Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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Question 23: To ask the Minister for Social Protection if she will reverse the cut of 4% to the so called working age social welfare rates and the cut to child benefit introduced by the previous Government in Budget 2011 and if so when [6137/11]

Joan Burton (Dublin West, Labour)
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This Government took office in the context of a profound banking, fiscal and jobs crisis and the decision to seek the external financial assistance that has been provided by the EU and the IMF. The crisis was caused by the reckless mismanagement of the economy by previous Governments and the destruction of significant parts of the Irish banking system. As part of its response to the crisis, the last Government reduced weekly and monthly welfare rates of payment in the last two budgets. The challenge for the new Government is unlike the challenge faced by any previous Government. Many people in society are facing hardship. The Government's priority is to get our economy moving, restore confidence, fix our banking system and support the protection and creation of jobs. The success of our economic plans will lay the foundation for the rest of our agenda for change.

Sustainable public finances are a prerequisite for economic stability and growth. To this end, the State must pursue a determined deficit reduction strategy. If we are to enhance international credibility, it is appropriate to stick to the aggregate adjustment set out in the national recovery plan. Accordingly, appropriate levels of social welfare rates will be considered in the context of budget 2012. The Government is committed to tackling Ireland's economic crisis in a way that is fair and balanced and recognises the need for social solidarity. In this regard, it is important to note that the programme for Government contains a commitment to maintain social welfare rates.

In the meantime, the Government's priority is to develop a strategy to allow job growth and sustainable enterprise. This is central to any recovery strategy. During its first 100 days, the Government will introduce and resource a series of measures designed to reduce unemployment and get Ireland working again. These will include measures to increase significantly the number of training, education and work experience opportunities and wide range of other initiatives. I look forward to developing them with my colleagues over the next few weeks so they can be implemented as quickly as possible.

Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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I do not know whether the Minister remembers the comments made by her colleague, the current Minister of State, Deputy Shortall, in the wake of last year's budget. As her party's then spokesperson on social protection, she said the cuts to social welfare rates, including child benefit, were "a blatant and unjustified attack" on the weakest people in society.

Seán Barrett (Dún Laoghaire, Ceann Comhairle)
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A question, please.

Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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Does the Minister recall that Deputy Shortall also said that "the Government has lost all sense of the fact that carers, widows, people with disabilities, single parents and the unemployed depend on their weekly payments for their very survival", that "the decision to cut these basic rates cannot be defended", that "families who are already struggling to keep their heads above water will undoubtedly go under if the Minister persists with these measures" and that "it is difficult to fathom how these measures will help recovery"? Does she agree with Deputy Shortall's correct assessment of these cuts? If so, will she consider reversing them and when will she do so?

Has the Labour Party, like the previous Government, lost all sense of the fact that people depend on these payments for their survival? According to CSO figures, one quarter of all households are now in arrears on their bills and the consumer price index is up 2.2% on February 2010. Does the Minister agree that the Government must intervene to restore social welfare rates to their 2010 levels at least and seek to increase them according the increase in the CPI?

Joan Burton (Dublin West, Labour)
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Let us be clear about the matter. This Government took office almost three years after Ireland's extreme banking crisis began on St. Patrick's Day in 2008, when a collapse in the share price of Anglo Irish Bank signalled the beginning of the economic collapse of this country, the closure of many businesses and the loss of employment for tens of thousands of people. The previous Government's actions generated an unprecedented economic and social crisis and it also reduced social welfare supports.

Both parties in this Government are committed to protecting the vulnerable and forging a new Ireland built on fairness and equal citizenship. Our objective is that by the end of our term Ireland will be recognised as a modern, fair, socially inclusive and equal society supported by a productive and prosperous economy. This Government is determined to pursue a deficit reduction strategy and we have to take into account the overall constraints which result from the agreement the previous Government entered into with the IMF and the EU. Our immediate priority is to introduce a range of job measures designed to reduce reliance on welfare supports. We will investigate social welfare rates later this year in the context of the budget and, unlike the previous Government, we are committed to maintaining payment rates. As the economy begins to grow and we sort out the banking crisis, we will continue to find ways of protecting the most vulnerable and needy in Irish society.