I move:—
Go ndeontar suim Bhreise ná raghaidh thar £233,000 chun íoctha an Mhuirir a thiocfaidh chun bheith iníoctha i rith na bliana dar críoch an 31adh lá de Mhárta, 1939, chun Tuarastail agus Costaisí i dtaobh Arachais Díomhaointis agus Malartán Fostaíochta (maraon le síntiúisí do Chiste an Díomhaointis) agus i dtaobh Conganta Dhíomhaointis (9 Edw. 7, c. 7; 10 agus 11 Geo. 5, c. 30; 11 Geo. 5, c. 1; 11 agus 12 Geo. 5, c. 15; 12 Geo. 5, c. 7; Uimh. 17 de 1923; Uimh. 26 agus Uimh. 59 de 1924; Uimh. 21 de 1926; Uimh. 33 de 1930; Uimh. 44 agus Uimh. 46 de 1933; Uimh. 38 de 1935; agus Uimh. 2 de 1938).
That a Supplementary sum not exceeding £233,000 be granted to defray the Charge which will come in course of payment during the year ending 31st March, 1939, for Salaries and Expenses in connection with Unemployment Insurance and Employment Exchanges (including Contributions to the Unemployment Fund) and Unemployment Assistance (9 Edw. 7, c. 7; 10 and 11 Geo. 5, c. 30; 11 Geo. 5, c. 1; 11 and 12 Geo. 5, c. 15; 12 Geo. 5, c. 7; No. 17 of 1923; Nos. 26 and 59 of 1924; No. 21 of 1926; No. 33 of 1930; Nos. 44 and 46 of 1933; No. 38 of 1935; and No. 2 of 1938).
As Deputies will have seen from the Estimate, this supplementary sum is required because of the necessity of making increased provision under two heads—(1) in actual cost of unemployment assistance, an additional £175,000, and (2) deficiencies in Appropriations-in-Aid, £68,000. In regard to the additional £175,000 required for unemployment assistance the position is that the amount of £1,160,000 voted for unemployment assistance in the current financial year will be insufficient. In estimating that amount regard was had chiefly to the actual expenditure in the previous financial year, so far as it was known at the time when the Estimate was prepared, and, of course, to the increased rates of unemployment assistance which had become payable as from the 26th January, 1938, following the enactment of the Unemployment Assistance Act of that year. It is now apparent that the amount voted will not suffice for the payments of unemployment assistance which are likely to be made during the remaining weeks of the financial year. The weekly number of recipients of unemployment assistance has been higher throughout the year than in the preceding financial year. The increase in the number of recipients of unemployment assistance in the first weeks of the 1938-39 financial year over the corresponding weeks of the previous financial year was approximately 10,000, but in succeeding weeks the increase gradually diminished until, towards the end of the year, it practically disappeared. Since that date, however, there has been an increase also recorded in the number of recipients. Whatever the reasons for that increase in the number of persons receiving unemployment assistance, it is clear that the additional provision must be made if the statutory obligation of the Government to pay unemployment assistance at the prescribed rates and under the prescribed circumstances is to be fulfilled.
Included in the Estimate of £720,900 for Appropriations-in-Aid, are six items. The particular item which will fail to yield the amount estimated is Item No. 4, that is, Receipts from County Borough and Urban Area Councils under Section 26 of the Unemployment Assistance Act, 1933, as amended by the Unemployment Assistance (Amendment) Act, of 1938, from which it was estimated that an amount of £225,000 would be received. The yield from that source will fall short of the Estimate by some £68,000.
The appropriate section of the 1933 Act requires the four County Boroughs, the Borough of Dun Laoghaire and the twelve urban districts that are "urban areas" for the purposes of the Act, to pay to the Minister for Industry and Commerce a specified poundage rate on their rateable values at the beginning of the immediately preceding financial year. In the cases of the County Borough of Dublin and the Borough of Dun Laoghaire the rateable value is the rateable value as deemed to be reduced by Section 69 of the Local Government (Dublin) Act, 1930, and, in the case of the County Borough of Limerick, as deemed to be reduced by Section 28 of the Limerick City Management Act of 1934. It was intended that this obligation would require payment at the specified poundage rate of 1/8 for the four County Boroughs and the Borough of Dun Laoghaire, and 9d. for the other twelve urban areas, on the total valuations of the areas less only the specified deductions authorised by the Acts in the cases of Dublin, Dun Laoghaire and Limerick. Some of the councils, however, are reading the obligation as requiring them to pay the prescribed poundage rate, on not their total valuations, but the valuations as reduced by the valuations or the portions of valuations of properties that are not productive of rates. The descriptions of these properties which are not productive, or are only partially productive, of rates are very varied, including such descriptions as new buildings, council houses, half-annuals, gradual rating scheme, reconstructed buildings, vacant buildings, premises affected by Housing Acts, and so forth. During this year, many of the councils which have hitherto paid the prescribed poundage rate on their total valuations have not made payments on the valuations of the properties that did not produce rates. In addition they have made recoveries from current payments of the amounts paid by them in previous years on such non-productive valuations. In consequence, the yield from that source, which was estimated to amount to £225,000 is expected to yield only £157,000, that is £68,000 less than the estimated yield.
The interpretation taken by the councils of their obligations reduces considerably the payments which it was intended they should be required to make under the Unemployment Assistance Acts and, without prolonged litigation, the matter could not be determined. Recipients of unemployment assistance resident in those areas receive the higher rates of assistance prescribed by the Acts and the payments required from the councils were intended to enable the higher rates to be paid in those areas. The whole position is being examined with a view to having the matter adjusted but, in the meantime, during the current financial year, the shortage of £68,000 in the expected yield from that source must be met.
It is estimated that there will be a saving of £10,000 on the other subheads of the Vote and this will reduce the total of £243,000 to the amount of £233,000 for which the Supplementary Vote provides.