Oireachtas Joint and Select Committees

Wednesday, 14 September 2022

Committee on Budgetary Oversight

Updated Economic and Fiscal Position in Advance of Budget 2023: Discussion (Resumed)

Photo of Seán CanneySeán Canney (Galway East, Independent) | Oireachtas source

I thank Deputy Boyd Barrett as I must go into the Dáil to speak. First, I wish to compliment both Ministers on the forthright way in which they are dealing with the problems we have. We are not that far away from the budget and there seems to be a hell of a lot of stuff that still has to be resolved and measured out to see where we are going to land on the day of the budget. Budget day is the week after next; it is fast approaching.

In dealing with an economic environment in which we are not so sure where we are going in terms of cost of living and energy security, there are few things I would really ask the Government to ensure. In the event that the Government is thinking of increasing pensions and benefits for older people and those on fixed incomes, the income threshold for benefits like medical cards should also increase in line with this in order that we do not end up giving increases that push people outside of the market where they will perhaps not be able to hold on to a medical card, GP visit card or those kinds of things. Likewise with the fuel allowance and other good supports that are in place, again, it is important that we reflect that the thresholds for people to qualify for these added benefits should also increase alongside the increases we expect will be given in order that we do not rule people out of getting benefits such as fuel allowance. That is very important.

The other very important area in the context of the cost-of-living crisis we have at the moment is the fact that that for people with disabilities, the expense of their disability has been costed. The additional cost of living with a disability without any other supports is up to €10,000 to €12,000 per annum as stated in the Indecon report. No matter what is going on, it is high time that we actually start the process of recognising this by giving people with disabilities the money to deal with the additional cost of living with their disability. It is very important that we start that process. I am not saying the Government can put in €12,000 for every person with a disability in year 1. However, we need to recognise it and start a scheme in order that incrementally over the next five to ten years, we actually do something to support these people with disabilities. Those are two issues with regard to people on fixed incomes.

There is another area about which I have a concern, the magnitude of which is enormous; it is frightening, really. We talk about the cost of doing business and the cost of products increasing. Take the small rural shops and pubs that have fridges and freezers or whatever else. Their energy prices have absolutely gone through the roof. My concern is that we need to give them something like a Covid-19 support now that will give them life support until they get over this energy crisis and things settle down. I have seen it in every shop I have gone into and heard it from every retailer and small business or family business owner to whom I have spoken. They are horrified at the types of energy bills they are getting at the moment. The bills are absolutely frightening. They do not know how they are going to cope throughout the winter. Something we have to take on board as well are the small businesspeople who have no other income. They are trying to make a living and also trying to provide a service within a rural area. We need to do something for them.

In the context of the fact that energy Ministers will make a decision by the end of the month on what will happen, and we are talking about forming a budget, I believe that within the next two months we should have another budgetary intervention by the Government, once it sees what is coming from Europe. It is important that that money and support is given out as quickly as we can give it. It is important that we do not think this budget will be the full stop on all of this. We have to watch the game as it is being played out over the next 12 months and then maybe consider other direct interventions that will be required. I ask for comment on that.

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