Séamus Brennan (Dublin South, Fianna Fail)

Since 1997, with the first national anti-poverty strategy, the Government has adopted a strategic approach to reduce and eliminate poverty. The need for a strategic approach reflects the complex nature of poverty which is multi-faceted in its causes and effects, and, as a consequence, requires a multi-policy response.

It has been a priority of successive governments to reduce and, if possible, eliminate basic poverty. To measure progress in achieving this objective, the consistent poverty indicator was devised by the ESRI. The numbers experiencing consistent poverty is calculated by identifying, from among those at risk of poverty, those deprived of at least one good or service considered essential for a basic standard of living in Ireland today. The data for this indicator are obtained from the EU Survey on Income and Living Conditions, EU-SILC.

The survey in 2003 showed a significant reduction in the consistent poverty rate, from 8.8% in 2003 to 6.8% in 2004 continuing a downward trend over the period since 1997. The low levels of unemployment and the substantial resources devoted to social welfare and other social services, which have been increasing in real terms, are bringing about this downward trend. Analysis suggests that 250,000 people, including 100,000 children, have been lifted out of deprivation and hardship since 1997 as a result of the concentrated and targeted measures and supports.

The Government is committed to continuing these policies. It is simply not possible to say with confidence, however, especially in light of methodological and measurement issues, when the policies will result in consistent poverty being fully eliminated. The level of consistent poverty will continue to be measured under EU-SILC which will enable us to monitor the progress being made and to apply extra resources and revised policies to meet the overall goal.

The "at risk of poverty" indicator is one of the common indicators agreed at EU level. It measures the numbers with incomes below 60% of median income for the whole population. Paradoxically, the numbers below this "at risk of poverty" threshold have increased in recent years despite the significant improvement in real terms of incomes across the board. This has been due to the major increase in the incomes of the population as a whole, arising from more and better employment and lower tax levels. Other key factors are the major reduction in unemployment and increased employment participation.

Additional information not given on the floor of the House.

Those most at risk of poverty are families with children, particularly lone parents and larger families, people with disabilities and older persons living alone. A key policy objective is to remove barriers to employment for those capable of employment and provide the supports they need to obtain employment, such as education, training and child care. A discussion paper on ways of meeting these challenges for lone parents and other low-income families with children is being considered.

A decrease in the "at risk of poverty" rate from 19.7% in 2003 to 19.4% in 2004 was recorded by EU-SILC and shows that existing policies are beginning to have an effect on this indicator. Given the dependence of this indicator on the movement of incomes generally and their volatility over recent years, it is difficult to set targets for a reduction in numbers classified as at risk of poverty under this measure, or state when poverty classified in this way will be eliminated.

The main purpose of indicators is to identify clearly those who are most deprived and vulnerable in society and the progress being made in improving their position. These issues are currently being addressed in the preparation of the next national action plan against poverty and social exclusion, being co-ordinated by the office for social inclusion in my Department, which is due to be finalised by September.

I am confident that, through the targeted measures being taken by the Government and the initiatives being planned, a decisive and lasting impact will be made in the eradication of poverty.

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