Written answers

Wednesday, 15 June 2011

Department of Social Protection

Social Welfare Code

10:00 pm

Photo of Barry CowenBarry Cowen (Laois-Offaly, Fianna Fail)
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Question 36: To ask the Minister for Social Protection if there are any red line issues in her Department. [15359/11]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The question of red line issues arises in the context of the Government's commitment to tackling Ireland's economic crisis and, in particular in the context of the Comprehensive Review of Expenditure currently underway. The Government has not singled out any single programme, scheme or service in the social welfare area or anywhere else that is 100% guaranteed to continue indefinitely in exactly its current format. To that extent, there are no red line issues in any department given the economic circumstances in which we find ourselves. The appropriate level of overall expenditure by my Department will be considered in the context of Budget 2012 and subsequent Budgets. This consideration will be informed by the commitment in the Programme for Government to maintain social welfare rates. The outcome of those deliberations will determine the extent to which the full range of current schemes and services can be maintained at current levels.

While the payments made by my Department have very positive economic and social effects, there is an ongoing necessity to curtail expenditure in 2012 and in later years. This is necessary for many reasons, not least so that we can continue to make social welfare payments at appropriate levels, sustaining social cohesion and treating people with dignity. The Comprehensive Review of Expenditure currently underway in all government departments and agencies will form the basis towards achieving this objective. Draft Reviews will be submitted to the Steering Committee in July and they will be finalised over the summer. The Review will then be considered by the Government in September.

The objectives of the Review are to inform the best use of resources and to guide us in achieving the Government's public Service Reform objectives. Better use of resources will enable us to meet overall fiscal consolidation targets; re-align spending with Programme for Government priorities and target resources at most effective programmes and set new objectives.

All Government departments and agencies will be covered by the Review, with each department preparing a comprehensive assessment and review of Programme savings and the identification of efficiencies and reforms.

The Government will also establish a Tax and Social Welfare Commission to examine entitlements of self employed and the elimination of disincentives to employment including the interaction between the taxation and the welfare systems to ensure that work is worthwhile. In particular, it will examine family and child income supports, and a means by which self-employed people can be insured against unemployment and sickness. The Commission's report will upon completion be made available to the Government for consideration.

Any changes to the wide range of schemes and services provided by my department, including the levels of welfare payments, will be informed by the overall Government wide options identified in the Review to better and more efficiently target scarce resources.

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