Seanad debates

Wednesday, 16 December 2009

Social Welfare and Pensions (No. 2) Bill: Committee Stage (Resumed)

 

3:00 pm

Photo of Paudie CoffeyPaudie Coffey (Fine Gael)

I want to add my voice to the opposition to the cuts in child benefit on behalf of middle Ireland, those on middle incomes who work and pay for every turn they make and everything they do. It is quite regrettable that the Minister proposed these cuts and that they will take force in the Bill. While child benefit is a substantial part of the public purse, over the years it has been a stable income for many families who have come to rely on it. Other Senators spoke about the day to day costs of having children in the current economic environment. For many families, the cost of child care today is more than a mortgage. Child benefit goes directly to looking after children. For those working, it goes towards child care costs, clothes, food and even education. To cut it removes income that people and families have relied on. It is an additional burden on those already paying for everything. I know many families and parents who are reluctant to bring a sick child to a GP because of the cost involved. These families work hard every day and contribute through their tax to the running of the State. This is the one universal payment made to families. Most mothers who receive the payment invest it directly in their children. It is a productive investment.

The Minister is a former Minister for Education and Science. We speak about free education but we all know the cost of sending children to school is increasing. The cost of the bus for those living in rural areas has increased almost three-fold if not more in recent years. Uniforms have to be paid for. Book grant schemes were removed from many schools. Basics such as arts and crafts for educational purposes in schools are provided for by parents, as are printing and photocopying. To a degree, it is a fallacy to state we have free education. Compare it to people in the Six Counties in the North who have free everything as far as I can see and similar families in similar circumstances do not pay for GP visits, dental visits, education or school transport.

Child benefit is the one payment this State pays directly for children and the cut is very regrettable. The payment goes to families and people most exposed to the current economic crisis in family formation age groups. These are young parents with young children who probably bought property at its highest price and are now in negative equity. They are also those who face redundancy, short hours or job loss. This is a huge blow to young families and it will have a larger impact than the Minister suspects. People have come to depend on the payment. They always knew it was there at the end of the month and that they could rely on it and invest it directly in their children.

Even at this late stage, I appeal to the Minister to reconsider this cut to child benefit. Fine Gael took a considered view. We realise as much as anybody that savings, efficiencies and cuts must be made throughout the economy. However, we identified child benefit as an area which was certainly worth protecting because it protects young people and young children. It allowed families to invest in children and care for them properly. I doubt the Minister will listen to my call to reconsider this. One hears many speakers on social welfare representing those who have no voice. Child benefit directly assists people who contribute to the economy and have done so for many years through PAYE and other means. They feel overburdened. They have high mortgages, high exposure and pay for any service they receive. This is an added blow to their monthly income. Will the Minister revise and reconsider this cut? It is a good productive and positive payment that goes to the children who are our future.

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