Home heating and fuel supports also on the cards
11:20, 03 Oct 2026Updated 17:11, 03 Oct 2026
Euro notes on a radiator(Image: Getty)
We’re just three days out from Budget 2027 being announced – and the latest update shows a big government focus on helping with households’ energy costs.
The leaks are now coming thick and fast and it seems the argument over keeping a tight rein on spending – or providing more supports to people struggling in the cost of living crisis – may have been decided in favour of Minsters who want to loosen the purse strings.
Last night, ministers were in talks over giving out a €300 lump-sum payment before Christmas to those on the Fuel Allowance. Over 465,000 households qualify for this welfare scheme, which is available for people aged 66 and over, as well as a range of others already getting certain social welfare payments.
The €300 sum would come instead of a €5 increase in the scheme’s weekly payment and would work out to have double the value. Meanwhile, ministers also discussed measures to support senior citizens in Ireland, like a €10 increase in the state pension, and a €7 rise for the Living Alone Allowance (currently €22 per week).
Another change being flagged is a probable rise of between €8 – €10 for core social welfare payments, other than the State Pension, with Jobseeker’s Allowance, Carer’s Allowance and Child Benefit also in the frame for increases.
A new one-off social welfare payment of between €400 – €500 is also expected to be revealed. It’s anticipated this payment will be for those with a disability, and will be paid out early in the new year.
The crucial Christmas Bonus is also set to be maintained in Budget 2027. The Christmas Bonus amounts to 100% of your standard weekly payment, with a minimum bonus of €20,
As many grapple with fuel and energy poverty, a cut in carbon tax on home-heating oil is also expected to be in the Budget. Reductions on excise duty for petrol and diesel are further expected to be extended until next spring.
Increased support for Ireland’s elderly population would be welcome news for many families, as research finds seniors are “going without basics daily” to get by during the cost-of-living crisis. Elderly support charity ALONE’s latest report found that three in four older people (75%) have been affected by the rising cost of living this year, up from 44% in 2025.
More than half (58%) are struggling to pay bills, and almost half (45%) are going cold to save on energy costs. Meanwhile, three in ten older people living alone were found to be living below the poverty line: almost twice the national average. Older people the charity spoke to talked about going without heat, cutting back on food and delaying essential spending to make ends meet.
The planned measures to tackle home energy costs would also be a welcome boost as major supplies are set to up prices in the coming days. Both Bord Gáis and Energia recently announced they were upping their rates – which will impact around 1,000,000 Irish customers combined.
With Budget 2027’s big reveal just days away, households across Ireland are hopeful for a range of new changes following recent hints and announcements. These include an increase to the Help-to-Buy scheme, a tax break for child minders and widening of income tax brackets.
You can check out all of what’s expected and rumoured for the upcoming Budget here.