Budget 2026: Disabled people will be worse off, charities say

Ottoline Spearman

Charities have condemned the Government's failure to provide for a permanent cost of disability payment in Budget 2026.

The Irish Wheelchair Association (IWA) has described it as utterly disappointing. It said that this, coupled with the absence of once-off support payments, will hit disabled people financially.

The IWA has estimated that people with disabilities will be €1,614 worse off annually in this year's budget, pushing many further into poverty.

IWA National Advocacy Manager, Joan Carthy, said that for too long, people with disabilities have lived in poverty.

“With the impact of the extreme rise in the cost of living on top of the cost of disability, people are being forced to make choices on whether they eat or keep warm. In the last few years, we have seen our winters become more severe with no long-term strategy from government to alleviate the pressure.

She added that, given the government’s commitment at the start of its term in office towards improving life for people with disabilities, combined with the recent launch of the National Human Rights Strategy for Disabled People, there had been high hopes that Budget 2026 would include lasting measures.

“We have advocated for a permanent disability payment over stop-gap temporary measures, but to have neither in this budget is a huge blow, and a real cause for concern,” Ms Carthy said.

The IWA also said that it acknowledges the €10 increase to the Disability Allowance, but said it falls way short of the €78 rise recommended in IWA’s Pre-Budget Submission from €244 to €322. This would bring this in line with the standard poverty line figure. 

A spokesperson for the Society of Saint Vincent de Paul also said they were disappointed with the announcement.

“Too often we meet households with a disabled family member who cannot afford food or heating, who prioritise their children’s wellbeing at the expense of their own health, or are forced into financial hardship because of costs associated with their disability - such as dietary needs, regular transport to appointments, or higher energy or technology requirements at home.

“There is also a huge gap in state provision for children with additional needs. Our Conferences have increasingly been asked to help fund private assessments and vital therapy supports. We are disappointed that sufficient investment was not announced to clear the waiting list backlog for the assessment of need process," the spokesperson said.

AsIAm, Ireland's Autism Charity, has also expressed disappointment that the budget fails to provide the essential financial support required to address the significant and ongoing cost-of-living crisis faced by the autistic and disabled community.

The charity's chief executive, Adam Harris, said that "modest increases" to core payments will not break "the appalling link between disability and poverty in Ireland.

"The phasing out of previous one-off payments means many of the most vulnerable in our community will be financially worse off, not better."

AsIAm had called for a 10 per cent increase across social welfare payments, at an estimated cost of €2.09 billion, to "allow disabled people to participate with dignity in society.

"The announced increases fall far short of this," Mr Harris said.

When last year's one-off payments are considered, this year's modest weekly increases will not mitigate the overall loss of income for many individuals.

"This financial setback will be felt acutely in the homes of autistic people across Ireland, ensuring the state remains one of the worst-performing EU nations for poverty rates among disabled citizens who are unable to work."

While acknowledging some welcome measures, the organisation warned that the failure to introduce a dedicated Cost of Disability Payment, combined with insufficient increases in core social welfare rates, will result in a net income reduction for many disabled people compared to last year.

AsIAm welcomed the increased investment in Disability Services and supports for disabled students, but awaits further details, which will be clearer in the coming days and weeks.

The charity also welcomed changes to the income disregard threshold for carers as a positive step, but reiterated its call for the complete abolition of means testing for carers by 2027.

"It is an unacceptable reality that 1 in 4 households with a disabled person experiences poverty in Ireland today. This budget was an opportunity to take decisive action on that alarming statistic, an opportunity that has been largely missed."