Séamus Brennan (Dublin South, Fianna Fail)

Limits are adjusted from time to time, often in the budget. I will keep these income limits under review. However, it is a battle of choices where sometimes we need to increase rates rather than move limits. It is often a trade-off. I have given the Deputy the overall increase in welfare expenditure. This year we have tried to target it at increasing the rates rather than moving the limit. I take the Deputy's argument that one has to continue working on both issues.

I am aware the income level of single parents who take up community employment places exceeds the €317.43 weekly income limit. However, this does not exclude them from receipt of rent or mortgage interest supplement as they have the option of being assessed under standard supplementary welfare rules.

A lone parent can retain the one parent family payment in addition to receiving the community employment payment. That puts him or her in a more favourable position than an unemployed person whose community employment wage replaces his or her social welfare payment. I am conscious of the effect of these thresholds in getting people back into employment.

I saw the figure of €850 million in a recent newspaper article. The Department is not sending back money as such. The reason it did not spend what it was budgeted for is that unemployment was not as high as estimated. In that sense, it is good news rather than bad news.

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