Irish families in line for an extra €145 each month as Child Benefit could double
A recommendation has been made to double the Child Benefit payment in an effort to reduce child poverty in Ireland
A new report from the Economic and Social Research Institute (ESRI) reveals that Ireland’s current system of child-related social welfare benefits significantly reduces child income poverty and deprivation, lifting an estimated 157,000 children out of income poverty and 94,000 out of consistent poverty.
The study, published as part of the ESRI’s Budget Perspectives 2026 series, evaluates the impact of existing benefits on child poverty. Benefits such as Child Benefit and Working Families Payment are considered in addition to other benefits such as National Childcare Scheme (NCS) subsidies and free schoolbooks and meals.
Key findings of the study include:
- Accounting for all benefits, the simulated child At Risk of Poverty (AROP) rate for 2025 is 13.9% (165,000 children).
- In the absence of benefits such as Child Benefit, the AROP rate would be 10 percentage points higher.
- In the absence of benefits, such as free preschool and school meals, the AROP rate would be 1.5 percentage points higher.
- Accounting for all child benefits, the simulated child consistent poverty rate is 5.6%. In the absence of these supports the child consistent poverty rate would be 8 percentage points higher, at 13.6%.
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The ESRI is now proposing that a second-tier of means-tested Child Benefit be introduced which would reduce the child AROP rate by 4.6 percentage points, lifting 55,000 children out of income poverty, and consistent poverty by 2.1 percentage points, lifting 25,000 children out of consistent poverty, at an annual cost of approximately €772 million.
The second tier payment would benefit low-income families who would get an extra means tested payment of up €145 every month, on top of the universal Child Benefit payment of €140 that is paid automatically on the first Tuesday of every month.
The child Benefit payment is paid up until the child turns 16, or 18 if the child has a disability or is in full time education or training.
Bertrand Maitre, an author of the report and a Senior Research Officer at the ESRI, said:
“The importance of tackling child poverty is becoming increasingly clear through research that shows the detrimental immediate and long-term effects of suffering childhood disadvantage.”
Karina Doorley, an author of the report and Associate Research Professor at the ESRI, stated:
“Our findings show that child-related benefits are a powerful tool in reducing poverty. Well-targeted reforms to the system of child-related benefits could further improve outcomes for children and families currently experiencing poverty. A second tier of Child Benefit could be a key part of that solution.”