Sources said the increased child benefit plan is to tackle Ireland's birth rate

The Government is considering introducing a top-up child benefit rate for the third and subsequent children.

The aim of the payment is to encourage more births as the fertility rate continues to fall.

The Irish Independent reports that this policy is being looked at to tackle Ireland's birth rate.

A source told the publication:

“Childbirth rates are down in Ireland and globally, so do we look at increasing [Child Benefit] from the third child up?

"We may yet become like Hungary and have incentives to have more children.”

With these budget talks happening, we've seen the government announce many initiatives surrounding child benefits.

Taoiseach Micheál Martin confirmed at the National Economic Dialogue his commitment to addressing child poverty rates in Ireland:

“In the Programme for Government, we said that child poverty is not inevitable.

"And I am determined to turn that commitment into actions that will transform lives.”

“Unfortunately, after years of progress, the most recent figures show an unwelcome increase in persistent child poverty.

“We need to make sure that this increase turns out to be a temporary spike, out of line with the overall trend.

“Therefore, for Budget 2026, I have asked my ministerial colleagues to plan and come forward with measures that will really make a difference to the most vulnerable families and children.

“If we are successful, we will grow societal and economic resilience and support social cohesion,

"And create the context for thriving and vibrant communities.”

Other plans to increase child benefits include proposing a two-tier child benefit system to tackle child poverty.

The ESRI team suggested this scheme to increase the current monthly payment of €140 to €285 for lower-income families.