LAST UPDATE | 20 hrs ago

TÁNAISTE SIMON HARRIS has said “hundreds of euros” in income tax cuts will make a real difference to families across the country.

Speaking to reporters at the first day of his party’s think-in in Gorey, the Tánaiste was asked to comment on Public Expenditure Minister Jack Chambers’ remarks earlier this week in which he said Budget 2027 will only amount to “a few hundred euro” back in peoples’ pockets. 

Chambers also moved to temper expectations, stating that the budget adjustments would be “modest”. 

While the Tánaiste said he would not outline the budget details today, when asked if it would be more than a few hundred euro in the back pocket for many, he said: 

I believe we can make a significant impact cumulatively on the life of a middle-income earner. I think for many middle-income workers it will be more than that.

Harris said it is really important that this budget is viewed in the round, stating that it is not just about tax cuts, but also progress and savings that can be made on the likes of childcare.

The Tánaiste said there are people in this country who are “playing by the rules, who are working hard, who on paper are earning decent salaries, but are still at the end of the week, at the end of the month, they’re going, ‘is that it?’ And we’ve got to give voice to those people”.

Higher rate of tax 

Speaking about the entry point at which workers hit the higher tax rate, he said:

It’s still too low, but this party has made significant progress with colleagues in government in increasing that, and I think that’s the direction of travel we need to go. 

Asked about his comments on Monday that the government will “help people who get up early in the morning”, a nod to comments made by his party predecessor Leo Varadkar, Harris said it is a ”euphemism for helping people who work hard”.

“Some people call them middle Ireland, some people call them the squeezed middle, some people call them people who get up early in the morning.

“At the end of the day, it’s people who are working really hard. They’re sitting in traffic. They’re possibly qualifying for no state supports, and often all they want the government to do is give them a little bit of breathing space. And if we don’t take measures on tax, it’s as simple as this: they end up paying more tax next year, and they don’t have it within them to do that.”

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There are lots of people who just miss out state supports, and they’re not wealthy, Harris said.

Speaking further on the budget, Harris said there is a need to cut capital gains tax from its current rate of 33%, stating it is “objectively too high”. 

The two-day gathering comes after Fianna Fáil and a number of other parties also held their party gatherings in the last week. 

Tánaiste and party leader Simon Harris will deliver his keynote political address to the members on Friday, setting out Fine Gael’s priorities as it looks ahead to Budget 2027.