Katherine Zappone (Independent) | Oireachtas source

I have a number of remarks and questions, particularly on amendment No. 6, and what constitutes a reasonable standard of living and reasonable living expenses. The Minister refers to both in the Bill. My speech last week indicated that one of the very positive aspects of the Bill is that the insolvency service will prepare and issue guidelines on what constitutes a reasonable standard of living for debtors. "Reasonable" is a carefully chosen word and it is reasonable to suggest that it means a minimum standard and that it also refers to essential living expenses. If that is acceptable to the Minister, and I have seen him demonstrate reasonableness time and again, it is also reasonable to ask how one calculates these sums for unique individuals, their families and their circumstances. The Minister refers to this in respect of flexibility and the identification of guidelines.

I commend the Minister for including amendment No. 6, which provides guidance. He notes that the service shall have regard to a number of measures. Section 23(3)(e) refers to "the need to facilitate the social inclusion of debtors and their active participation in economic activity in the State". The Minister is providing guidance to the service that debtors must be left with an amount each month that enables them to have the capacity, resources, health and motivation to remaining engaged with life, to hope for better days, not to move towards hopelessness and to believe they will find new ways to make a living for themselves and their families.

It is good to think about the meaning of the metaphor, "make a living", as we contemplate the best kind of law that ensures debtors who use this new regime have access to a reasonable standard of living.

How should the service go about this task? While I commend the Minister for the amendment, it may not give enough guidance to ensure that debtors shall be treated with consistency and fairness across all the multiple circumstances of individuals and families.

I suggest the Minister consider adding a couple of components to amendment No. 6. The proposed section 23(3)(a) states that the insolvency service guidelines shall have regard to "such measures and indicators of poverty set out in Government policy publications on poverty and social inclusion as the Insolvency Service considers appropriate". I recommend that it should also have regard to other academic or complementary research on poverty, debt and particularly minimum income standards in Ireland. I am suggesting inclusions beyond simply Government policy publications.

The proposed section 23(3)(d) states the insolvency service guidelines should have regard to "differences in the size and composition of households". The amendment should also include: the physical health of all the individuals within the household; the employment status of the heads of household; caring, including child care and elder care, required by the household; and the location of the household, that is, whether it is in a rural or urban area. All of these elements impact directly on what constitutes a reasonable living standard and living expenses for each individual family.

Section 23(4) notes the need to ensure reasonable living expenses. It is crucial that the definition and - I am afraid I need help with the word - operationalisation-----