Brendan Ryan (Dublin North, Labour) | Oireachtas source

I have been a public representative since 2007, at the time when Ireland's economic growth was beginning to slow down. Recession hit in 2008, leading to the spectacular banking collapse which brought about the tragic introduction of the troika into our sovereign affairs. Throughout this entire period it has been those people in receipt of a social welfare payment, those who struggle to get by from week to week, who have been hit very hard. The first three budgets introduced by this Government were brought in under the strictures of the EU-IMF troika. Spending cuts in big spending Departments such as the Department of Social Protection, could not be avoided. People who only argued about individual measures were dishonestly ignoring that reality.

As a member of the joint committee on social protection and from Labour Party parliamentary party meetings I am aware that the Minister, Deputy Joan Burton, fought tooth and nail to protect, in so far as she could, the recipients of social welfare payments from the worst of the budget adjustments during this period. Labour protected weekly welfare payments, payments that had been slashed under Fianna Fáil. We protected the State pension, the carer's allowance and free travel. We protected a range of payments. Not everything could be protected, unfortunately, and reductions were made at this time. Any cut in social welfare has an impact. By definition those in receipt of social welfare payments are not wealthy people. Those of us in the Labour Party are keenly aware that these people are the ones most in need of support and help. This is why we have fought so hard in the first few years of this Government to ensure that social welfare recipients were not seen as low-hanging fruit for the troika.

In the multi-annual budget plan for Ireland, signed by Fianna Fáil when it brought the troika to town, budget 2015 was supposed to see a further €2 billion withdrawn from the economy. There is no doubt but if this has been the case, the Department of Social Protection budget would have been in line for further reductions. However, this Government is working to get the country back on the road to economic recovery and we are succeeding. That recovery is taking hold this year and as such, we have been able to deliver a budget which for the first time since the dark winter of 2008 contains no cuts. Instead of a €2 billion overall budget reduction, we have been able in a modest way to begin to increase some social protection payments. Child benefit has been increased, the Christmas bonus is being reintroduced and the living alone allowance is being increased to €9 per week. This will benefit 177,500 older people. I am especially pleased to see a return of €5 per month in child benefit payments, with a commitment to another €5 return in next year's budget. It is no secret that the €10 cut in child benefit payments in budget 2012 was most difficult for the Labour Party in particular. It tested the resolve of many of our Deputies. At the time a number of us thought long and hard about our positions. In the end, the majority chose to remain and fight within the Government and to ensure that once we did emerge from the troika we would be there to make sure these payments were restored. This budget was the first opportunity we had to give something back and I am glad that with Labour in Government we are giving back to those most in need.

The re-introduction of a Christmas bonus payment in the form of a 25% payment is also welcome. I have always viewed the Christmas bonus as an important stimulus payment for local economies. The re-introduction of this payment constitutes a €63.5 million investment in local economies which will help local businesses sustain and create jobs. That is what this Government is about, creating jobs and bringing this country back to economic health.

In her time in office, the Minister, Deputy Burton, has shifted the focus of the Department of Social Protection from a passive, hand-out Department, into a more proactive, hand-up Department. New schemes like JobBridge and Gateway, while not perfect and not without their faults, have provided a pathway back to work for many in long-term unemployment. Community employment schemes continue to be protected and encouraged by this Government.

Like others, I await with interest the final decision regarding water services supports. In the initial proposals, €66 million has been apportioned for these supports through the household benefits package and for pensioners and people with disabilities. We all want certainty regarding Irish Water, its charges and its reliefs.

This is a positive budget, a budget which no commentator or opposition politician thought we could deliver six months ago. Many hoped we would fail, including some who have spoken about ten minutes before me. These same commentators and opposition politicians expected second bailouts, even greater economic collapse and increased unemployment. This Government has ensured we did not need a second bailout, and with this budget we proved that we did not need an onerous €2 billion adjustment.

I welcome this budget and the provisions contained in this Bill which see payments increased for vulnerable people. I look forward to continued economic growth next year and hopefully we are now in a position to continue to reverse some of the hardships visited on our citizens over the past few years.

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