Mary Butler (Waterford, Fianna Fail) | Oireachtas source

In the general election earlier this year the people delivered a clear message which resulted in the formation of a minority Government.

This is my first time in the House for a budget debate. The budget delivered yesterday by the Minister of Finance and the Minister for Public Expenditure and Reform was also a first as it was the first time a minority Government had delivered a budget in the history of the State. The budget delivered yesterday was also a departure from previous budgets. In the past five years budgets were seen as regressive, but this one is progressive. The split between expenditure and investment, on the one hand, and taxation, on the other, is three to one. By any measure, this is a significant achievement and a major shift from previous budgets and policies.

Fianna Fáil did not get everything it wanted in the budget, but we made progress. There were major gains on a number of our priorities in the areas of social protection, education and health in the case of the National Treatment Purchase Fund, as well as in respect of the USC. The budget had to work within the fiscal parameters available and a sensible approach was needed. The fact that Fianna Fáil took its electoral responsibilities seriously and stepped up to the plate in facilitating a minority Government and ensuring the passage of a budget with our influence has caused outrage and derision from parties on the left. I will not apologise to Sinn Féin, the Anti-Austerity Alliance, People Before Profit or the Labour Party for taking my responsibilities seriously. This is not a game we are playing. Acting responsibly is not a game. The budget is only the first step in creating a society in which everyone, not just the privileged few, has a place. There is work still to be done, as we all know and acknowledge.

As Fianna Fáil spokesperson on older people, I welcome the €5 increase for pensioners aged 66 years and over, as well as the increase in all weekly welfare rates. However, I am disappointed that the increases will not take effect until March, unlike in previous budgets when increases took effect on 1 January.

The additional 10% in the Christmas bonus will also help those on social welfare payments or a fixed income with no other opportunities available to increase their income. It will now stand at a figure of 85%.

I have a serious issue with the increase in the living alone allowance, which is a paltry €9. For a couple for over 80 years, the old-age pension, plus the fuel allowance, amount to €509.10 and for a couple under 80, to €489.10. Obviously, the majority of couples at this stage of their lives do not have a mortgage and use their weekly income to meet living expenses. However, if one of the couple dies, the survivor not only experiences the trauma of losing a loved one, he or she is also plunged into a financial crisis. The pension entitlements of the deceased cease and the person left behind receives an extra €9 which is called the living alone allowance. The level of income is slashed to €243.30, plus the fuel allowance of €22.50 and the living alone allowance of €9. That comes to a total for a person over 80 years of €274.80 and for a person under 80, to €264.80. However, it still costs the same amount of money to run the home and pay for light, heating, insurance, telephone and other general utility bills. Nothing is halved. The bills remain the same, except perhaps the food bill. I ask the Minister to take a look at this issue for those aged over 65 years when one spouse dies and to specifically consider in future budgets the living alone allowance. A significant increase is needed.

I would also like to see a reversal of the decision to cut death benefit which helped greatly when a loved one died. It was removed three years ago under the previous Government and the decision has had a huge effect on people who are struggling to meet the cost of burying a loved one.

The reduction in the prescription charge from €25 to €20 is welcome. I hope we will see in the next few budgets an end to these charges which were introduced in difficult times. Now is the time to make sure they are removed. Some 330,000 people over the age of 70 years will benefit from this reduction in a charge which has caused financial stress for many. People tell me that they have often put off taking all of their prescriptions in a particular week owing to the €25 cost.

This is the first budget under the confidence and supply arrangement and new ground for all parties. I am happy to support it.

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