Seán Crowe (Dublin South West, Sinn Fein)

In the weeks leading up to the budget Government Ministers have been responsible - this is what journalists have told us - for leaking a constant flow of rumour and speculation about what the budget may contain. The steady drip-drip of possibilities and rumour appears to be designed to instil fear. It appears the warped thinking behind them has calculated that the leaks will somehow soften the blow when the cuts are announced. I do not understand the psychology of those who are behind the leaks.

In the past month, the media have published stories about the annual €50 charge to medical card holders, a possible 2% increase in the top rate of VAT, an €8 cut in unemployment assistance, the reintroduction of third level fees and the introduction of water charges and a household charge of €100. These leaks have fuelled increasing anxiety among many people who are already at their wits' end and terrified by what is coming down the tracks. It now appears that an essential benefit paid to the primary carer, usually the mother, is to be cut. The majority of parents use this benefit to pay for essential items such as school uniforms, school books, new shoes, heating and electricity bills or household rent. The leakers suggest the payment will be reduced by €10 per child per month. While this figure may not appear to be a large amount to many Members of the House, it can make a hell of a difference to low and middle income families, especially if one or both parents have lost their job, spent their savings and are struggling to find employment.

The saying goes that what we experience in childhood shapes us as adults. I grew up in Dublin when there was not a great deal of wealth, poor housing was plentiful, transport links were poor, work was scarce and poverty and hunger were not far from the door of many families. I thought we had moved on as a society. It is of vital importance that any cost-cutting measures implemented in next week's budget are not targeted at children. Organisations such as Barnardos estimate that 91,000 children live in consistent poverty and the figure is likely to rise significantly in the years to come. As elected representatives, we have all called to houses where one can smell poverty on the children of the household. This is an indictment of society. If children are our future, it is unacceptable to cut the limited financial support available to them and their families. To do so will only make matters worse and result in more children becoming marginalised, excluded from opportunities and unable to break the dark cycle of intergenerational poverty.

Child benefit is a universal payment. It is a direct means of assisting low income families which offers a type of social protection that has a proven track record in many countries, especially during prolonged recession. In 2005, the rate of consistent poverty stood at 11%. Increases to child benefit helped reduce this figure to 6% in 2008. Regrettably, however, this trend is being reversed. A €10 cut in child benefit would be another serious blow to low and middle income families who are already bearing the brunt of job losses, wage cuts and rising prices even for the most basic items.

Poverty affects every aspect of a child's upbringing. It has both short-term and long-term consequences on their health and education and can cripple life chances. Consistent poverty means thousands of children are living in households where the income is below 60% of the national average, with many facing significant levels of deprivation. These are glaring facts, as the figures show. Consistent poverty can mean going lengthy periods without a substantial meal or being left cold at home because parents are unable to afford the price of heating oil or electricity.

In recent years, a number of significant cuts have been made. These have increased pressure for welfare payments and mortgage supplements and disrupted homes affected by unemployment and an inability to afford education related costs. Unemployment has increased from 4% to 14%, with children in workless households suffering most. It has also resulted in an inability of parents to afford child related costs, especially those with high educational costs.

We are often told education is a right, not a privilege. There is no doubt school can provide pathways which can greatly improve a child's future. I agree with the sentiment expressed by a Labour Party Deputy prior to this year's general election: "First and foremost, we believe that our children should not be made to pay for the current economic crisis, and for this reason Labour will not cut child benefit, particularly in the wake of recent budgets in which family incomes have already taken a substantial hit." I want to know whether the Labour Party will honour that commitment in government, as enough is enough. Families cannot take any more. Poverty demeans us all. Collectively, we need to wage a war against it.

See this speech in context