Dáil debates

Thursday, 9 December 2010

Social Welfare Bill 2010: Second Stage (Resumed)

 

12:00 pm

Photo of Denis NaughtenDenis Naughten (Roscommon-South Leitrim, Fine Gael)

The new trend of Government is to cut the supports of those who cannot work, take away the opportunity for those who want to work and force those on low pay out of employment. The excuse we were given today by the Minister for the cuts made by this Social Welfare Bill is that we do not have an alternative. Cuts to disability allowances and pensions for the blind will be devastating for people with disabilities who already find it difficult to make ends meet on a daily basis. This group of people already suffers from much higher poverty levels than other population groups. They face higher costs of living, particularly for heating, housing and transport. It is completely unfair that the Government has turned a blind eye to those who are literally robbing the State through social welfare fraud, while at the same time it has attacked the payments of the most vulnerable social welfare recipients.

Since 2008, the control division of the Department in Carrick-on-Shannon, which does tremendous work with limited resources, has seen the number of fraud reports from the public increase by 1,100%. While social welfare fraud is estimated at €4,000 per minute, the Government has decided to scale back on its anti-fraud operations in 2011. The original fraud detection target for 2010 was €374 million. The target for 2011 is €207 million less, more than twice what would be saved by robbing payments from carers, people with disability and the blind. We could reinstate the payments to what they were in November of 2009 if we got our act together on the fraud detection targets and replicated the target for 2010. The soft approach to fraud leaves those who cannot work to rely on the Society of St. Vincent de Paul.

This is the case even before the crazy anomalies within the system are addressed. For example, a foreign national does not have to show habitual residence or proven link to Ireland to be eligible for the qualified adult allowance payment of €124.80 per week. We have, for example, Margaret, a full-time carer of her profoundly disabled son who has been told that her respite support is being withdrawn due to the cuts and she is now facing Christmas and social welfare cuts of €2,120.80 in just over a year. At the same time, Armando, who arrived in Ireland after the budget was announced on Tuesday evening, bumped into Mary in the chip shop that night, Mary immediately fell for him and he will be granted his qualified allowance, based on Mary's jobseeker payment, within the next couple of weeks. Yet, we are told by the Minister and the Government that there is no alternative.

On Tuesday evening the Minister circulated a handout in the House explaining the social welfare changes. I would like to acknowledge one section that was highlighted, namely, that supports for people who have been bereaved which would remain unchanged were the widowed parent grant and the bereavement grant. As public representatives, every one of us meets genuine cases of hardship throughout the country every year, where small children are left behind when a mother or father passes away. Someone known to us here in the House is in those circumstances. We would love to do everything we can for that family.

Next year, 800 parents who have lost their spouses will face a 10% cut in the widowed tax credits in order to make a saving of €320,000 to the taxpayer. Ministerial pensions are being cut by 7.7% but these people are taking a 10% cut on their tax reliefs. The Minister claims he has no choice but he could instead punish those who fraudulently take money from the taxpayer. He could have protected the vulnerable by tackling inefficiencies but he decided instead to punish those who cannot speak up for themselves. There is social protection for Ministers' pensions and those who exploit the system but none for carers, people with disabilities, widows or the blind.

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