As budget talks continue into the weekend, a cut of 1pc to USC and a €250 energy credit are to be included in Budget 2025.
A tax on vapes was first flagged by former Finance Minister Michael McGrath in his budget speech last year.
Speaking a press briefing ahead of the publication of the white paper which will set out the public finances ahead of any new budget measures, Minister Chambers said important work on the vape tax has been ongoing.
“It is my intention to try and advance that through the budget process. There’s been extensive work ongoing between my own department and the revenue commissioners on how that can be commenced at a retail level. So I’ll be able to set out details of that hopefully, on budget day,” Minister Chambers said.
While he would not confirm the system by which the tax would be imposed, he said the advancement of the proposals were in the interest of public health.
The minister said while there will be a cost of living package in the upcoming budget, Mr Chambers said it would not be the same size as the package brought forward last year.
“I don’t anticipate it to be at the same scale as last year. Inflation is at just over 1pc but we know that there is still significant impact on prices from the underlying inflation that was in our economy,” Minister Chambers said.
“And in fact, it has moderated which means prices aren’t continuing to rise, but there’s still high prices in our economy, which we have to reflect upon,” he added.
Meanwhile it is understood that over €100m will go towards retaining the reduced fares on public transport in Budget 2025.
The reduced fares were first introduced during the covid pandemic and were kept during the cost of living crisis.
Last night the final touches were being put on the measure, which are now expected to become part of core spending which will mean the price reductions will become permanent.
With new Project Director Sean Sweeney on board to head up MetroLink, €1m will be allocated towards the project in the upcoming budget.
Earlier this year it was revealed that Mr Sweeney, who is from New Zealand, will receive a salary of €550,000 a year to lead the project.
Also it is expected that there will be significant increases in funding to speed up the processing of international protection cases and to expand the prison capacity.
Justice Minister Helen McEntee is understood to have secured a step change in funding for the justice sector which will also see funding targeted at tackling domestic, sexual and gender based violence.
Others areas within the ministers portfolio set for increases include areas of Garda recruitment and equipment for public order.
In the area of education, it is expected that the free schoolbook scheme will be extended to senior cycle.
The measure has been a key priority for Education Minister Norma Foley, who is also pushing for an additional 1,500 SNAs.
