Dáil Éireann debate -
Tuesday, 16 Feb 1999

Vol. 500 No. 4

Written Answers. - Child Poverty.

Michael Ferris

Question:

303 Mr. Ferris asked the Minister for Social, Community and Family Affairs the number of children in Ireland who are living below the poverty line; the way in which this compares with other EU members states; and if he will make a statement on the matter. [4313/99]

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

The latest figures available for child poverty in Europe – a child being defined as less than 16 years of age – were published by EUROSTAT in May 1997. It was a paper based on data drawn from the European Community Household Panel which found that, in 1993, 28 per cent of children in Ireland lived in households with income less that 50 per cent of average household income. This equated to 322,000 children. The survey used country-specific poverty lines and these are not comparable across member states. It is not possible to give a current figure for the number of Irish children living in poverty until awaited ESRI data on poverty trends in the period 1994-97 become available later this year.

The incidence of child poverty is a major concern of this Government and recent budget measures, along with targeted policy initiatives, have sought to ensure that our children are protected and are given the opportunities to break the inter-generational cycle of poverty.

Child income support plays a major role in reducing and preventing child poverty and there is widespread agreement that child benefit is an effective mechanism in tackling poverty as it channels resources directly to families and is of particular importance to families on low incomes.

In the recent budget, child benefit was increased by £3 per month to £34.50 for each of the first two children and by £4 per month to £46 for the third and all subsequent children. Some 513,000 families with a total of 1.2 million chil dren will benefit from these increases. The full year cost of these increases is £40.76 million. The total projected spend on child benefit in 1999 is £447.5 million.

Family income supplement is designed to provide income support for low-wage employees with children. The payment is also available to single parents. The 1998 budget provided for the calculation of FIS on a net rather than gross income basis which significantly increased the supplements payable under the scheme. In addition, from June 1999, the weekly income thresholds for FIS will be increased by £8 which will result in a gain of £4.80 per week for many of the 13,000 families on FIS.

Research has shown repeatedly that unemployment is a key factor in producing poor households and this includes households containing children. Unemployment has fallen substantially in recent years, standing at an estimated 7.4 per cent for 1998, down from 15.7 per cent in 1993, demonstrating the significant progress already made towards the National Anti-Poverty Strategy's target rate of 6 per cent by 2007 and the employment action plan target of 7 per cent by end-year 2000. Considerable progress has also been made on long-term unemployment which stood at 3.9 per cent for the period March to May 1998, the latest date for which figures are available, with the NAPS target of 3.5 per cent almost achieved.

Under the National Anti-Poverty Strategy, a system of poverty proofing has also been introduced on a one-year pilot basis across Government Departments. This system ensures that the needs of the poor and socially excluded are considered as policy is being designed. Children, particularly those living in large families, are identified as one of the groups at particular risk of poverty and are thus given particular attention in this process.

There are several relevant reports out this year. These include the publication of an ESRI report on trends in poverty between 1994 and 1997, expected around Easter, as well as research on child poverty being conducted by the ESRI on behalf of the Combat Poverty Agency, due to be completed in mid-1999. These publications, as well as other research, will help to inform policy in this area, thereby ensuring that this Government's commitment to meeting the needs of the disadvantaged in our society will continue to be achieved.