Dáil debates

Thursday, 27 October 2005

3:00 pm

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)

The Deputy has made a good argument for re-examining the fuel allowance given that it has not been touched for many years and in light of recent fuel price increases. I will examine that closely in the context of the forthcoming budget and the subsequent social welfare legislation. There has been a windfall to the Exchequer from VAT and excise duty arising from fuel price increases, but the Department of Finance will always say that is revenue accruing to the State which must be argued for by all Ministers. It is not necessarily earmarked for or assigned to any one area. It is additional income for the Exchequer, but the Exchequer always has additional outgoings.

Fuel allowances were not increased in recent years, principally because successive Ministers decided it would be better to put the money into the main social welfare rate. The latter is paid over 52 weeks while the fuel allowance is seasonal. By increasing the main rate substantially in recent years, people have been left some control through the overall increase in their general income. That policy was accepted by everybody until the recent large upsurge in fuel prices which has forced us to reconsider the matter.

As regards the issue of sheltered accommodation, it was through no act on my part other than that the system itself clicked into place. I have sent for the files on this matter. Some 237 people are affected——

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