I thank Senator Ridge for raising this issue which I expected might have been raised during the debate on the Social Welfare Bill. I am pleased to have this opportunity to outline the supports provided to families under the child benefit scheme and, specifically, to address the question of the supports to families with twins and to families with multiple births of three or more children.
Child benefit is currently payable in respect of all children up to age 16 years and continues to be paid in respect of children up to 19 years of age who are in full-time education or who have a physical or mental disability.
Prior to this Government coming into office, the position in relation to twins and multiple births of three or more children was as follows. Child benefit was payable at double the normal rate for each child where three or more children were born together. A birth grant of £300 was also payable in respect of triplets and a birth grant of £400 was payable in respect of quadruplets or more. Child benefit was payable at the normal rate in respect of twins. A special grant of £500 was also payable at the birth of twins and further grants of £500 were payable when the twins reached the ages of four and 12.
Prior to the last election, a commitment was given by Fianna Fáil to increase the level of child benefit payable in respect of twins. This commitment was set out in a document produced by my colleague, the Minister for Education and Science, Deputy Woods. In my first year in office I fulfilled that commitment when I introduced changes to the Social Welfare Acts to provide that the rate of child benefit payable in respect of twins should now be set at 150% of the normal child benefit rate. This measure came into effect in September 1998 at a full year cost of £4.8 million.
The organisation to which the Senator referred wrote to me in October 1997 asking me to fulfil the solemn commitment given by my party prior to the last election in its election manifesto, that is, to increase child benefit for twins by 50%. In December of that year, we fulfilled the commitment in the budget, which ultimately came into effect of September 1998. I have fulfilled the commitment prior to the election. I suppose eaten bread is soon forgotten and people are coming back, which I fully accept.
I also decided to extend the £500 grants, which previously were confined to families with twins, to include families with multiple births of three or more children. These improvements in the level of supports provided under child benefit schemes to families with twins and families with multiple births of three or more children are very significant in their own right. They must also be viewed, however, in the context of the very substantial improvements to the scheme generally in recent years.
The 1999 budget, for example, provided for an additional investment in the child benefit scheme of over £40 million in a full year. From September 1999, the basic rates of child benefit were increased by £3 in respect of the first two children and £4 in respect of the third and subsequent child, bringing the rates up to £34.50 and £46.00 respectively.
The 2000 budget provides for a full year investment of almost £106 million, an increase of £40 million on the previous year, with the lower rate set to increase by £8 per month and the higher rate by £10 per month with effect from September of this year. As a result, total investment in the child benefit scheme is being increased to £575 million per annum. These improvements will benefit all families with children, including families with twins.
I am deeply committed to the continued development of the child benefit scheme for the benefit of all of the nation's children. Indeed, this is echoed in the agreement, the Programme for Prosperity and Fairness agreed with the social partners, which commits the Government to further substantial increases in the level of payments under the child benefit scheme, with a priority focus towards £100 per month for third and subsequent children.
Obviously, the question of introducing additional special measures to enhance the position of twins within the child benefit scheme will continue to be borne in mind. That much having being said, however, I emphasise that the fulfilment of these wider commitments under the new Programme for Prosperity and Fairness will be central to the future development of the child benefit scheme.
