Dáil debates

Wednesday, 16 October 2013

Financial Resolutions 2014 - Financial Resolution No. 8: General (Resumed)

 

7:20 pm

Photo of Róisín ShortallRóisín Shortall (Dublin North West, Independent) | Oireachtas source

We all know how fond the Taoiseach was of the famous five-point plan he announced before the last general election. This time he and his Government colleagues have surpassed themselves. They have come up with a ten-point plan which is specifically targeted at older people. Cumulatively, it will result in older people who are already under severe pressure being hammered by the impact of this budget.

The long list is there for all to see. The removal of the telephone allowance is a really mean-spirited cut, withdrawing what is a life line for many elderly people, especially very old people who, through disability or age, are house bound. They very much depend on their telephones to keep in touch with the outside world and with their families, as well as for security reasons. This is a horrible cut that will affect many people on very low incomes.

The pension levy is a very sneaky one that was originally introduced in 2011 and we were told at that time that it would finish next year. However, it was announced yesterday that the levy will increase next year and part of it will continue into 2015. That pension levy has already taken €2 billion out of pension funds from an estimated total of €80 billion. That translates into real cuts for people who are often on very small occupational pensions. Again, this is about the bailout of the banks and the transfer of the cost of that bailout onto the shoulders of the poorest people in this country.

The changes to DIRT will also hit older people, many of whom have a small amount of money put aside to leave to their loved ones or to pay for their funerals when they die. People with savings and who are over the very meagre limit in place at the moment will now find themselves not paying 33% but 41% in DIRT. That is of grave concern to many older people. As Deputy Broughan has said, we are getting a lot of feedback on that issue from our constituents.

The abolition of the bereavement grant is another miserable cut. When people are at their worst and their lowest, the Government is taking away what small help there was available. The property charge, of course, particularly affects older people because their incomes are lower but they may be living in a house that is subject to a considerable property tax. The doubling of the charge this year will impose an enormous burden on people.

The change to the invalidity pension for those over 66 was hidden in the small print of this budget. In some circumstances, an invalidity pension recipient approaching retirement age and claiming for an older spouse stands to lose more than €100 per week. That is indefensible. The increase in prescription charges will hit the poorest and the elderly. As Eamon Timmins of Age Action Ireland pointed out yesterday, this is a charge which quite literally targets the sickest and the poorest. I wonder if those who were crowing yesterday about this budget are proud of that. Are they proud that they are hitting the sickest and the poorest?

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