Dáil Éireann Debate, Wednesday - 6 October 2004
176 Mr. Gilmore asked the Minister for Social and Family Affairs if he intends to continue the Government’s three-year programme of increases in child benefit; and if he will make a statement on the matter. [23300/04]
View answerThe policy direction followed by successive Governments has been to concentrate resources for child income support on the child benefit scheme. Child benefit is neutral vis-à-vis the employment status of parents and therefore does not contribute to unemployment or poverty traps.
Over the period since 1997, monthly rates of child benefit has increased by between €93.51, at the lower rate of payment, and €115.78, at the higher rate. These are very substantial increases of 246% and 234% respectively, compared with inflation of 26.9% over the period.
In budget 2001, the Minister for Finance announced a multi-annual programme of increases in child benefit to the value of €1.27 billion over three years. This was subsequently extended to five years, to be completed in budget 2005. The implementation of this commitment is a matter to be dealt with in a budgetary context.
