Some big changes on the way
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Now that we’re in the full swing of the summer season, with weekend activities, holidays and other extra expenses, it can be easy for households to lose track of budgets.
However, as the cost of bills and everyday essentials continues to rise, it’s important to be aware of impending changes that could impact a household’s bottom line.
Over the next two months, there are a number of significant social welfare changes and payment dates to be aware of – as well as a major cost-of-living increase on the horizon that will affect anyone who drives a car.
Here’s everything you need to know.
July
Back to School Clothing and Footwear Allowance
The Back to School Clothing and Footwear Allowance will be paid in July. It provides a once-off, means tested payment to eligible families towards the cost of school clothing and footwear. Following changes introduced in Budget 2026, eligible two and three-year-olds can qualify for the scheme for the first time this year.
The scheme pays €160 for eligible children aged two to 11 and €285 for children aged 12 years and over in second-level education. Since June 2025, if you are getting the Foster Care Allowance, you can apply for the Back to School Clothing and Footwear Allowance for each foster child. To qualify for the payment, you must satisfy the conditions of the scheme.
Applications for the scheme are now open and the majority of payments will be made in July. Many families automatically qualify for the payment and don’t need to apply.
Carer’s Benefit increase
July also brings a change to the Carer’s Benefit scheme, which will increase the income limit by €375 to a total of €1,000 per week.
August
Fuel tax cuts expire
While there is talk around extending the current measures to keep fuel prices down at the pumps, as it stands, August 1 will bring a dramatic overnight increase for consumers nationwide.
The current discounts have reduced the price of diesel by 32 cent per litre and petrol by 27 cent per litre. Should they expire, fuel prices would jump back to around the €2 mark, putting more pressure on many already struggling with the cost of living.
With the situation in the Middle East still uncertain, the Dáil is due to make a decision on the measures before its summer recess begins next month. The Taoiseach has promised a ‘decisive’ decision by Tuesday.
Payment date shakeup
Due to the August Bank Holiday on August 3, social welfare payments due that day will be paid on the prior Friday.