Budget 2026: a devastating setback for disabled people

The Disability Federation of Ireland (DFI) has said that while it welcomes the €619 million increase in funding for disability services announced in Budget 2026, the Budget overall represents a devastating setback for disabled people unable to work, who will see their incomes fall with the removal of vital social protection supports.  

DFI acknowledged that the new funding will strengthen services, including additional investment in residential and day supports, respite provision, assessments of need for children and extra hours for home support and personal assistance. The organisation also recognised the progress on pay parity for staff working in the sector, describing it as important and overdue. 

However, the organisation said that the majority of disabled people in Ireland do not access these services and will see little benefit from the additional investment. 

“While increased funding for disability services is welcome and long overdue, it will reach only a fraction of the over 1 million disabled people living in Ireland,” said DFI CEO Elaine Teague.

“1 in 5 people unable to work due to disability live in consistent poverty. For them, this Budget means less support and less security. The Government has chosen to highlight big numbers on services while quietly removing the once-off payments that made last year’s Budget bearable for disabled people. That is unacceptable.”  

In its pre-Budget submission, DFI called on the Government to move from words to action by investing in six key areas: a permanent Cost of Disability payment, inclusive housing, children’s services and education, sustainable health and social care, supports for community participation, and adequate resourcing for voluntary disability organisations.

Ms Teague said that this Budget fails to deliver, not only on DFI’s asks, but on the Government’s own promises of a “step change” in supports for disabled people. 

“A precedent was set through the Disability Support Grant over the last three years, and its removal is regressive and shameful.

No permanent Cost of Disability payment has been introduced to replace it, despite promises of targeted measures for disabled people” she said. 

Instead of delivering the promised step change, this Budget leaves disabled people poorer, unsupported, and excluded.”

In Budget 2025, disabled people who were living alone and in receipt of the fuel allowance received a total package of one-off supports valued at €1,404. 

This year, the Government has removed the once-off measures without introducing a permanent Cost of Disability payment in their place (see table 1 below).  

DFI’s Director of Advocacy, Emer Begley said, 

“Just weeks ago, Ireland launched its first ever Human Rights Strategy for Disabled People. Government promised to fund it, but this Budget shows no evidence of follow through.  

Far from a step change, this Budget locks disabled people and their families into another cycle of exclusion.” 

DFI said this Budget is not just a missed opportunity, but a clear failure of leadership. Without urgent change, Ireland will remain in breach of its obligations under the UN Convention on the Rights of Persons with Disabilities (UNCRPD), and disabled people will remain trapped in poverty and exclusion in one of Europe’s wealthiest countries. 

[ENDS] 

Table 1  

In Budget 2025, disabled people who were living alone and in receipt of the fuel allowance received the following one-off supports:  

Summary 

• Disabled people relying on income supports are losing up to €1,264 in once-off payments from Budget 2025. 

• Despite government promises, this year’s Budget did not include any targeted measure for disabled people at risk of poverty.

• For the past three Budgets, Government provided one-off Cost of Disability supports. In Budget 2026, all of these have been removed with nothing to replace them, leaving disabled people facing higher costs and less support.