Some 66% of Irish people would support an unemployment benefit based on an individual’s previous income, according to a Taxback survey. 

Ahead of growing expectations that today’s Budget will introduce pay-related unemployment benefit, the survey found two-thirds of Irish people would be in favour of such a benefit. 

Some 39% of people said they would support pay-related benefits because those who previously held higher income jobs paid more tax. 

A further 27% said they would support the introduction of such a benefit, but only for a limited period of time. 

The final 24% said unemployment benefit should be the same for everyone regardless of previous income. 

'Higher mortgage repayments'

Consumer Tax Manager Marian Ryan said the current unemployment benefit of €220 is a “real struggle” for people who previously earned high incomes. 

“While it is important that the Government takes an equitable and fair approach with all taxpayers, it must be acknowledged that middle – higher earners who are out of work could be more likely to run into financial difficulty as they may have to meet higher mortgage repayments and other overheads,” she said. 

“The Government has previously suggested that unemployment benefit be linked to previous income and recent reports suggest that it is about to announce graduated payments for the unemployed in the Budget. 

“While there’s definite merit in this, it’s a tricky one for the Government to navigate as it is so important to be seen to be putting in measures that will help everyone in society – and not favour one group over another.” 

It has been predicted there will be a €12 increase in core welfare payments for pensioners, carers, disability allowance and jobseekers in Budget 2024.