Tony McLoughlin (Sligo-North Leitrim, Fine Gael)

The Department of Social Protection is one of the most expensive Departments in terms of spending. The costs for 2012 will amount to €20.5 billion. Spending on social welfare has more than doubled in the past decade while the number of weekly welfare payment recipients has increased by the order of one and a half. In 2000, social welfare cost €8 for every €100 generated by the country. By 2010, this had rocketed by 100% to €16.70 for every €100 generated. During the same period, the number of people in receipt of weekly welfare payments, who account for the bulk of the social welfare budget, increased from somewhat more than 900,000 to almost 1.38 million, a rise of 52%. The number of one-parent family payment recipients has risen by 25% during the past decade. The figure stood at 90,307 on 31 December 2011. The cost of the scheme is estimated to be €1.06 billion for 2012.

Considering these sobering facts about the costs of social welfare, any related Bill before the House must deal with reform. The Minister has set out such measures within the Bill and this is paramount. For certain applicants from 3 May 2012, the maximum age limit for the youngest child for receipt of the one-parent family payment will reduce to 12 years of age. The limit will reduce further to ten years in 2013 and to seven years in 2014. There will be no changes for existing customers in 2013, after which revised phase-out arrangements will come into effect. The Bill continues the special provision for recently bereaved lone parents to receive the payment for a period of up to two years. Where domiciliary care allowance is being paid in respect of a child with a disability, the one-parent family payment will remain until the youngest child reaches 16 years of age.

Until 2011, the one-parent family payment provided long-term family support until children were 18 years of age, or 22 years in the case of those in full-time education to lone parents, without any requirement for them to engage in employment, education or training. Legislation came into effect in April 2011 to reduce the maximum age limit of the youngest child for receipt of the one-parent family payment. The changes announced in the 2012 Budget Statement and contained in the Bill continue the reforms of the one-parent family payment.

I understand the Minister stated last night that she would consider the area of child care in respect of these measures and I welcome this. Consultation between Departments can ensure the relevant child care measures are in place to ensure lone parents can be supported if they are required to attend college, training or work. Section 3 provides for an increase in the minimum number of paid PRSI contributions required to be eligible from 260 paid contributions to 520 paid contributions.

Debate adjourned.

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