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Dáil Éireann debate -
Thursday, 22 Nov 1973

Vol. 269 No. 3

Ceisteanna—Questions. Oral Answers. - Poverty and Unemployment.

24.

asked the Minister for Social Welfare if he will outline his comprehensive plans to eliminate poverty and unemployment and his plans for economic and social service measures in this regard.

An earnest of this Government's intentions regarding the elimination of poverty is to be found in the unprecedented increases from July of this year in all rates of social insurance and assistance payments including substantial increases in the rates of children's allowances and extension of that scheme to provide for payment in respect of children between the ages of 16 and 18 years who are continuing in full-time education or are apprenticed or disabled. In addition the pension age was reduced to 69 and a scheme of payments introduced for unmarried mothers.

From April, 1974, a scheme of pay-related unemployment and disability benefit will operate and the income limit of £1,600 for the compulsory insurance of non-manual workers will be abolished. Other developments under consideration at present are the extension of social insurance to the self-employed and a reform of the home assistance scheme.

Will the Parliamentary Secretary agree that the Exchequer showed a profit on the rearrangement of children's allowances.

The estimated expenditure on social welfare is £235 million compared with a figure of £171 million based on the 1972 budget provisions, representing an increase of 37 per cent.

How much extra income tax has been accruing to the Exchequer?

That is a separate question.

Is the Parliamentary Secretary satisfied now that the problem of poverty is widespread in the country and have his investigations shown him that the problem is of such magnitude that it merited the position of No. 2 priority in his party policy statement before the recent election? If this problem is so widespread does he not agree——

This is a long statement.

——it must be one that is experienced by recipients of pensions and State benefits? Does he not think that the recent increases in the cost of living have gobbled up——

This is an omnibus question. It is desirable that supplementaries should be delivered separately.

——what we had promised those people. Their condition has not been improved and it is high time to give them further increases to offset increases in the cost of living.

The Deputy is abusing his privilege at Question Time by behaving in this manner.

Unfortunately I must agree with the Deputy that after 16 years continuous Fianna Fáil rule the estimate of the number of people in the poverty category in the country is 20 per cent. The present Government are extremely concerned about that situation. Several initiatives have already been taken to try to alleviate the problem and there are plans to attempt to alleviate it. Unfortunately, the Deputy's estimate, after his party's 16 unbroken years in Government, is true.

Would the Parliamentary Secretary not agree that if those people are experiencing poverty they would much prefer the Parliamentary Secretary and his colleague to look forward now rather than backward?

Deputy Lemass asked, arising from the Parliamentary Secretary's reply, in which he drew in subjects that had not been mentioned, how much was accruing to the State in revenue arising from increased children's allowances to repay a certain amount of the additional millions alleged to have been paid out. Deputy Lemass asked whether there was not a profit being made by the State on the children's allowances. The Parliamentary Secretary did not reply to that. He avoided the issue.

It is so ludicrous he should not reply to it. Absolutely daft.

Question No. 25.

What about increased prices, increased VAT?

Deputies are broadening the scope of the question out of all proportion.

Children's allowances are paid to everyone and the increases are recouped only from those with an actual income of something in the region of £3,000 per year. How anyone could suggest that a profit has accrued to the State is, as the Minister has said, so ludicrous that it does not warrant an answer.

The Parliamentary Secretary says that now. There will be a different story in the Book of Estimates next year.

Is the Parliamentary Secretary aware that the shadow Minister for Finance promised to return the tax on food if he got back into power?

This is irrelevant.

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