Deputies Feighan and Harkin give Budget 2026 a thumbs up despite criticism there was no good news for workers

By Philip Rooney, The Sligo Champion

Budget 2026 is a bold and practical response to Sligo’s housing challenges and reflects the Government’s commitment to delivering homes for families around the country, according to Sligo/Leitrim Fine Gael TD Frank Feighan.

Deputy Feighan pointed to a number of initiatives as evidence that Fine Gael and the Government are addressing the housing issue. He believes the capital investment in housing, reduction of VAT rate and extending the help-to-buy scheme will all help alleviate the current problem.

Deputy Feighan remarked, “These measures will revitalise communities all around Sligo, help deliver infrastructure for more homes, as well as supporting renters in line with the Programme for Government.

“A €2bn capital investment in housing, water infrastructure and energy systems is a cornerstone of the Budget’s ambition to accelerate deliver and future-proof Ireland’s build environment.

“The reduction of VAT to 9% for the construction of new apartments, is a key way to stimulate development around the country as well as lowering the cost for builders, as well as buyers.

“Fine Gael is standing up for young people to get onto the property ladder. The decision to extend the Help-to-Buy scheme for five years will provide certainty for first time buyers,” Deputy Feighan added.

Budget 2026 will also reinvigorate towns and cities around the country in tackling dereliction and vacancy. Revenue will now collect the derelict site tax which will ensure stronger enforcement and accountability.

Development costs will be further reduced through a targeted cut in corporation tax on profits from apartment construction, encouraging supply and investment. The budget also includes an extension of landlord relief and mortgage Interest Relief for another year, aimed at supporting rental supply and easing financial pressure on property owners.

This Budget will also deliver funding for additional staff at An Coimisiún Pleanála and Uisce Éireann which will speed up planning decision as well as infrastructure delivery.

“This Budget is about action, not rhetoric. We are investing in supply, cracking down on dereliction, and supporting renters and buyers alike. Budget 2026 reflects Fine Gael’s commitment to practical solutions and long-term planning. Housing is the defining issue of our time, and this Budget shows we are serious about solving it,” concluded Deputy Feighan.

The Budget also got a firm thumbs up from fellow Sligo/Leitrim TD Marian Harkin.

The Minister of State said: “Recognising the invaluable contribution of carers was a key priority for Independents when forming this Government earlier this year,” Minister Harkin said. “The significant increase in the income disregard for the Carer’s Allowance — from €375 to €1,000 for individuals and from €750 to €2,000 for couples — marks meaningful progress toward abolishing the means test over the lifetime of this Government.”

She added: “As a lifelong advocate for carers, and particularly for family carers, I am proud to see this Government honour their vital work. This Budget sets us firmly on the path to ending the means test for the Carer’s Allowance once and for all.”

Minister Harkin said the €3.8 billion for disability services marks a transformative investment in the sector which will fund a range of new residential care placements and day service supports for young people finishing school along with extra places for older adults. “I am particularly heartened to see funding for 6,500 private assessments of need, 150,000 hours of home support, 10,000 overnight and 15,000 day respite sessions and I will work to ensure that the northwest will get its fair share of this new provision,” the Minister said.

The Minister welcomed the substantial investment in education making provision for another 2,600 workers in the sector. Again, I am looking forward to our region benefitting from its proportion of the 1,042 new teacher posts that includes 860 new special education teachers and 1,700 new SNAs.

Minister Harkin also highlighted a series of targeted measures designed to support working families and communities across the northwest region. These will see Working Family Payment thresholds increase by €60 per week, allowing more households in Sligo, Leitrim, and South Donegal to qualify while Automatic Fuel Allowance eligibility will now extend to all Working Family Payment recipients, providing greater security against rising energy costs. Furthemore, the Mortgage Interest Relief Scheme will be extended for a further two years, supporting homeowners facing higher repayments.

“In a constituency where tourism and hospitality are a vital part of the local economy I am delighted that the hospitality VAT rate will be reduced to 9% and that hairdressers are included in this measure. This will help to sustain local jobs and small businesses that keep rural and regional economies vibrant,” Minister Harkin said.

In addition, the Budget makes major capital investments in infrastructure and boosts housing supply, recognising that building homes is central to Ireland’s long-term social and economic wellbeing.

Citing data from the ESRI SWITCH tax-benefit model, Minister Harkin noted that this year’s Budget delivers the greatest benefits to lower-income families, shifting focus from once-off supports to targeted, sustainable measures that strengthen both communities and the wider economy.

“This is a Budget that delivers for people - for families, carers, and communities while building a fairer and more resilient future,” Minister Harkin concluded.