Diarmuid Wilson (Fianna Fail)

I welcome the Minister and his officials back to the House. I am pleased to second this Bill. It provides for the introduction of a series of social welfare improvements announced in the budget in December 2004. It also provides for a number of amendments to the Pensions Act 1990.

The Minister has done a marvellous job in securing the largest ever budget for his Department in the history of the State. He has secured an additional €1 billion this year, which is an increase of almost 9% on last year, bringing the total budget to €12.25 billion for 2005. The Minister stated in his contribution that for every €3 of Government expenditure, €1 is expended on social welfare payments. This is an astounding figure and the Minister and the Government are to be congratulated in this regard.

The total expenditure on social welfare this year will be €12.25 billion. Payments have increased by three times the expected rate of inflation. A total of 1.5 million people will benefit from weekly social welfare payments. There has been a four-fold increase in child benefit since 1997. The increase of €10 for each of the first two children and an increase of €12 for the third and subsequent children is welcomed by the mothers and fathers of this country. As my colleague, Senator Cox, stated, this is a very welcome payment every month.

I welcome the Family Support Agency increase of €2 million for family resource centres which are spread throughout the country and do excellent work. I can testify to the excellent facilities in Cavan and the good work being done by the family resource centre there. I welcome the sum of €900,000 for the expansion of the family mediation service which provides much needed facilities throughout the country. I welcome €600,000 additional funding for marriage and family counselling and the €70,000 for the development of information dissemination to the general public. I also welcome the €60,000 provided for the second phase of the family research programmes and the increase in the budget for the money advice and budgeting service. The service has centres throughout the country which help people who are in financial difficulties through no fault of their own. They may not be good at managing their own affairs. This organisation does excellent work with people who need help to get out of the circle of debt when they cannot see any light at the end of the tunnel. The service deals with the creditors when the clients are unable to do so.

I welcome the changes in the carer's benefit. A person is no longer required to be in full-time employment for three months before applying for the carer's benefit. I was delighted to hear the Minister state in his contribution that carers are wonderful people and the State recognises their hard work. The Bill deals with pension provisions and rights. Despite what Senator Terry said, the ordinary man and woman in the street will benefit from the pension provisions.

I welcome the changes that have taken place in the past few years. The number of people at work has increased to almost 1.9 million. The rate of unemployment has fallen dramatically from 10% to 4.3% which is the lowest in the EU and among the lowest in the world. The number of low-paid workers removed from the tax net has increased. This year all those on the minimum wage will be taken out of the income tax net entirely.

Spending on social welfare has more than doubled from €5.74 billion in 1997 to an expected €12.25 billion in 2005. Over the past decade while gross average industrial earnings have increased by 71%, social welfare payments have improved by between 87% and 95% and by even more for larger families. Substantial improvements in the conditions for entitlement to a range of social welfare schemes and services have been implemented. New social welfare benefits such as farm assist, carer's benefit, widowed parent grants and respite care grants have been introduced and enhanced. The social welfare increases announced in budget 2005 range from more than 7% to over 10% while inflation this year is expected to be at just 2.5%. The increase in the budget achieved by the Minister is almost 9%, which is more than three times the expected rate of inflation.

In her contribution Senator Terry stated that the Minister comes to this House but does not listen, and that if he does listen, he has not learned. I wish to put it on the record of the House that this Minister listens, the Government listens and the Government delivers. It has delivered the best social welfare package in the history of the State——