Heather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

I made the point earlier that I do not like including commitments to produce reports in primary legislation. This is complex legislation. As the Deputy knows, the work of the Vincentian MESL Research Centre is paid for by my Department. It provides an assessment of the income needed to participate in everyday life.

The work of the MESL also highlights the issues that may be better solved by greater access to services rather than increases in income. It looks at the whole thing. In this regard, as we all know, having access to secondary benefits, such as medical cards and supports in the areas of housing and childcare, can result in significant reductions in the minimum income standards needed by households, which presents another difficulty in using the MESL as a benchmark for the level of social welfare payments alone. The work of the Vincentian MESL Research Centre at the Society of St. Vincent de Paul is and will continue to be a valuable input into our policy-making process.

On an annual basis, my Department already assesses the social impact of the annual budget process, including in recent years the impact of once-off measures. I commit that we will publish a detailed social impact assessment of budget 2024, including the main tax and welfare measures, using the ESRI’s SWITCH microsimulation model by quarter 1 of 2024.

The Department also has three-year joint research programme on poverty and social inclusion with the ESRI. As part of this programme, the ESRI is currently working on a technical paper examining the relationship between the MESL income standards and the CSO’s at-risk-of-poverty thresholds. This will be published in 2024 and will further add to the evidence base on the relationship between MESL and poverty thresholds.

In terms of the core increases this year, we will have to look at it in the round because we had the weekly increases and then the lump-sum payments. The €12 increase in the core weekly payments will take effect from January. Over the last two budgets alone, we have increased the weekly payments by €24. In recent years, a €3 increase or maybe no increase at all was the norm. Therefore, a €24 increase over the last two years has been substantial. Then, for example, we can add in the lump sum. I have worked out that for old-age pensioners who live alone and get the funeral allowance; the €200 living alone lump sum, which they get this week; the €300 fuel allowance lump sum, which they got last week; a double payment at Christmas; a double payment in January; and, on top of that, the €12 increase in their weekly payment, there is an extra €1,710 per annum when all that is added up. That works out roughly at €32 extra per week when the whole lot is put together. If we do the same for the carers, we will see they will have about an extra €30 per week. That figure for carers could be much higher if they have children because they will get the €100 qualified child lump-sum payment and double child benefit. As I said, we will continue to look at it, but I give the Deputy the commitment that we will publish the detailed social impact assessment of the budget in 2024. We will continue to support the Vincentian MESL Research Centre in the Society of St. Vincent de Paul. It is an important document. We take that on board when we are devising our budget every year.