Dáil Éireann debate -
Wednesday, 7 Nov 2001

Vol. 543 No. 3

Written Answers. - Household Budget Survey.

Michael Creed

Question:

20 Mr. Creed asked the Minister for Social, Community and Family Affairs his views on the recent publication of the household budget survey in respect of the widening gap between the rich and the poor; and if he will make a statement on the matter. [26882/01]

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

I propose to take Questions Nos. 20 and 63 together.

The household budget survey results for 1999-2000, recently released by the Central Statistics Office, are a welcome addition to our understanding of economic and social trends in modern Ireland. The findings of the household budget survey complement and support the ESRI analysis of the 1998 Living in Ireland survey, Monitoring Poverty Trends and Exploring Poverty Dynamics, which I launched last July. The latter survey shows significant reductions in the levels of consistent poverty in Ireland since 1994. Consistent poverty fell from 15% in 1994 to 8% in 1998, and we are therefore well on our way to achieving our revised national anti-poverty strategy target of below 5% by 2004. The number of people and households experiencing income as opposed to consistent poverty at the higher 60% relative income line fell from 1994 to 1998. However, the proportion experiencing poverty at the lower 40% and 50% relative income poverty lines rose over the same period. This analysis is supported by the findings of the household budget survey which found that households at all income levels gained significantly in real terms over the period from 1994-5 to 1999-2000. It also found that the ratio between average weekly disposable income of households in the highest income decile compared with those in the lowest decile was 13:1 in 1999-2000, compared with 11:1 in 1994-5. However, this does not take account of the fact that households in the top income deciles are significantly larger than those in the lower deciles.

The success of policies over recent years in combating unemployment and reducing the level of consistent poverty demonstrates a tangible improvement in the lot of those on lower incomes notwithstanding the very rapid increase in average incomes driven by economic success. Our commitment is to strive towards the creation of an inclusive society where everyone has the opportunity and incentive to participate in the social and economic life of the country. We have given practical effect to that commitment in our economic, labour market and budgetary policies. I can assure the House that this commitment will be further underlined in the forthcoming budget.

Questions Nos. 21 and 22 answered with Question No. 8.