Ms Caroline Fahey:

Regarding FIS, I think Ms Rita Mangan's point was that one must not be any worse off in a job than on social welfare. We would say that one must be better off in a job than one is on social welfare. There is a range of costs associated with going to work, not least of which is child care. Costs also include food and transport. It is not good enough to give people the same support whether they are in work or out of it as that fails to recognise the extra costs they face. FIS rewards work and does not merely ensure that one is no worse off if one is working. Working might not be a hugely enticing prospect to somebody who is considering leaving two children with a childminder to go and stack shelves in Tesco for the day. People must be able to feel that their family will be better off as a result.

It is becoming clear that with the changes to the one-parent family payment, FIS will help some of those lone parents who are in work to make the transition when their child turns seven. It is a really important payment to keep in the system from that point of view to assist lone parents, who have the highest rate of poverty, to keep the jobs which make a huge difference to their families.