Liz McManus (Wicklow, Labour)
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Question 110: To ask the Minister for Social and Family Affairs the progress made to date with regard to the implementation of the national action plan against poverty and social exclusion; and if he will make a statement on the matter. [11841/05]

Séamus Brennan (Dublin South, Fianna Fail)
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The current national action plan against poverty and social exclusion was submitted to the European Union in July 2003 and covers the period up to 2005. It sets out the commitments made by Ireland to meet the Lisbon pledge "to make a decisive impact on the eradication of poverty" by 2010. The plan incorporates the strategic approach to tackling poverty which was set out in the earlier national anti-poverty strategy. It also reflects the social inclusion commitments agreed in the current national partnership agreement, Sustaining Progress.

Working to eradicate poverty requires action across a range of different policy areas. The plan includes actions in relation to employment, social welfare, education, health, housing, equality and so on. The strategic approach reflected in the plan means that these actions are being co-ordinated in an integrated, joined up way, with a view to achieving more effective outcomes.

The office for social inclusion, OSI, in my Department was set up in 2002 and has overall responsibility for developing, co-ordinating and driving the Irish national action plan against poverty and social exclusion. The office's first annual report, which I launched last December, details the progress made on implementation of the national action plan since August 2003. A wide range of activities and strategies are set out in the report, indicating the range and breadth of programmes aimed at tackling social exclusion.

I am happy to say that good progress has been recorded against many of the targets that we have set in the plan. Commitments made by the Government, for example, in respect to income support mean that we are well on the way to meeting the 2007 target of a rate of €150 per week for the lowest social welfare payments in 2002 terms. We are also moving steadily towards the target of €200 euro for social welfare pension rates.

In certain instances, however, it is clear that data is incomplete or unavailable to report on the outcome of some NAP targets. This is an issue that the office is addressing as part of the development of a data strategy.

The monitoring and evaluation process has also shown us that measuring benefits and outcomes of some social inclusion initiatives can be difficult due to the nature of the intervention, the many factors which impact on poverty and social inclusion and the fact that the impact may not be experienced in the short term.

Notwithstanding these issues, the annual report identified many important policy developments that will benefit people who are socially excluded. Some examples include: the launch in September 2004 of the national disability strategy; the extension nationwide of the FÁS high support process for jobseekers suffering personal barriers to employment; additional funding for child care under the equal opportunities child care programme; and the establishment of the first National Council for Special Education.

As the next step in the monitoring and evaluation process, the office is currently undertaking, in conjunction with the relevant Departments, a detailed analysis of the NAPS targets with a view to identifying, not only where progress has been made but also areas where progress has been slower.

The result of this analysis will be included as part of the Government's report to the European Commission in June. This will outline progress made during the timeframe of the current national action plan 2003-05 and indicate the future strategic direction for the next national action plan in 2006.

Michael Noonan (Limerick East, Fine Gael)
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Question 111: To ask the Minister for Social and Family Affairs the efforts he is making to reduce the poverty levels that exist in many families on low incomes; and if he will make a statement on the matter. [11932/05]

Séamus Brennan (Dublin South, Fianna Fail)
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The elimination of poverty is a key objective of the Government which is committed to achieving the range of targets which are set down in the revised national anti-poverty strategy, NAPS, and the national action plan against poverty and social exclusion.

The principal mechanism available to my Department for addressing poverty levels in low income families is through the social welfare system. I am committed to increasing social welfare payments, as resources permit, so that people will have an adequate income to sustain an acceptable standard of living. In this regard, the revised national anti-poverty strategy contains a target of increasing the lowest rates of social welfare payment to €150 per week — in 2002 terms — by 2007 with the appropriate equivalence level of child income support — combining child benefit and child dependant allowance — being set at 33% to 35% of the adult rate. Significant progress has been made towards achieving these targets. In this year's budget, the lowest rate of social welfare payment was increased by an unprecedented €14 per week and now stands at €148.80 per week. Low income families who would have benefited from these increases included those where the head of household was parenting alone, on disability assistance or unemployed. Furthermore, child benefit payments were increased by €10 a month for the first two children and €12 per month for the third and subsequent children at a total cost to the Exchequer of €136.11 million in a full year.

It has long been recognised that employment is the best route out of poverty for those who are able to work. Accordingly, it is important that the social welfare system supports people to take up and remain in employment. A range of supports are provided by my Department in this regard including the family income supplement, FIS, which is paid to low paid employees with children. In this year's budget I increased the weekly income thresholds for FIS by €39 a week. It is estimated that a total of 14,000 families will benefit from this measure by receiving up to €23.40 extra per week in their payments while an additional 2,600 families will become eligible for FIS.

Other measures introduced in the budget to support low income families included additional funding to the family resource centre programme which is administered by the Family Support Agency and to the money advice and budgeting service to enhance its services. Both of these agencies provide important support services to low income families.

I am committed to making a decisive impact on child and family poverty during my period of office. In this regard, I am giving serious consideration to the introduction of a second tier of child income support. I am awaiting the outcome of a study being undertaken by the National Economic and Social Council on amalgamating child benefit and child dependant allowance, which will inform my deliberations in this area. It has long been recognised that lone parent families are particularly at risk of poverty. At present, an interdepartmental group, which includes representatives from my Department, is examining obstacles to employment for lone parents while a working group within my Department is reviewing the income support arrangements for lone parents. I look forward to acting on the recommendations of these groups when they have completed their work.

Kathleen Lynch (Cork North Central, Labour)
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Question 112: To ask the Minister for Social and Family Affairs if his attention has been drawn to the recent UNICEF report showing that the rate of child poverty here is among the highest in wealthy countries; the steps he intends to take to deal with the problem of child poverty; and if he will make a statement on the matter. [11837/05]

Séamus Brennan (Dublin South, Fianna Fail)
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The Deputy is referring to the UNICEF Innocenti Research Centre report card Number 6 on child poverty in rich countries 2005. The report shows that, Ireland, at 15.7% based on 2000 data, had the fifth highest relative child poverty rate among 26 OECD countries.

There have been major increases in average incomes and employment rates in recent years and a high level of growth in two income households. However, despite significant increases in real terms in social welfare rates — for example, child benefit rates increased by some 65% between 2001 and 2005 and the lowest social welfare rates increased by 40% while the CPI increased by just over 13% — the incomes of those not in employment have lagged behind those in employment, especially in households with two incomes. This contributes to the high relative poverty rates in Ireland.

The current national action plan against poverty and social exclusion specifically targets children as one of a number of groups who are particularly vulnerable to poverty and social exclusion, with a view to reducing or eliminating their risk and incidence of poverty.

The most significant measure to tackle child poverty by my Department has been the substantial increases in child benefit payment rates. Between 1997 and 2005, the rate of child benefit rose from €38.09 per month for the first two children and €49.52 for each child thereafter to €141.60 per month for each of the first two children and to €177.30 per month for the third and each subsequent child.

Through the family income supplement scheme, my Department provides cash support by way of weekly payments to families, including lone parent families, at work on low pay. Recent improvements to the scheme, including the assessment of entitlements on the basis of net rather than gross income and progressive increases in the income limits, have made it easier for lower income households to qualify under the scheme.

In order to address the situation of those children who are most at risk of poverty, I am giving serious consideration to the introduction of a second tier of supports, aimed specifically at families in greatest need. A study is being carried out at the moment by the NESC on amalgamating social welfare child dependant allowances with family income supplement payments, in an effort to channel extra resources to low income families without creating disincentives to employment. In addition, a sub-group of the senior officials group on social inclusion has commenced examining obstacles to employment for lone parent families, the majority of whom are women.

My Department is also participating in an interdepartmental working group on early child care and education, chaired by the National Children's Office. The work of this committee is at an advanced stage and the outcome will make an important contribution to finding the right mix of services and income support to facilitate employment take up and care for children.

The causes of poverty among children and its effects are multifaceted requiring a multi-policy response. A wide range of data is required in effectively monitoring, evaluating and further developing such policies. It is for that reason that my Department and the Department of Health and Children, through the National Children's Office, are jointly funding a national longitudinal study on children. The study will be the most significant of its kind to be undertaken here, particularly in terms of the cost, scope and length of study period. It is anticipated that 10,000 children from birth and 8,000 children aged nine will be recruited to participate in the study, which is expected to commence later in 2005.

Assisting and supporting vulnerable families and their children and older people is one of our main challenges as a society. Through the initiatives it is taking under its strategy to combat poverty and social exclusion, the Government is giving priority to working to ensure that vulnerable families and their children have a fair share of the life chances and quality of life, which our prosperity as a nation is already conferring on a majority.

Michael D Higgins (Galway West, Labour)
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Question 115: To ask the Minister for Social and Family Affairs his proposals for a new second tier of supports targeted at children most at risk of poverty; and if he will make a statement on the matter. [11833/05]

Enda Kenny (Mayo, Fine Gael)
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Question 160: To ask the Minister for Social and Family Affairs the progress to date on his review of the second tier payment for children; and if he will make a statement on the matter. [11927/05]

Dan Boyle (Cork South Central, Green Party)
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Question 162: To ask the Minister for Social and Family Affairs if he will elaborate on his plans to bring together FIS and the child dependant allowance; if the move will be complemented by a focussed information campaign in order that families in need are aware of their entitlements; and if he will make a statement on the matter. [11805/05]

Séamus Brennan (Dublin South, Fianna Fail)
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I propose to take Questions Nos. 115, 160 and 162 together.

My Department provides a range of payments to families with children. These include child benefit, child dependant allowances and family income supplement.

Child benefit is a non-means tested payment made to families regardless of employment status. It, therefore, supports all children but delivers proportionately more assistance to those on low incomes and with larger families. From this month, when budget 2005 rate increases have taken effect, monthly child benefit rates are €141.60 in respect of each of the first two children and €177.30 in respect of the third and subsequent children. Child benefit has increased by €103.51 at the lower rate and €127.78 at the higher rate since 1997, increases of 272% and 258%, respectively.

Child dependant allowance is an additional payment made to social welfare recipients in respect of eligible child dependants under 18 years of age. This age limit can be extended to 22 years in specified circumstances where the child remains in full-time education.

The family income supplement scheme is an in-work income support, designed to provide cash support for employees on low earnings with families, to help preserve the incentive to remain in employment in circumstances where the employee might otherwise only be marginally better off than if they were claiming other social welfare payments.

In the current social partnership agreement Sustaining Progress, ending child poverty was selected as one of the areas of special initiative to be addressed. As part of this initiative, the question of changing existing arrangements for child income support was raised. The introduction of a second tier payment in respect of children in low-wage or unemployed households was identified and the National Economic and Social Council, NESC, has been asked to review child income support and, in particular, the possible merging of family income supplement and child dependant allowances into a second-tier child income support payment.

My officials have recently been in consultation with NESC on the subject. This review, which NESC expects to complete during 2005, will inform the development of future policy in this area.