Oireachtas Joint and Select Committees

Wednesday, 20 March 2013

Joint Oireachtas Committee on Education and Social Protection

Report on Child and Family Income Support: Discussion

1:30 pm

Photo of Brendan  RyanBrendan Ryan (Dublin North, Labour) | Oireachtas source

I thank Ms Mangan and her team for the report and her presentation. I wish to comment on the model presented as part of the report and the upper income threshold of €25,000. I accept Ms Mangan has stressed that this is an example not a recommendation. The figure is low. I would prefer the income threshold to be set at a higher rate in order to best protect those struggling at this time. The report appears to be confined to that one example and therefore is the only reference point to which people refer. It is important even at this stage to add a supplement to the report and to provide another example at a different rate of perhaps €35,000.

At least there is something other than the €25,000 threshold model to talk about. If it were possible to do this, it would add to the report.

If the two-tier model is to proceed, which is Ms Mangan's preferred model? The annual savings compared to the existing child income support measures would be in the order of €186 million, rising to €193 million as a result of savings in the case of secondary benefits. My position is that such savings arising from reform of the child benefit system should be targeted at the delivery of high quality child care services. The lack of affordable child care services is a major barrier for single parents in returning to the workforce, which is the desired outcome for people considering this issue. Any change to the child benefit structure must not be a simple cost cutting exercise but part of broader reform, including the delivery of affordable child care services. Would Ms Mangan be in favour of savings being targeted at the provision of affordable child care services? One of the members of the advisory group, Ms Mary Murphy, spoke about this matter on television some time ago and it appears that at least some members of the group would be in favour of providing the type of child care service that is essential if we are to get people back to work and avoid the poverty trap.

I will contribute later on other issues if I get an opportunity to do so.

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