Written answers

Wednesday, 16 April 2014

Department of Social Protection

Social Welfare Payments Administration

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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23. To ask the Minister for Social Protection her plans to transfer payments from her Department to an electronic system; if she has discussed this proposed change with the Department of Communications, Energy and Natural Resources; and if she will make a statement on the matter. [17736/14]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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Last year, the Government approved the Department’s Payment Strategy for the modernisation of welfare payments. One of the primary objectives of this strategy is to reduce the number of cash payments where possible. This will generate significant savings in fees paid for cash services and increase efficiencies in the payment cycles at both departmental and national levels. The Payment Strategy is consistent with wider Government policies. It gives new impetus to the policy first agreed by Government in 2004 to move to a fully electronic payments environment. It is also grounded in the wider agenda for better public services and more effective e-payments as set out in the Public Service Reform Plan and the eGovernment Strategy 2012-2015. The Strategy is fully aligned with the objectives of the National Payments Plan which stresses the criticality of moving to electronic payments in order to reduce the exceptionally high levels of cash usage in the Irish economy with its consequential impacts on costs and competitiveness. In supporting this agenda, the Payment Strategy aims to remove the limits that cash payments impose on clients in terms of making onward financial transactions, availing of cheaper prices online and through electronic payment transfers, and building levels of financial inclusion. However, I have consistently stressed that those most vulnerable in our society will be protected and that no client will be left without payment if they are not in a position to accept that payment electronically. The Department of Communications, Energy and Natural Resources is fully aware of the Department’s Payment Strategy. The Deputy will be aware that these matters were addressed by Minister Rabbitte in this House and the Seanad recently.

We are all conscious of the clear trend towards electronic payments which are being adopted by consumers generally as a matter of choice. These behavioural choices are very apparent among the Department’s clients also. The Department is willing to accommodate its clients in exercising their choice for electronic payments where this is possible in the interests of economy, efficiency and national competitiveness.

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