John Curran (Dublin Mid West, Fianna Fail)

I am pleased to speak on the Social Welfare and Pensions Bill 2005 this afternoon, which implements many of the measures announced in this year's budget. The total package is worth €870 million, a very significant amount. That brings the projected level of social welfare expenditure for the year to over €12.25 billion, an increase of €1 billion, or 9%, on the previous year. With inflation at approximately 2%, an increase of 9% represents a real increase for recipients and must be viewed in that light.

I compliment the Minister for Social and Family Affairs, Deputy Brennan, who is present this afternoon. Obviously, in the run-up to any budget, there are competing interests, and the Minister certainly engaged with various interest groups, his Cabinet colleagues and the Fianna Fáil parliamentary party. We had numerous discussions on this area. It was as a result of his clear understanding and the areas that he prioritised that the increased funding in the budget was realised in the measures contained in this Bill.

On average, almost 1 million people receive a weekly social welfare payment. Another way of looking at it is that almost 1.5 million people, including dependants, benefit from such payments. Earlier I listened to several speakers, including, not so long ago, Deputy Boyle, who briefly referred to child benefit, saying that if it were increased more it might help subsidise crèche payments. He also said he would like to see increased payments for carers. There is not a Member in this House who disagrees. We can go through every single social welfare payment, and every Member will agree with increased expenditure. However, that is the luxury of opposition — to highlight aspirations.

The difference on this side of the House is that those aspirations must be delivered, something that happens in this Bill. There is also a cost involved. It is very easy for people to stand up and say that they would like to increase X, Y or Z. We have provided for increases in this Bill, but in a balanced manner, while at the same time providing funding for other areas in the budget.

I would like to deal with several specific provisions in the Bill, the first being child benefit, which has increased significantly in recent years. Previously, it could not have been said to have made up a meaningful payment to families, but now it can. In the Bill, the increase for the first and second child is €10 per month, from €131.60 to €141.60. For the third child and subsequent children, the increase is €12 per month, from €165.30 to €177.30. Those increases are real and substantial. For example, for a family with three children, the total monthly payment is now just under €450. I have often heard commentators and others suggest that the incomes of those in receipt of child benefit should be capped and so on. A person's income is not the significant figure. What is often more important is the disposable income available to that family.

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