Joan Burton (Dublin West, Labour)

Child benefit and other such supports are paid as direct payments to parents. In many EU member states, similar direct payments are far lower, some at even less than €20 a month, because of a lower cost of living or that child care and preschool education is provided by the State rather than through a direct payment to the parent. If a worker here has a child resident in another country, the question arises as to whether there should be some reflection of the cost of living in the payments that child receives from the State. Our EU partners are telling us through the Troika and the International Monetary Fund to achieve value for money in social welfare spending. This is important when considering the spend on child benefit which is significant to families and children, particularly at this time of mass unemployment. The payments should be spent on children in this country as far as is possible.

In 2007, the amount paid in respect of children resident in other EU countries was €4.7 million but by 2008 it had risen to €20.9 million. In 2009, it was reduced to €19 million and to €15.4 million in 2010. This was largely due to immigrants returning to their home countries and the expiry of entitlements.

It is appropriate to examine this spending area in conjunction with our EU partners. Many of them spend money directly on preschool and child care facilities. It must be remembered that the focus of the child benefit payment is primarily the child and the child in their family or other setting in which they are. The provision of subsidised or free child care through the State or local authority would be an enormous benefit, particularly when people are already spending up to €200 a week on child care. I think it appropriate to discuss this. It is important to do so and to discuss the matter with our European partners. Child benefit is particularly important to mothers and women. We do not want to undermine the principle of the payment of universal benefits but it is appropriate to seek that the payment is made to children resident in this country.

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