Budget 2026 is set to confirm yet another unwelcome change for smokers with the price of cigarettes rising once again – but the price of a pint will remain unchanged
A 50c increase last year will see cost of a packet of 20 cigarettes in the most popular price category rise to €18.95
The Government will increase the price of a packet of cigarettes by 50c in tomorrow’s Budget.
The move will bring the cost for brands such as Silk Cut or Benson and Hedges up to €18.95 – among the EU’s most expensive.
A Government source said: “The hike has been approved by the Cabinet.
“Smokers won’t be happy but it is to save lives and at least the increase is better than last year when they went up by €1 a packet.”
There will be no increase in the price of a pint because of the expected reduction in VAT for the hospitality sector.
Cigarette on an ashtray (stock image)(Image: Getty)
The Government source added: “We are effectively freezing the price of a pint in the Budget and it is up to individual publicans if they want to pass on the VAT reduction from 13% down to 9% to their customers.”
Last night, ministers indicated the State pension will go up by €10 and a similar amount will also be given to everyone on unemployment benefit.
A €10 increase in the contributory pension will bring it 70c short of €300 a week. The current contributory State pension is €289.30 per week for those 66 or over.
The insider added: “A social welfare increase of €8 has been mentioned but I think people can expect it to go up by €10. We are fully committed to looking after our pensioners and those on benefits.”
Sources are adamant there will be no across-the-board energy credits for householders. Instead the plan is to help people with payment difficulties through the social welfare system and by the use of fuel allowances.
The source added: “The days of giveaway Budgets are over because we are spending huge amounts of money on capital infrastructure and we just don’t know economically what is coming around the corner.
“We are determined to do everything to protect the Irish economy.”
Finance Minister Paschal Donohoe and Public Expenditure Minister Jack Chambers will present the Budget to the Dail tomorrow.
RTE One’s live coverage presented by Sharon Ni Bheolain and David McCullagh begins at 12.40pm.
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