Irish Rural Link (IRL), the national network representing the interest of rural communities, has welcomed additional social protection measures in Budget 2025, but cautioned that it is still insufficient for some low income households.
While IRL welcomed the €12 increase in core social welfare rates, including the contributory and non-contributory pension and increases in Qualified Child Allowance, it said that this will not be enough for low-income rural households to meet the continued cost of living challenges.
In its pre-budget submission, IRL called for an increase of a minimum €20/week in core social welfare payments in Budget 2025 to restore the real purchasing power of payments and begin to lift people out of poverty.
IRL has also welcomed the one-off payments in fuel allowance, living alone allowance, disability, carers allowance, but said that these are “not sustainable and will not lift these households out of poverty” in the long-term.
Rural funding
IRL said that it is concerned about the amount of funding available to the Department of Rural and Community Development.
The allocation of €472 million to this department “pales in comparison” to the amount of money available in Budget 2025, according to IRL who said it is not sufficient for any meaningful development in rural areas or to ensure the sustainability of the community and voluntary sector.
The organisation stressed that the community and voluntary sector delivers many essential services to people in rural areas.
IRL pointed out that rural households dependent on cars, continue to be impacted by an increase in carbon tax each year. With no alternative available, a large percentage of household income is spent on keeping a car on the road, it has argued.
The free transport for children under the age of nine and the introduction of the Universal Companion Pass for over-70s was welcomed by IRL, but the organisation said many rural households will be unable to make full use of these.
CEO of Irish Rural Link, Seamus Boland said: “There are some welcome measures announced that will go some way to help rural households. However, we are concerned about the low amount of funding allocated to the Department of Rural and Community Development.
“We believe that this allocation will have limited impact on the development of rural communities or for the community and voluntary sector and the services they provide,” Boland added.
Independent Ireland criticism
Meanwhile, Independent Ireland leader deputy Michael Collins, has issued a sharp condemnation of the government’s 2025 budget, describing it as an exercise in “financial manipulation that neglects the critical needs of struggling sectors” like hospitality.
Collins has highlighted the concerning number of restaurant closures since the government raised the VAT rate for hospitality, which he argued has led to a “crisis” in the industry.
“This budget is little more than an exercise in robbing Peter to pay Paul,” Collins said. “What is most scandalous of all is that they know over 600 restaurants have closed so far this year, and they chose to do nothing about the VAT rate for hospitality.”
Collins continued: “These closures are not just statistics; each one represents jobs lost, businesses destroyed, and communities suffering. It’s disgraceful that the government has turned a blind eye to this.”