Holly Cairns (Cork South West, Social Democrats) | Oireachtas source

The rising cost of living, especially as it relates to the cost of food, is an incredibly serious issue affecting households across Ireland. I thank Deputy Kerrane and Sinn Féin for the opportunity to discuss this important matter and for the practical and considered solutions they are offering.

Rising energy costs, skyrocketing rents, childcare fees that are more expensive than mortgages and families forced to pay for expensive private healthcare because public services are practically non-existent are all contributing to the cost-of-living crisis. Recent research from Permanent TSB has found that over 60% of people feel they will have to cut back on food spending in the coming year due to the cost-of-living crisis. Social Justice Ireland has shown that when housing costs are counted, almost one in five people in Ireland is living in poverty. This is the perfect storm. Decades of underinvestment in State services by successive Fianna Fáil and Fine Gael Governments, combined with the failure to tackle the housing crisis, have left households exposed. Now the energy crisis and looming food crisis have pushed very many people to breaking point.

It is important to acknowledge the steps taken by the Government. The reductions in excise duty supported by most of the Dáil, cuts to public transport fees and cuts and an improved drugs payment scheme are all welcome but in many cases these and other measures, such as social welfare increases, were long overdue anyway. The Social Democrats have repeatedly proposed measures such as a ban on rent increases, increases to the national minimum wage, a €300 refundable tax credit to those on incomes below €50,000 and a further increase in core social welfare rates. Families need temporary measures to address the current crisis but more substantially, they need a fundamental reform of our State services to address the real issues underlying the cost of living. We are in desperate need of a Government that will tackle housing, childcare and healthcare costs, including for those with disabilities and long-term illnesses. If we want to improve people's quality of life and put money back into their pockets, then there must be a comprehensive and strategic approach to addressing the chronic deficits that exist in our public services.

In our alternative budget we proposed the concept of universal basic services and the idea that everyone is entitled to a range of public services that are free at the point of use. In progressive societies there is a minimum standard of living below which nobody should fall. This is the social contract. In return for the rates of tax people pay, the very least they should expect is a decent level of public service. Sick and elderly people should be able to get a bed in a public hospital, children with disabilities should get the therapies they desperately need, families should have affordable childcare and all communities should have access to affordable and frequent public transport. These are basic standards. They are the least people should expect, but, due to continued underinvestment, understaffing and dependence on families or private means, our State services are so insufficient it makes life more expensive for ordinary people every day. Rent, medical expenses, education costs, and childcare fees all underlie the current cost-of-living crisis. To ease the burden on households, there must be a new approach to public services.

The housing and rental crisis is getting worse, adding increasing financial and psychological burdens on already hard-pressed families. The number of people in emergency accommodation surpassed 10,000 in April, including almost 3,000 children but in reality we know the homeless figures are even higher. In the past eight years, house prices have doubled. They have increased by more than 12% in the past year alone. Rents have also doubled in a decade, while housing costs have skyrocketed. We are seeing a growing number of people stuck renting who would like to be able to afford to buy their own home. We are seeing house prices about to reach record levels, surpassing their Celtic tiger peak. Home ownership levels are in free fall under this Government and home ownership among adults of prime working age, between 25 and 54, has collapsed, according to the Parliamentary Budget Office. Young people and families are being priced out of the rental market and home ownership is a pipe dream for many. The Government's response has been wholly inadequate. Renters cannot continue to pay more and more. We have some of the highest rents in the European Union which are a major cost for individuals and families and are also a significant economic cost. We need a radical increase in the supply of cost-rental and affordable homes to meet the housing needs of people, as well as a ban on rent increases and improvements in security of tenure for renters.

Childcare costs range on average from €800 to €1,350 per month, per child. This often forces a parent - invariably the mother - to reduce her involvement in or leave employment. At the same time, childcare workers are very poorly paid and retention in the sector is extremely difficult. The problem stems from underinvestment in children by successive Governments for decades. Core funding for early learning and care and for school going children is so inadequate that families have to sacrifice just to get by. The State spends just 0.3% of GDP on early years, which is well below the European average of 0.8% and the UNICEF recommended benchmark of 1%. This underinvestment is felt most acutely by one-parent families and those in disadvantage. This underinvestment is not only a substantial component of the cost of living for young families, it also perpetuates inequality.

The cost of living is even higher for disabled people. The Cost of Disability in Ireland research report, which was commissioned by the Government, revealed that people with disabilities face extra costs of up to €12,300 annually for transport, fuel, equipment, aids, medical expenses and much more. As a result, Ireland has one of the highest rates of poverty and social exclusion for disabled people in the EU. The Progressing Disability Services for Children and Young People programme is failing children and their families. Waiting lists for assessments and therapies mean that private services are the only hope of intervention for some families. This forces parents to make impossible financial choices and sacrifices, while for others it is simply not an option and they can only stand by as their child is denied vital therapies and supports. Those with the means to pay for private services do so and those who cannot afford it are just left on those never-ending waiting lists.

The situation is no different for adults with disabilities. The Ombudsman's report criticising personal transport supports described the available scheme as "inadequate, unfair and inequitable". This failure increases social isolation and reduces employment opportunities. There is a need for targeted, social health interventions to enable people with disabilities to live independent lives.

This motion's focus on food is incredibly important. Too often it is forgotten that food is a matter of public policy, just like education, transport and housing. The availability, cost and quality of food are all shaped by Government and EU policy. Food prices are rising. This hits all households. We are seeing more families having to turn to food banks. These fantastic organisations provide vital work but they are indicative of the poverty so many people face. Parents are forgoing meals in order to ensure that their children are fed. Families are cutting back on groceries to pay rent. This is deeply worrying. It is simply wrong and it is incredibly unhealthy. The least we should expect in a wealthy country is that all people should have access to sufficient healthy food.

Our current food system benefits larger processors and retail giants, not normal people and certainly not producers. While food prices are rising, producers are not making more. Small farmers, inshore fishers and small producers are barely getting by. The Government spends hundreds of millions of euro annually subsidising food production, but how much of that actually benefits farmers and consumers? We are all aware of cartel-like practices in some areas of the agricultural sector. Farmers are entirely dependent on processors and factories for prices, which often bear no relation to production costs.

A food system that respects farmers and fishers, and helps consumers to access healthy foods produced as locally as possible, benefits ordinary people at both ends of the process: farmers and consumers. For too long, large retailers and processors have controlled the sector by setting prices, changing contracts, and simply operating for their gain only. Food is fundamental. It is a basic need that shapes our health and well-being. We need much greater regulation of our food system. We need fair prices for food producers and affordability for families.

This motion for a proposed cost-of-living cash payment is a practical and much-needed intervention that would help to alleviate the burdens on families and ordinary people until we get a Government that is willing to systematically take on the vested interests and reform our State public services.

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