John Paul Phelan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

I echo the sentiments of the immediately previous speakers on the measures contained in the Social Welfare Bill. The Bill is an annual event to give effect to the changes in social welfare announced on budget day. This year is the first time in five or six years that we have seen not alone significant increases in existing schemes and payments but also the introduction of a couple of new changes. That is reflective of the fact that the country is in a better place economically than it has been for the past five or six years, especially now that the pressures on the social welfare budget have eased with a quicker than expected reduction in the number on the live register. I do not like taking exception with Deputy Tom Fleming, but he spoke about the unemployment rate being 13%. It was announced last week that the unemployment rate is now down to 11%, from a height of 15.4% at its highest point, which is a significant reduction. Obviously, there are still far too many out of work but the unemployment rate has moved significantly in the right direction continuously for more than two years. In fact, each month, for as many months as I can remember, there has been a reduction of 0.1% in the number on the live register. That is reflected partly in the social welfare measures announced in the budget in that there was some more freedom for the Minister for Social Protection to make some changes.

In that regard, I also welcome the increases in the living alone allowance, the partial reintroduction of the Christmas bonus of one quarter and the changes, mentioned previously, to JobsPlus and the school meals programme. I also welcome that the Minister, on budget day, was in a position to announce a €100 subsidy for those in receipt of the household benefits package and who would be in most difficulty upon the introduction of water charges.

The Minister's announcement in this budget with regard to the new back-to-work family dividend highlights a problem that many of us would have come across, in particular in recent years, namely, that the unemployed are often disincentivised to go back to work because in doing so, they lose some of the ancillary benefits that the unemployed enjoy. This new measure is to be greatly welcomed as well.

I find myself in the unusual position of agreeing with some of the previous Opposition speakers on the housing issue. I welcome very much that the budget contained a €2 billion announcement in relation to the construction of local authority housing throughout the country over the next number of years. The fact is local authorities have not been in the business of building houses for many years. Needless to say, the housing lists in most parts of the country are lengthy and the number in receipt of rent allowance is astronomical. In my part of the world in Kilkenny, there are more than 2,500 applicants on the housing list, and many of them have been on it for quite a considerable period. Despite the announcement in the budget, the position remains that many local authorities, not least the one in my area, do not own much, if any, suitable land for housing development, and any increase in housing output by local authorities will be delayed by the fact that they must acquire land on which to build. The housing area, along with the child care area, which was mentioned in the debate, are probably two areas on which the Government needs to focus in the next 12 months in the lead-up to the next budget. It is highly unsatisfactory at this juncture that those waiting for housing live in unsatisfactory conditions and often do not receive enough in rent supplement to allow them continue to live where they are. The Government needs to address the issue urgently.

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