Dublin South West Sinn Féin TD, Seán Crowe, has called on the Minister for Social Protection Joan Burton to end the uncertainty and unnecessary worry being experienced by families surrounding the continuation of child benefit.
He was speaking after the Joint Committee on Education and Social Protection heard submissions from the National Women’s Council of Ireland and the End Child Poverty Coalition regarding the Mangan Report on Child Benefit.
Deputy Seán Crowe said:
“The Government, via the Tánaiste Eamon Gilmore, Minister for Education Ruairí Quinn and Minister for Social Protection Joan Burton, have sent out mixed messages over the last week regarding child benefit.
“Ruairí Quinn has suggested that further cuts to child benefit could be introduced to subsidise an additional free pre-school year. Eamon Gilmore has said after that no further changes to child benefit will happen. But the Oireachtas Social Protection Committee has already heard that Joan Burton has asked the Advisory Group on Tax and Social Welfare, Chaired by Ms. Ita Mangan, to look again at her Child Benefit thresholds.
“We know that the first report of the Advisory Group has already been brought to Cabinet by Joan Burton.
“I am urging Minister Burton to end the doubt and shelve this Mangan Report and recommit to her original Labour Party election promise, not to cut child benefit.
“We know that when Ms. Mangan gave a detailed technical briefing on her report to journalists and lobby groups that she added to the uncertainty. Her comments that there was “no point in suggesting there won’t be losses for some people in this change,” contradicted those of Eamon Gilmore.
“She initially suggested better off people will lose and some lower income families will gain, which seems fair, but she also worryingly indicated that some lower income families will also lose.
“Minister Burton seems to be planning the introduction of a second tier of child benefit that will involve a major cut to child benefit right across the system.
“The report she outlined to Cabinet under which families will only qualify for the maximum payment if they earn less than €25,000 and a reduced standard rate of about €110 a month would be paid for each child, down €20 from the current €130.
“This would create a two-tier system of child benefit.
“The largest possible weekly “top-up” would be €38, but the supplement would then be cut as income increases beyond €25,000. Parents would also have to apply for the “top-up” online where they would be required to make a full declaration of household income, which would add a further layer of bureaucracy to the scheme.
“In my opinion any second tier of child benefit or support should only be considered as an addition to existing benefits, not as a direct cut.
“A far more practical way of delivering this saving would be to reduce the income limits used to assess qualification for Family Income Supplement and to increase the dependent child allowance associated with other social welfare payments.
“This proposal would be fairer, easier to operate and end the uncertainty that families and parents are currently experiencing.”
ENDS