Johnny Brady (Meath, Fianna Fail)

——supporting carers through increased incomes and supports, increasing the status and incomes of women pensioners and enhancing the incomes of older people.

The Minister has often expressed his concern about child poverty, which I welcome. I also welcome that he is acting on his concern. Specific reform measures, backed up by substantial budget investments, include combining three levels of child dependant allowances payments into a new single high rate qualified child allowance of €22 per week, in addition to the child benefit increase of €10, for more than 340,000 children of welfare families. A second tier of payment for children in low income and welfare families could be a very effective method of tackling child poverty. This improved and targeted child dependant allowance represents a substantial move in that direction and this is why the budget is focusing on increased child supports in this area.

Increasing the income threshold for family income supplement by up to €185 per week will add from €9 to €111 to the weekly income of families that receive support for employees on low income with children. A 50% increase in the back to school clothing and footwear allowance will increase the lower rate for children aged two to 11 years by €60 to €180, and the high rate for children aged 12 to 22 years by €95 to €285. An estimated 172,000 children will benefit from the allowance in 2006. Raising the allocation for the school meals scheme by €3 million to more than €16 million will allow for an expansion in the number of schools participating. Undoubtedly, the Government is acting to help the worse off.

As for carers, I am delighted by the introduction for the first time of an entitlement to retain a full social welfare payment, which abolishes the rule that forbids two welfare payments, and in addition to receive up to a half-rate carers allowance. This is a real recognition of older people's caring duties. Under this new dual payment system, the Government will start to recognise the carers allowance as a support for caring duties, rather than as a welfare payment. I congratulate the Minister for Social and Family Affairs, Deputy Brennan, on this reform. It is an important step forward and I welcome his determination to press ahead with other needed reforms in the caring area. Other excellent social welfare measures in the budget include an increase in the respite care grant by €300 to €1,500. This will benefit almost 40,000 carers.

My constituents in Kells and Oldcastle, or the new areas of north Westmeath such as Castlepollard, Delvin, Collinstown, Fore, Clonmellon or Drumcree, have complimented the Minister fully. I again compliment him on his actions.

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