The pressure on families across Ireland has been on the rise in line with the increased cost of living.
The government has been in talks all day trying to finalise a package to provide support to those who need it.
Everything that was confirmed on Thursday evening will come as a major relief to thousands of households.
Minister for Finance Paschal Donohoe and Minister for Public Expenditure and Reform Michael McGrath made the announcement at a press conference.
Minister Donohoe said: “The rate of inflation that we have seen in the past few months has exceeded our expectations, mainly because of higher energy prices.
"While we expect the inflation rate to moderate from the second quarter of this year, it is nonetheless appropriate to respond to the increase in prices and today we are doing this.
“When taken in conjunction with the measures announced already, the Government package amounts to €505 million, a significant change.”
So from working parents, to energy bills and public transport, here’s everything you need to know about the incoming changes and what it means for the average Irish person.
Energy bills
As part of the €500million cost of living package, the government will give every home in the country €200 off energy bills next month.
The reduction was originally meant to be €100 in credit, however a lot of backlash led ministers to increase the offering.
Public transport
Public transport costs in Ireland will be reduced by 20% as another form of easing the increased cost of living.
It is understood that this will be seen across all age groups and forms of transport nationwide.
Drug Payment Scheme
Ministers have also decided to decrease the Drug Payment Scheme’s contribution to €80 temporarily.
Prior to these changes applicants paid a maximum of €100 in a calendar month for approved prescribed drugs and medicines, and certain appliances, for use by yourself and your family in that month.
Fuel Allowance
In order to help older people in Ireland, as well as families struggling to meet utility bill costs, an additional sum of €125 will be given to each Fuel Allowance recipient.
You can get the Fuel Allowance if you are getting a long-term social welfare payment and you are unable to provide for your heating needs from your own resources.
School Transport
The school transport scheme provides transport for children who live 3.2 km or more from their local primary school.
There had been a charge of €100 per year for each eligible child, with a maximum of €220 for each family who only uses the primary school transport scheme.
Then, for families who also have eligible children using the post-primary transport scheme, a maximum of €650 per family per year will be charged.
After this evening’s announcement, a reduction in the family cap was brought in at €150 per family at primary level and €500 per family at post-primary level.
Family Working Payment
The Working Family Payment is a weekly tax-free payment for employees with children.
It supports people who are on low pay, and after this evening’s announcement, will be open to more families.
Government has decided to increase the income threshold by €10.
