Inside ‘the weirdest budget ever’: Climate bust-ups, a mortgage surprise and the Stephen Donnelly saga

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Government insiders fear ‘flat’ Budget 2024 will not move the dial as internal tensions within the Coalition rise

The weekend before the budget was announced, word went around Ministers that they were being lowballed by the finance Ministers, Michael McGrath and Paschal Donohoe. Photograph: Gareth Chaney/Collins Photosdemands, they were led to a circular table in front of a sash window on which 22 bobbleheads were carefully laid out.

Everyone from secretary generals to advisers have vented their frustrations in recent days at the get-tough attitude they say they encountered behind closed doors. Those close to both Donohoe and McGrath, Minister for Finance, say Ministers shouldn’t be surprised: if they had given everyone what they wanted, the budget would have been four times bigger.“You have to be seen to be cutting your cloth to measure. But there was not a lot of evidence of that,” a Coalition figure said.

This is understood to have angered Donnelly, who made it clear in talks that there was an understanding in place since late last year that significant extra cash would be required in 2023 because of inflation and pent-up demand. The idea being put forward that Donnelly did not have a savings plan, either, is described as “totally false” by those close to him.

Despite the tension in the room, the talks ended professionally, although they went down to the wire. Varadkar told them 10 positive things they could expect from the budget, from tax to childcare to business supports. There was no mention of housing or health. The junior Coalition party this week trumpeted a number of measures as being evidence of a vital Green influence in Government.

 

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Climate bust-ups, a mortgage surprise and the Stephen Donnelly saga: inside ‘the weirdest budget ever’Government insiders fear ‘flat’ Budget 2024 will not move the dial as internal tensions within the Coalition rise
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