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Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: Nobody relishes having to do that, but we also made choices which were positive. We made choices that excluded pensioners. It is important that those over the age of 66 were recognised for their contribution to society and for the fact that they do not have the opportunity to generate incomes for themselves in the future.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We made a positive decision in respect of pensioners and a positive decision in relation to children.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We also made a decision in respect of the children of the most vulnerable.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: If Deputy Stagg had something valuable to say, he would have chosen to say it during his contribution. However, he did not do so.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We made an extremely positive decision in respect of the children of the most vulnerable.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: Huge progress has been made in the context of reducing consistent poverty among children and older people.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We will certainly not do anything to reverse this. Even though there has been a reduction in child benefit-----

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We have ensured that the children of families on social welfare and in receipt of family income supplement will be protected.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: Of all the different groups I met prior to the budget, it was the members of this group which indicated that they were willing to make a contribution. I accept that it is extremely difficult to take €8.30 a week from people. We do not underestimate the difficulties this will cause.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: However, we were able to do this, particularly in view of the increases provided in recent years and the fact that, as a result of the serious deflation that has occurred, people's money goes further.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: Serious deflation has occurred and this means that the money-----

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We are in an unusual situation whereby there is an economic crisis and serious deflation has occurred.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: Deflation did not occur in previous years. On other occasions there would have been inflation but now we have deflation. Whereas we have returned to the incomes of 2003 and the prices of 2007-----

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: -----social welfare rates have not returned to what they were in those years.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: There was reference to specific groups. In its pre-budget submission, Fine Gael indicated that it would cut the social welfare rates relating to the unemployed and lone parents. Fine Gael accepted that we needed to take action in this regard but it also indicated that certain groups would be excluded from such cuts. When one considers the various groups of working-age people and tries to...

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: -----it is impossible to state which of them is more special than the other. We appreciate the work done by carers in particular. Carers are the first to recognise that not only have their basic payments increased in recent years and that the disregards were also increased.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: In addition, carers can avail of free travel and household benefits. The groups representing carers requested, in the strongest terms, that we should not touch the half-rate allowance or the respite grant.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We did not touch either of these payments and the reason is that we recognise the role of carers.

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: The respite care grant has increased to €1,700. When it was first introduced, the rate of payment was only €250. The grant is paid to those who do not receive carer's allowance. Therefore, it constitutes a real recognition for these individuals. We could have cut the respite care grant and left the rate unchanged. However, this would have had an impact on a greater number of carers...

Social Welfare and Pensions (No. 2) Bill 2009: Second Stage (Resumed) (11 Dec 2009)

Mary Hanafin: We did not touch the disregards for carers. Very generous disregards apply in circumstances where carers or their spouses are allowed to work.

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