Mary Hanafin (Dún Laoghaire, Fianna Fail)

I propose to take Questions Nos. 69 and 90 together.

The Money Advice and Budgeting Service, MABS, is the main Government-funded service that assists those who are overly indebted and need help and advice to cope with their debt problems. The role of money advisers is to help clients to assess their financial situations, make budget plans and deal with their creditors. MABS is dealing with increasingly complex debt situations in respect of clients who are presenting with multiple creditors and debts. It is important for people who are coping with debt difficulties to take early action and to approach MABS for help and guidance. This can be the first positive step for people in addressing debt difficulties. Some 52 independent MABS companies operate local MABS services from 65 locations throughout the country, with national support provided by MABS National Development Limited. The MABS national telephone line is available from 9 a.m. to 8 p.m., Monday to Friday. The MABS website can be accessed 24 hours a day at www.mabs.ie. In 2008, more than 16,600 clients approached the MABS for assistance with debt difficulties and the telephone helpline dealt with almost 11,000 callers. By the end of October 2009, some 16,300 clients had been seen by MABS staff to date this year. The MABS helpline had received some 20,800 calls in the same period. Funding of €18 million has been provided to enable MABS to deliver its services in 2009. An additional 19 staff are being recruited, which will bring the number of MABS staff to 271. Six new staff are already in place and the remainder will be appointed by early December.

The capacity of the LoCall telephone helpline has also been strengthened and MABS NDL, the national support company, has introduced a number of community education initiatives. For example, one initiative involves a money management education programme for people facing redundancy to inform them about managing on a reduced income and how to avoid getting into debt.

All MABS companies operate an appointment system for clients. Clients with urgent difficulties are prioritised for attention and are dealt with promptly. Less urgent cases are referred to the MABS helpline and to the MABS website in the first instance. More than 90% of callers to the helpline find that their money management and budgeting issues can be resolved with the assistance of the helpline advisor. Some 10% of callers are referred to the local MABS for assistance.

From first point of contact to first appointment with a money advisor the average waiting time is currently 4.5 weeks. This is the average nationally and there are fluctuations between offices. During the waiting period, clients are assessed and those in need of immediate assistance are given a priority appointment, others are provided with assisted self-help to ensure that they have taken steps to assess their situation and if appropriate they are supported to take holding action with their creditors.

I am satisfied that MABS provides a high quality personal money advice and budgeting service to members of the public who may have difficulty in coping with the burden of indebtedness and the additional resources provided will assist them meet the demand for their services.

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