Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Question 243: To ask the Minister for Social Protection if she will clarify if the commitments made by her in relation to older persons through the recent universal periodic review process mean that basic State supports and safeguards against poverty, including the State pension and free travel, will be retained at their current rates in budget 2012; and if she will make a statement on the matter. [35562/11]

Joan Burton (Dublin West, Labour)
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I am very conscious of the needs of people on social welfare and fully understand that a wide range of groups depend on the welfare budget for vital support. In the context of a very tough budgetary environment, I will do my utmost to protect the most vulnerable people in Irish society, including retired and older people in receipt of social welfare pensions and the free travel scheme.

The social protection budget grew dramatically during the years of the Celtic tiger. In 2001 spending on social protection stood at €7.84 billion and the 2010 outturn stands at €21.35 billion. This is an increase of 272% which is way above the increase in inflation of around 30% during the same period. Spending on schemes, services and administration in 2011 is estimated at €20.62bn. Pensions and other supports for retired and older people accounts for almost 30% of overall expenditure at just over €6 billion. My Department will spend over €77 million in 2011 on the free travel scheme which will benefit over 700,000 people, some 520,000 of whom are aged over 66.

In relation to poverty, I am overseeing a comprehensive review of the national poverty target. This review will enable the Government to adopt appropriate and achievable national poverty targets to meet Ireland's contribution to the EU poverty target in the Europe 2020 Strategy and the commitments in the Programme for Government. I will present the outcome of the review for the consideration of the Cabinet Committee on Social Policy when it has been finalised.

I recognize that there is a need to safeguard, as far as possible, the key income supports and services operated by the Department. However, sustainable public finances are a prerequisite for maintaining an adequate system of social protection as well as for achieving future economic stability and growth. For these reasons, the State must pursue a determined deficit reduction strategy. Accordingly, there will be an on-going requirement to curtail expenditure and prioritise resources in my Department and in all other Departments, in 2012 and in later years.

In this regard, my Department has completed a Comprehensive Review of Expenditure. The purpose of the Review is to assess the effectiveness and value for money of spending programmes across all Departments and agencies. All spending lines are being examined without exception and possible ways of reducing spending are being considered in every area of expenditure. The intention behind the methodology being followed is to provide the Government with a set of decision options to enable it to meet three objectives. These objectives are firstly to achieve overall fiscal consolidation outcomes, both as regards spending and numbers reduction targets, secondly to re-align spending with the Programme for Government priorities and thirdly, to consider new ways of implementing Government policy in the context of public sector reform.

In my discussions with my colleagues in Government I will have regard to any views expressed by the UN and by welfare representative organisations. In this regard, I held a Pre-Budget Forum on 16 September last. This was attended by 34 organisations and I and my officials had the opportunity to listen carefully to their proposals relating to the next Budget. Decisions in relation to welfare funding will be made in due course after full consideration by the Government and will be announced on Budget day.