Martin signals 12-euro pension increase as he dismisses ‘mischief and spin’

The Tanaiste has signalled a 12-euro increase to weekly pension payments as he dismissed reports of coalition rows on social welfare as “mischief” and “a phony war”.

Micheal Martin’s comments come amid reports that Fine Gael had been seeking a 15-euro increase to pension payments alongside a lower hike for the jobseekers’ allowance.

Both Taoiseach Simon Harris and his Fine Gael deputy leader Social Protection Minister Heather Humphreys had publicly argued that it did not make sense to spend significantly more on jobseekers’ allowance at a time when the economy is at near full employment.

On Monday, Mr Martin said a 12-euro hike had been priced in for months and added that there had been no disagreement on differentiating the social welfare payments among leaders during budget negotiations.

He said: “Genuinely, I think there’s been a bit of mis-spin here, a bit of mischief going on.

“Because this only surfaced in the media. It hadn’t surfaced in any meetings that I attended prior to my reading about it in the media.”

He said the 12 euro figure had been “stitched in” since the Summer Economic Statement set the expenditure framework for the Budget.

“There was never a 15 euro (rise) tabled ever at any meeting I attended.

“So I think there’s a phony sort of spinning stuff going on about this and I think it’s completely overplayed.”

Mr Martin said throughout the four years of the Government, there had always been agreement that the same level of increases would apply to the pension and jobseekers’ allowance.

He said he had questioned his Government colleagues on where the “spinning” came from, reiterating that there was no substance to the reports.

He added that he was “bemused” by newspaper reports of a potential 15-euro hike in the pension.

In an apparent reference to Tuesday’s Budget and the looming general election, the Fianna Fail leader said: “Maybe it is the cycle we’re in.”

Pressed on whether he was accusing Fine Gael of spinning budget lines to the press, Mr Martin told reporters: “I don’t know who is doing it but I think you know, maybe, because its being spun to you guys.”

Parts of Budget 2025, to be officially unveiled on Tuesday, is expected to include changes to income tax thresholds, a cut to the USC, energy credits and an increase to the rent tax credit.

Last-minute decisions were being made by the coalition on Monday night – among them funding for 400 new staff and digital investment at the International Protection Office secured by the Minister for Justice.

Amid the potential for two, double child benefit payments before Christmas, Mr Martin was also asked if he had conceded that there would be no additional increase to the core rate of child benefit.

He said he had always said there would be significant measures for children in the cost-of-living package, adding: “The discussions are still under way in respect of a number of measures around children.”

Mr Martin was speaking at the opening of the new headquarters for Dublin Civil Defence in Cherry Orchard, Dublin.

This new purpose-designed facility comprises more than 1,800 square meters of space on a 1.1-acre site.

It will serve as a vital hub for Dublin Civil Defence, the largest in the country with more than 200 volunteers, supporting its mission to provide voluntary emergency services to communities across the city and county.