Dáil Éireann debate -
Tuesday, 30 Sep 1997

Vol. 480 No. 6

Written Answers - Social Welfare Benefits.

Michael Bell

Question:

396 Mr. Bell asked the Minister for Social, Community and Family Affairs the plans, if any, he has to continue child benefit to children who continue in full-time education up the age of 20 or 21; and if he will make a statement on the matter. [14560/97]

Minister for Social, Community and Family Affairs (Mr. D. Ahern):

Child benefit is a universal payment which is payable in respect of all children up to the age of 16 years and continues to be paid in respect of children up to age 19 who are in full-time education, or who are physically or mentally challenged.

Child benefit is an effective means of tackling poverty, as it channels resources directly to families. It is of particular importance to families on low incomes, as it is not taxable, is not withdrawn when an unemployed parent takes up employment and is not assessed as means for other secondary benefits such as differential rents, medical cards, etc. Child benefit, therefore, does not act as a disincentive to taking up employment or improving wages.

The policy direction over the past number of years, has been to concentrate resources on improving child benefit and the level of child benefit payments has been increased substantially. This year's improvements in child income support have been targeted to benefit low income families and in particular, larger families. This has been achieved by increasing the higher rate of child benefit, payable in respect of third and subsequent children by £ 5 to £ 39 per month and in addition, increasing the lower rate of child benefit, payable in respect of the first and second child by £ 1 to £ 30 per month.

Any proposals to extend entitlement to children up to the age of 21 in full-time education, would have to be considered in the light of available resources and overall budgetary priorities.