Dan Neville (Limerick West, Fine Gael)
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Question 130: To ask the Minister for Social and Family Affairs his views on the recommendations published by CORI Justice in the Socio Economic Review for 2008, entitled Planning for Progress and Fairness, of introducing measures to address child poverty and child care problems by increasing child benefit or increasing the early childhood supplement; and if he will make a statement on the matter. [12129/08]

Martin Cullen (Waterford, Fianna Fail)
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In its Socio Economic Review for 2008 CORI Justice proposed that the issues of child poverty and childcare be addressed through substantial increases in child benefit and/or early childcare supplement.

Child benefit (CB) is a universal payment, paid in respect of children up to the age of 16 years. It continues to be paid in respect of children up to age 19 who are in full-time education, or who have a physical or mental disability.

Child benefit supports all children but delivers proportionately more assistance to those on low incomes and with larger families. While it is not intended primarily to meet childcare costs, the very substantial increases in benefit in recent years can make a significant contribution to meeting those costs.

Effective from April 2008, monthly rates of child benefit have increased to €166 in respect of each of the first two children and €203 in respect of the third and subsequent children. Monthly rates of child benefit have increased by €127.90 at the lower rate and €153.48 at the higher rate since 1997, increases of 335.7% and 309.9% respectively. This level of increase is unprecedented and is in line with the Government's objective of improving income for children generally.

Early childcare supplement which is the responsibility of my colleague, the Minister for Health and Children is payable in respect of all children under the age of 6 years who receive child benefit.

It came into effect on April 1st, 2006 at an annual payment of €1,000 per year. This amount was increased to €1,100 in Budget 2008. The question of further increases in child benefit will be considered in a budgetary context.