Nicky McFadden (Fine Gael)

I will speak about the effects of the section on lone parents and recipients of farm assist. Last year, the early child care supplement was removed from parents, reducing their income by €664 for each child under five years. A single parent family with two children has sustained a cut in income of 10.4% or €1,820 per annum in the past year.

I am concerned about incentives to work. The Joint Committee on Social and Family Affairs frequently discusses how one incentivises those on low incomes to return to work. Reducing the lone parent benefit by the margin proposed will act as a disincentive to work. I ask the Minister to comment.

The Minister referred to having to make cuts. The Fine Gael policy document refers to making cuts in social welfare, but the NewERA document would also lead to the creation of 105,000 jobs. The €500,000 salary of the regulator of the banks flies in the face of the plight of those on social welfare, as does the provision of a new car for the CEO of FÁS. I do not see why the pay of people like Members was not cut further. Those who receive €196 in disability allowance stand to lose €1,820 per year. This money could be used to put food on the table and make their homes warm at night in order that they would not have to go to bed cold. The carbon tax also affects this group. The measure on family income supplement, dealt with in the next section, is one I warmly welcome. I cannot recall the name of the other measure that will benefit those who have lost child benefit.