Oireachtas Parliamentary Budget Office Analysis of Budget 2026 Household Income Effects (data.oireachtas.ie)

• Low-income households face the largest losses due to the withdrawal of cost-of-living supports.
• Income poverty rate forecast to rise from 11.7% (2024) to 12.6% (2026).
• Tax band freezes increase the average tax burden on workers.

"Rapid analysis by the Oireachtas Parliamentary Budget Office (PBO) of the tax and welfare measures in Budget 2026. Compared to an indexed baseline (inflation and wage growth), low-income households face an average income loss of 4.5%, middle-income households lose 1.3%. Withdrawal of cost-of-living supports drives the income poverty rate from 11.7% (2024) to 12.6% (2026). Freezing income tax bands affects middle- and high-income households, raising the average tax rate from 22.5% to 23.1%."