Ireland’s Budget 2025 was unveiled on 1st October 2024, with an overall package of €10.5 billion. The measures provided in the budget are a mixture of expenditure measures, tax policies as well as one –off provisions meant for addressing particular issues namely cost of living, housing and the costs of energy. Some of these changes will take immediate effect, while others will be implemented gradually over the course of the year 2025. Below are some of the Budget 2025 key announcements and how they will affect you. 

Social Welfare  

Key highlights include a series of once-off payments and increases to weekly social welfare rates.

• Double payments for certain long-term social welfare recipients.
• A €12 weekly increase for all social protection payments from January 2025.
• The Carer’s Allowance means test disregard will rise to €625 for a single person and €1,250 for a couple from July 2025.
• The Domiciliary Care Allowance will increase by €20 per month from January 2025.
• The Carer’s Support Grant will increase by €150, bringing it to €2,000 by June 2025.
• Double Child Benefit payments will be issued in both November and December 2024.
• €400 once-off payments for recipients of Disability Allowance, Invalidity Pension, and Carer’s Support Grant in November 2024.
• Expansion of the Free Travel Scheme to all people over 70 (September 2025).

Tax Changes 

Tax reforms form a crucial part of Budget 2025, aiming to ease the burden on workers and businesses.

Income Tax and USC Changes 

• The standard rate income tax band increases by €2,000 to €44,000 with proportionate increases for married couples and civil partners.
• Personal, employee, and earned income tax credits will increase by €125 each to €2,000.
• The Universal Social Charge (USC) 4% rate will reduce to 3%.
• The national minimum wage will increase by 80 cent to €13.50 per hour from 1 January 2025.

Capital Acquisitions Tax 

Budget 2025 also increases the Capital Acquisition Tax (CAT) group thresholds, with Group A rising from €335,000 to €400,000, benefiting those inheriting property and other assets.

Housing and Renters 

• The rent tax credit offered to tenants will rise from €750 to €1,000, and €2,000 for a jointly assessed couple.
• The Vacant Home Tax will increase to seven timers the Local Property Tax rate to incentivise property owners to bring vacant homes back into the market.
• The Help-to-Buy Scheme has been extended until 2029.
• 10,000 new social homes will be built.
• The Rent Tax Credit will rise to €1,000 for individuals and €2,000 for couples in private rented accommodation.
• A Stamp duty charged on properties over €1.5 million will increase to 6% and relief for pre-letting expenses for landlords has been extended until 2027.

Mortgage Interest Tax Credit 

The Mortgage Interest Tax Credit will continue for 2024, providing a 20% relief on the increased interest homeowners pay on mortgages compared to 2022, capped at €1,250. 

Education and Training  

• Free Schoolbooks
• No fees for Junior and Senior Cycle students sitting State examinations in 2025.
• A €1,000 reduction in the student contribution fee for the 20254/2025 academic year.
• Expansion of the Hot School Meals Programme to all primary schools.
• Special Education: Funding for 768 additional special education teachers and 1,600 special needs assistants.
• Free public transport to be extended to children aged five to eight.

Support for Businesses 

• The introduction of a €4,000 Power Up Grant for the hospitality and retail sectors aims to alleviate electricity costs before Christmas.
• VAT registration thresholds will increase to €85,000 for goods and €42,500 for services, reducing financial strain on small businesses.
• Farming tax reliefs.
• Increase in income tax bands and tax credits.
• Small businesses investors can benefit from new entrepreneur relief, with the limit on capital gains tax (CGT) relief increased to €10 million.

Transport 

• Increased capacity for existing public transport routes.
• Expansion of cycling and walking infrastructure.
• Greenway expansions and road safety measures.
• New incentives for Low Emission Vehicles.

Health 

• 335 new hospital beds and 160 community beds to boost capacity.
• 49 new  consultants posts and expanded training places for GPs and nurses.
• Launch of free Hormone Replacement Therapy (HRT) for women experiencing menopause symptoms.
• Expansion of free HSE Assisted Human Reproduction services, increasing access to IVF treatments.
• Increase in numbers working in health service.

Energy and Environment  

• €250 Electricity Credit: All domestic electricity customers will receive €250 off their bills in two instalments- one before the end of 2024 and the second in 2025.
• Carbon Tax increase.
• VAT reductions.

Justice and Service 

• Recruitment of 1,000 additional Gardaí and 150 civilian staff.
• €9 million allocated for criminal legal aid.
• Funding for 150 new prison staff.
• €7.9 million for domestic, sexual, and gender-based violence prevention.
• €1.35 billion allocated to the Defence Forces.

While Budget 2025 introduces a range of significant changes across social welfare, taxation, housing, and more, it’s crucial to understand how these measures will impact your personal financial situation. Navigating these updates can be complex, and seeking professional advice can help you make informed decisions. At Fairstone, we provide expert financial advice tailored to your needs, ensuring that you are well-prepared to take full advantage of the opportunities presented in the latest budget. Whether you’re planning for the future or managing your current finances, we’re here to guide you every step of the way. 

Let’s Talk

Source: Gov.ie

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Fairstone Ireland, a leader in financial planning & wealth management, celebrates a significant milestone with the establishment of its fifth strategic partnership in Ireland with Killeen Financial Services Ltd trading as Cleere Life & Pensions. This achievement not only highlights Fairstone Ireland’s relentless pursuit of innovative financial solutions but also marks a significant leap forward in its growth trajectory as Fairstone Ireland surpasses €1 Billion of assets under management (AUM) since entering the market in 2022.

Under the leadership of CEO Paul Merriman, Fairstone Ireland now have four additional Financial Brokerages into their Irish operation, Carey Financial, Murray & Spelman Financial Services, Premier Financial as well as Cleere Life & Pensions.

Paul Merriman, CEO of Fairstone Ireland, commented “Our partnership with Cleere Life & Pensions not only exemplifies our commitment to become the leading wealth management firm in Ireland but also accelerates our growth momentum. Together, we aim to enhance our capabilities, foster mutual growth, and set a new benchmark of partnership excellence in wealth management, building stronger relationships with Financial Brokerages across Ireland. We eagerly anticipate collaborating with Gearoid and the entire team at Cleere Life & Pensions.”

Cleere Life & Pensions, a reputable financial planning firm headquartered in Kilkenny since 2015, is renowned for its client-centric approach and comprehensive range of financial services. The partnership with Fairstone opens up exciting prospects for Cleere Life & Pensions and their clients, to utilise Fairstone’s vast resources, expertise, and cutting-edge solutions.

Gearoid Cleere, Managing Director of Cleere Life & Pensions expressed excitement about the partnership: “Our partnership with Fairstone Ireland marks an exciting new chapter for Cleere Life & Pensions. Fairstone’s innovative model ensures that we can uphold our commitment to delivering top-tier financial services whilst leveraging Fairstone’s scale and expertise. This strategic move positions us for sustained growth and innovation in the dynamic financial landscape.”

Anthony O’Driscoll, Head of Mergers & Acquisitions at Fairstone Ireland added “We are very excited to partner with Cleere Life & Pensions via our unique Downstream Buy Out (DBO) model which allows the owners of ambitious financial advisory and wealth management firms to secure a liquidity event for themselves, whilst continuing to grow their business and benefit from the resulting upside”.

Fairstone remains dedicated to offering high-quality financial advice and exceptional service, perfectly aligning with Cleere Life & Pensions ethos. The partnership reaffirms Fairstone Ireland’s commitment to revolutionising the financial services sector and serves as a beacon of a new era of partnerships, emphasising teamwork, innovation, and a shared focus on client success. Fairstone Ireland are actively seeking to partner with other growing firms.

Fairstone Ireland, a leading player in the wealth management domain, proudly announces its fourth strategic partnership in Ireland with Galway & Kildare-based broker Murray & Spelman Financial Services. This acquisition highlights the acceleration of Fairstone Ireland’s partnership model which is changing the face of the financial planning industry in Ireland.

Continuing to set high standards for the financial services industry under the leadership of CEO Paul Merriman, Fairstone Ireland’s partnership with Murray & Spelman Financial Services highlights its dedication to establishing a new standard of excellence in wealth management through strategic partnerships.

Paul Merriman, CEO of Fairstone Ireland, remarked, “Fairstone remains resolute in its mission to challenge conventional norms. Our strategic partnership with Murray & Spelman Financial Services not only underscores this commitment but also catapults our momentum towards achieving market leading position. Together, we aspire to bolster our capabilities, ignite growth, and set a precedent for collaborative excellence in wealth management, fostering deeper partnerships with brokers across Ireland. We eagerly anticipate collaborating with Joe McKeogh, Andriu Mac Lochlainn and the extended team.”

Murray & Spelman Financial Services, a distinguished financial planning firm with offices in Galway & Kildare, has garnered acclaim for its long standing client-centric approach. This synergistic partnership with Fairstone opens new horizons for Murray & Spelman and its clients, granting access to Fairstone’s vast resources, expertise, and innovative solutions.

Joe McKeogh, Director of Murray & Spelman Financial Services expressed his excitement with the partnership: “This alliance with Fairstone marks a thrilling chapter for Murray & Spelman. Fairstone’s innovative partnership model ensures that we can uphold our commitment to delivering top-tier financial services while leveraging Fairstone’s scale and expertise. This strategic manoeuvre positions us for sustained growth and innovation in the dynamic financial landscape.”

This partnership epitomises Fairstone Ireland’s drive to revolutionise the financial services sector and serves as a beacon of a new era of partnerships, emphasising teamwork, ingenuity, and a shared dedication to empowering clients towards success.

Fairstone Ireland, an industry trailblazer in wealth management, proudly announces its third strategic partnership in Ireland,  with Premier Financial. This partnership signifies a groundbreaking acquisition model, ushering in a new era of financial services characterised by mutual growth and synergy. Fairstone Ireland partnership represents a significant milestone for both firms, highlighting Fairstone Ireland’s commitment to progressive, client-centric financial solutions.

Under the leadership of CEO Paul Merriman, Fairstone Ireland continues to redefine industry norms. The partnership with Premier Financial underscores Fairstone’s dedication to innovative strategic partnerships, setting a new standard for excellence in the wealth management sector.

Paul Merriman, CEO of Fairstone Ireland, emphasised, “Fairstone remains steadfast in its dedication to challenging traditional norms. Our strategic partnership with Premier Financial not only reflects this commitment but also propels the momentum in our growth initiatives. Together, we aim to enhance our capabilities, stimulate growth, and set a new standard for collaborative excellence in wealth management, fostering stronger partnerships with brokers across Ireland. We look forward to working with Denis, Mark, Philip and the extended team’.

Premier Financial, a distinguished financial planning firm headquartered in Tralee Co. Kerry, has garnered acclaim for its client-focused approach and comprehensive financial services. This collaboration with Fairstone opens up new avenues for Premier Financial and its clients, providing access to Fairstone’s extensive resources, expertise, and innovative solutions.

Denis Murphy  of Premier Financial, expressed enthusiasm about the partnership:

“This collaboration with Fairstone marks an exciting chapter for Premier Financial. Fairstone’s innovative partnership model ensures that we can maintain our commitment to delivering top-notch financial services while benefiting from Fairstone’s scale and expertise. This strategic move positions us for sustained growth and innovation in the evolving financial landscape.”

The partnership model emphasises collaboration, leveraging the strengths and values of each organisation. Fairstone remains committed to providing independent, high-quality financial advice and excellent service, aligning seamlessly with Premier Financial’s ethos. This partnership underscores Fairstone Ireland’s dedication to transforming the financial services sector and serves as an exemplar of a new era of partnerships, emphasising teamwork, creativity, and a shared commitment to helping clients succeed.

Fairstone Ireland, a forward-thinking leader in the wealth management industry, proudly announces a strategic partnership with Carey Financial Planning, signalling a new era in financial services through a groundbreaking acquisition model. This innovative approach focuses on mutual growth and synergies, marking a significant milestone for both firms.

Under the leadership of CEO Paul Merriman, Fairstone Ireland continues to redefine industry norms. The partnership with Carey Financial reflects Fairstone’s commitment to progressive, client-centric financial solutions and represents a novel approach to strategic partnership.

Paul Merriman, CEO of Fairstone Ireland, “Fairstone is committed to pushing the boundaries of conventional practices, and our strategic partnership with Carey Financial Planning is a testament to this dedication. By joining forces, we aim to elevate our capabilities, foster growth, and set a new standard for broker partnerships in the wealth management sector. I would like to welcome Conor and his team to the Fairstone Ireland family”

Carey Financial Planning, a distinguished financial planning firm based in Headford, Co. Galway, has earned acclaim for its client-focused approach and comprehensive range of financial services. The partnership with Fairstone opens up new opportunities for Carey Financial Planning and its clients, offering access to Fairstone’s extensive resources, expertise, and innovative solutions.

Conor Carey, Managing Director of Carey Financial, expressed excitement about the partnership: “This partnership with Fairstone Ireland marks an exciting chapter for Carey Financial Planning. Fairstone’s innovative partnership model ensures that we can uphold our commitment to delivering top-notch financial services to our clients while benefiting from Fairstone’s scale and expertise, allowing our team to spend more time on client facing activities. This strategic move positions us for sustained growth and innovation in the evolving financial landscape, we look forward to working closely with Paul and his growing team at Fairstone Ireland into the future.”

The partnership model focuses on working together and combining each firm’s strengths and values. Fairstone is committed to giving good financial advice independently, and offering excellent service, which matches well with Carey Financial’s ethos. This partnership shows Fairstone Ireland’s commitment to changing the financial services sector. The partnership between Fairstone and Carey Financial is a good example of a new kind of partnership, stressing teamwork, creativity, and a joint dedication to helping clients succeed.

In a strategic move set to reshape the financial landscape in Ireland, Fairstone has unveiled its revolutionary Irish buyout model, just one year after making waves with the acquisition of Dublin-based Pax Financial. Following a number of senior appointments, including Financial Planning Director Derek Delaney, Head of M&A, Anthony O’Driscoll, and Marketing Director Fergal Lynch, Fairstone is now poised to introduce its premium Downstream Buy Out (DBO) model to the Irish market.

At the core of Fairstone’s ambitious growth strategy, the Downstream Buy Out model seamlessly integrates culturally aligned firms before a complete acquisition, with the primary goal of maximising capital value. Throughout the integration phase, partnering firms gain access to Fairstone’s investment, cutting-edge technology, abundant resources, empowering them to realise their growth aspirations.

Fairstone Ireland CEO Paul Merriman commented, “The DBO is a market leader in the UK, and I am thrilled to extend this proposition to forward-thinking financial planning firms in Ireland. We are actively seeking partnerships with firms uninterested in an outright sale today; our focus is on investing in growth and supporting business owners dedicated to optimising their business value through a long-term partnership with Fairstone.”

Merriman emphasised the DBO’s distinctive nature, stating, “This is not your typical M&A transaction; it is crafted for visionary business leaders committed to their enterprises, eager to capitalise on future growth.”

Fairstone’s success in the UK is evident, boasting its best-ever dealmaking year, in 2023, with twelve firms embracing the DBO model. Fairstone Group, CEO Lee Hartley celebrated the Irish launch, saying, “Over the last 15 years, we’ve demonstrated the effectiveness of the model. Our unconventional approach to dealmaking consistently yields year-on-year outperformance, with the latest figures revealing fully acquired firms surpassing their target sale values by an average of 113%.”