Marian Harkin (Sligo-Leitrim, Independent) | Oireachtas source

I want to thank Sinn Féin for the motion we have before us this evening and I note we also have an amendment from the Government. The Government's amendment lists all of the supports, both once-off and permanent, that it has put in place, and some of those are significant. I know some people who consider that the supports they have been provided with are a type of safety net. While those people are still stretched, they have noticed the mitigating impact of those supports on a day-to-day and week-to-week basis, and that is why it is crucial for those people that there is no cliff-edge and that those supports remain in place.

The rate of inflation remains high at over 7%, which is on top of the 8% from last year. While it is stabilising slightly, it has not reduced or gone backwards. The lump sum and extra payments the Government put in place are still needed, just to keep people going. One of the reasons we need to continue many of these payments is that the core social welfare rates have not kept pace with inflation and it has not even been close. That means those relying on social welfare payments have fallen further behind with every 0.1% increase in inflation. This is hitting people hard when it comes to the basics, including food and energy inflation. As the Sinn Féin motion tells us, gas bills have increased by around 140% over the last two years, and electricity bills have increased by 115%.

The Government should strongly consider the recommendations on the index-linking of welfare payments put forward by the Irish Human Rights and Equality Commission, IHREC, in a recent report. The priority recommendation in that report is that the should Government adopt welfare indexation across social welfare policy, development and reform as a matter of priority. Crucially, it recommends that qualifying thresholds for supports are adjusted in tandem with indexed welfare payments in order to ensure recipients are not disqualified from the supports they rely on. I understand that this is more of a budgetary matter but when the Government says in its amendment to the motion that it will keep matters "under review", I ask that the indexation of welfare payments would be part of that review.

It is not just those on social welfare payments who are finding it extremely difficult to keep going. It is also difficult for those on fixed payments such as pensions; not social welfare pensions but class D pensions, for example. I have raised this in the House many times. These are people who, through no fault of their own, are on these pensions that are higher than the non-contributory pension but are still quite low. As they are not on a social welfare payment, they are not able to get, for example, a living alone allowance or the fuel allowance. I recognise that the Minister ensured that a couple earning less than €1,000 per week who are over 70 would get the fuel allowance and that is positive. However, it also needs to be extended to those on the working family payment and those whose income is below a certain level. The levels it should put in place for those over 70 should be a benchmark for those under 70.

I strongly support the call from Sinn Féin to ensure that community welfare officers are available in the community to provide urgent supports and in-person appointments. The in-person appointments are important because the role of a community welfare officer is to ensure the welfare of those in the community who need support. One-to-one support is important to establish the level of need, and where appropriate, to provide adequate supports in the form of a supplementary welfare allowance. This is a service that many people relied on and still rely on. It is their plan B or C and it is not working the way it should. If a community welfare officer is needed to ensure the welfare of those most in need in the community, they must be available and they must have sufficient money to ensure urgent supports are provided, which is not happening.

I want to strongly make the case for small businesses, many of which continue to be hammered by exorbitant energy prices. This is true across all sectors. I make a strong plea to the Government not to increase the VAT rate from 9% to 13.5%. The tourism and hospitality sector is in dread of this move, as are hairdressers. Please do not add to inflation by increasing the VAT rate.

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