Enda Kenny (Mayo, Fine Gael)

Yesterday, I asked the Taoiseach about the Government's plans regarding child benefit as part of the social welfare package and he replied that all elements of Government expenditure were being considered in the budgetary analysis with the Budget Statement less than four weeks away. I pointed out to him that 600,000 families draw child benefit on behalf of more than 1.1 million children and I recognised that adjustments and savings have to be made in the social welfare area as well as other areas, given the disastrous economic circumstances into which we have been led by the Government.

However, I also recognise it is possible to achieve the savings without having to resort to cutting child benefit. What is happening in this regard, without clarity from the Government, is that hundreds of thousands of families who have been driven into negative equity, who may have suffered one or two job losses and who are faced with increased school transport charges and third level registration fees, reduced tax allowances for medical expenses and a range of other income levies have to face planning their budget for the next year with the possibility of a child benefit cut.

While I recognise social welfare must make a contribution, I have examined this issue and I repeat that, in so far as Fine Gael is concerned, it is possible to achieve the savings without having to resort to cutting child benefit. Today's Irish Independent carries a detailed set of proposals as part of what appears to be a secret plan by Government to cut the rates of child benefit. In respect of the Taoiseach's remark yesterday that social welfare is to be considered as part of the Government strategy for cuts, will he clarify if it is the Government's intention to cut child benefit?

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