09/10/2026
Quick catch-up now that the dust has settled on Budget 2027.
We saw a rise in the higher rate tax band and increased personal tax credits, but these alone simply don’t do enough to help middle Ireland. This was to be a budget for the workers of Ireland, and I’m not sure it wplayed out that way.
We saw an increase in Help to Buy rebate from €30,000 to €35,000. Is that what was needed? We’ve seen the current price cap in place since inception in 2016. Why have tiered price caps for the First Home Scheme and not for Help to Buy?
Childcare is to be capped at €550, but you’ll be waiting until September 2027…really a Budget 2028 measure, right?!
The Personal Investment Account…that is what it’s called, yeh? Anyway, this is genuinely a very good measure.
- €12,000 maximum annual contribution
- The first €50,000 grows entirely tax-free
- Anything above the €50,000 is taxable at 1%, whether your investment is up or down in any given year
- No minimum contribution limits
- Not subject to deemed disposal, capital gains tax, exit tax, dividend withholding tax
This is really a strong proposition. I’ve modelled this out against the current investment tax regime and it blows it out of the water!
Outside this PIA, they haven’t scrapped deemed disposal. I feel this is a massive missed opportunity.
Exit tax is to be cut from 38% to 35%.
Capital Gains tax is to be cut from 33% to 31%.
So, there were some positive highlights from this budget. They will serve a lot of households, who are in a position to start building wealth for the future, very well moving forward.
That’s no consolation for the many households who are not even breaking even each month, who needed big help in this very moment.
What weee your key takeaways from Budget 2027, and how are you feeling about it?
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Information only, not financial advice.
