Liam Quaide (Cork East, Social Democrats)
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601. To ask the Minister for Employment Affairs and Social Protection if he will report on progress on completing and publishing the study on benchmarking and indexing working-age social protection payments committed to in the Mid-Term Review of the Roadmap for Social Inclusion; and if he will make a statement on the matter. [34532/25]

Dara Calleary (Mayo, Fianna Fail)
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The Roadmap for Social Inclusion 2020-2025 contains a commitment to "Consider and prepare a report for Government on the potential application of the benchmarking approach to other welfare payments". The Mid-term Review of the Roadmap identified this commitment as one of the focuses for 2023 to 2025.

The roadmap also includes a commitment to develop a benchmarking approach for use in adjusting the value of State pension payments. It is worth noting that indexing weekly social protection rates to only one measure, such as inflation, presents a challenge as it can widen the income gap between those dependent on social protection payments and other people in society.

The smoothed earnings approach proposed by the Department to index the rate of State Pension payments was subsequently endorsed by the Commission on Pensions and addresses this challenge as it links the pension rate to 34% of average earnings, and allows for variation in periods where inflation exceeds earnings growth.

In 2022 the Government decided that the Minister for Social Protection would, in submitting budget options, set out a rate of pension payment calculated using the smoothed earnings benchmark approach as an input for consideration as part of Budget discussions, on an annual basis, starting from September 2023.

Since then, this calculation was prepared and submitted annually to Government, most recently in September 2024, as part of preparations for Budget 2025. Any increases calculated under the smoothed earnings approach may be met, or exceeded, by a combination of rate increases and one-off measures taken by the Government in periods of high inflation.

A report on benchmarking and indexing working age social protection rates is being finalised by my Department and I will consider the report carefully once I have received it.

I trust this clarifies the matter for the Deputy.

Liam Quaide (Cork East, Social Democrats)
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602. To ask the Minister for Employment Affairs and Social Protection if he will provide an update on his Department's examination of the concept of income adequacy as a lever to take people out of consistent poverty in the context that our social protection payments are not linked to the cost of living; and if he will make a statement on the matter. [34534/25]

Liam Quaide (Cork East, Social Democrats)
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603. To ask the Minister for Employment Affairs and Social Protection if he will provide an update in relation to MESL 2025; the steps that are necessary to ensure that Ireland's obligations under the European Pillar of Social Rights and the UN Sustainable Development Goals are met regarding providing everyone with an income that allows them to live with dignity; and if he will make a statement on the matter. [34536/25]

Dara Calleary (Mayo, Fianna Fail)
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I propose to take Questions Nos. 602 and 603 together.

I welcome the recent publication of the 2025 Minimum Essential Standard of Living (MESL) on June 17th. The report provides an update of the MESL income needs to reflect price changes in 2025.

The Government acknowledges the impact that increases in the cost of living have on people, especially in relation to income adequacy. That is why the Government delivered Budget 2025, which provided significant €12 across the board increases in primary social protection weekly rates in addition to a range of targeted increases to schemes. The total value of the Social Protection measures in Budget 2025 was almost €2.6 billion.

It is not all about the headline rate. Our social protection system also provides a range of targeted secondary supports, such as the Living Alone Allowance, the over 80 Allowance, Adult Dependent Allowances, Child Support Payments and the Fuel Allowance, which are provided to people dependent on their particular circumstances and unique needs. Therefore, tailored targeted support is a feature of our social protection system.

In addition to these ongoing measures, the Social Protection package included a range of once-off cost-of-living supports delivered in Q4 2024. The cost of these cost of living supports was €1.4 billion and they were paid late last year.

Independent research from the ESRI showed that the impact of these measures was broadly progressive, supporting households in the lower income deciles.

The recently published MESL 2025 report focusses its analysis on the permanent adjustments to core rates and secondary supports – it does not take account of the once-off supports provided by Government in recent budgets, including Budget 2025.

Focusing particularly on Children in 2025, the MESL report notes the positive impact of a number of recent policy measures in this area, including the New Baby Grant, the expansion of the Hot School Meals programme and free school book schemes.

Nevertheless, the Government continues to monitor the situation and will of course take this valuable analysis from the Vincentian MESL Research Centre into account in preparing the budget. The analysis from the Vincentian MESL Research Centre is funded by the Department of Social Protection.

The report and other useful research and analysis, including the latest prices data published by the CSO, will be important inputs to the Government’s consideration when framing Budget 2026.