While the budget promises to be austere in France, it is quite the opposite in Ireland. The country is taking full advantage of its low corporate taxes, and Apple has been ordered to pay 13 million euros in arrears.

Ireland's budget voted on Tuesday 8 October 2024 will make any European country green with envy. If the public accounts already showed a surplus of 10 billion euros in 2023, this surplus soared this year: the Court of Justice of the European Union ordered the giant Apple to pay 13 million euros in back taxes to Ireland. Overall, the country generates €23.7 billion in 2024, which equates to a surplus of 4.7% of GDP.

If Ireland collects profits, it is more than an attractive tax rate. Until recently, it was set at 12.5% ​​for companies, which was raised to 15% under European pressure. The country benefits from having all the big names in technology on its soil.

For the 2025 budget, the government has decided to redistribute this money, a shower of gifts for households. An increase in family allowances has also been agreed, amid a minimum wage hike, income tax cuts and lower energy prices.

These massive incentives are – obviously – enough to increase the popularity of the centrist coalition in power. Irish Prime Minister Simon Harris has also been accused by the opposition of buying the next election.

David Romelli, professor of economics at Trinity University in Dublin, agrees. “For example, they will distribute 250 Euro for each person with electricity bill, He explains. In my view, this is quite a tax gift. As a citizen, I tell myself that if the government gives me more money at the end of the month, I will be happy. But as an economist, I think this money should be invested elsewhere. There it is used to get more votes.

While Ireland is due to hold elections by March 2025, it is rumored to be held as early as November 2024.