highest in Europe. With the planned carbon tax increase of 2 cent per litre, Ireland is set to become the most expensive country in the EU for diesel. Home heating oil will go up €20 per fill. Car diesel will go up €1.48 per fill. Petrol will go up €1.25 per fill. Gas will go up to nearly €17 per fill. Coal has gone up 90 cent per bag and it will be more again in January. This is not just statistic; it is a crisis. In west Cork and across rural Ireland, people rely on their cars. Public transport is limited or non-existent. Parents drive long distances to schools. Workers commute to towns. Farmers depend on fuel to run machinery. These are not luxuries; they are lifelines, and yet the budget adds to their burden. The carbon tax hike layered on top on excise duty and VAT means that up to 60% to 70% of the costs of every litre of fuel goes back into the Government coffers in taxes and levies. That is €6 out of every €10 taken from the pocket of the working family.

I have said it before, and I will say it again, that this is not an environmental policy, it is a fiscal punishment. It disproportionately affects those who can least afford it. It punishes rural communities, low-income households and small businesses. What supports are offered in return? None. There is no fuel rebate. There is little rural transport expansion. There is no meaningful relief for those who have no choice but to drive.

This budget also fails to deliver on housing. While €11.3 billion was allocated, the reality is that delivery remains painfully slow. Families are still waiting. Young people are still locked out and dereliction continues to scar our towns. We need direct build programmes, not just schemes and subsidies. There are over 16,000 people homeless and more than 5,000 of these are children. This budget does not help them get a home.

During the election, this Government promised that the cost would be down by €200 per month per child. Where is that promise today? Aside from the rent or the mortgage for a typical family, the second biggest expense is childcare. Where are the election promises? They are not there. It promised false promises.

On healthcare, the promises ring hollow. Waiting lists grow. Services are stretched. Rural hospitals are under threat. We need investment in community care, GP access and mental health services, not just headline figures.

For our older citizens, a €10 pension increase is welcome, but it is not enough. St. Vincent de Paul said it should be €16 at the very least for pensions. Many pensioners are living in cold homes facing rising energy bills and struggling to make ends meet. They deserve more than tokenism; they deserve dignity. This budget is a missed opportunity. It could have been a budget for fairness, balance and vision. Instead, it is a budget of imbalance and neglect.

On agriculture, the tillage sector is on its knees. This was the day to deliver but there was zero. There was no suckler grant increase this time; there was zero. The farming bodies are a calling it a non-event today. On derogation, the dairy sector and the problems with the drop in the price of milk, there was no addressing of those situations today. The mackerel quota looks like it could drop 70%, which would decimate Irish fishers. The Government has stood over the decimation of them before. Surely be God it should stand up strong this year. However, there is nothing for inshore sector. The National Inshore Fishermen’s Association issued the following statement:

The National Inshore Fishermen's Association, NIFA, wishes to express our deep frustration, disappointment, and sense of abandonment following the announcement of this year's budget. Just €7.4 million has been allocated to Bord Iascaigh Mhara, BIM, for sustainability, a figure that once again shows how little value this Government places on the inshore fishing sector and the families who depend on it. For the thousands of men and women working our coastal waters, this is not just a number on a page - it is a clear message that we have been forgotten. While €357 million is provided for broadcast, €65.4 million for TG4, €84.9 million for major arts projects, €10.7 million in extra funding for Sport Ireland, and €3 million to establish League of Ireland academies.

They got zero. That is an astonishing hit for the inshore sector. The statement continues that the Minister of State, Deputy Dooley, and his colleagues "speak often about supporting rural Ireland and protecting traditional livelihoods, but this budget tells a very different story." What they are saying is that there was a non-delivery for the inshore sector, which is struggling and on its knees at present. I would like to know about the roads budget, the OPW and water treatment plants, but my time is up and I will give way to my colleagues.

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