Written answers

Thursday, 9 February 2023

Department of Employment Affairs and Social Protection

Social Welfare Rates

Photo of Paul MurphyPaul Murphy (Dublin South West, RISE)
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33. To ask the Minister for Employment Affairs and Social Protection if she will immediately review social welfare rates in light of the rising cost of groceries; and if she will make a statement on the matter. [6088/23]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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I fully recognise the challenges the increased the cost of living has brought to many people and families. That is why, in September, I announced the largest social protection Budget package in the history of the State - comprising measures worth almost €2.2 billion.

This included eight separate cost of living lump sum payments throughout October, November and December to ease the pressure that many households are facing.

From the start of January, we have seen a wide range of increases come into effect which were announced as part of Budget 2023. This includes a €12 across the board increase to weekly rates – the largest increase to weekly rates since the mid-2000s.

I also announced the largest ever expansion in the Fuel Allowance scheme, and we have seen over 20,000 additional households join this scheme since the Budget.

The ESRI post-Budget analysis shows that Budget 2023, combined with once-off measures to reduce the cost of living, will be effective in protecting most households from rising prices this winter.

Their analysis further shows that the approach taken by the Government, of targeted welfare measures combined with universal energy credits, will be more effective at protecting most lower income households this winter than had welfare rate payments risen in line with inflation in 2022/2023.

And further measures are in train - the third energy credit is due in March / April and will deliver a further €200 to virtually all households in the state.

Also, when including the once-off measures, the ESRI’s December Distributional Analysis shows that the Budget was progressive, helping those in the lower income deciles the most.

I would like to highlight that if any person or family are struggling to pay their bills, they can apply to my Department for the Additional Needs Payment. There is currently an information campaign underway to raise awareness about this payment.

Finally, I can assure you that we are keeping the situation under close review on a whole of Government basis and are ready to respond as and when required.

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