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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Social Welfare Benefits.

Christmas double payment for long-term unemployed

Summary

Deputies asked why long-term unemployed people were excluded from the 1984 Christmas double payment and sought provision for 1985, arguing that unspent unemployment funds could have covered it. The Minister said the Government had allocated up to £20 million within overall budget constraints; a 1985 proposal covering long-term recipients, including the unemployed, was before the Government, but no commitment had been made and payment would depend on the Department’s finances.

Mary Flaherty Miss Flaherty Fine Gael

asked the Minister for Social Welfare the reason he did not agree to the ICTU proposal that the unclaimed family income supplement fund be used to pay a double week's payment to the long term unemployed at Christmas, 1984 and if he will give a commitment to make provision in the 1985 Estimates for such payments.

13.

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asked the Minister for Social Welfare the reason a double week's payment was not made to the long term unemployed last Christmas in view of the fact that money budgeted for unemployment payments in 1984, but not spent, would have covered the cost of this; if he will ensure that sufficient funds are budgeted to pay a double week to this category at Christmas 1985; and if he will make a statement on the matter.

Comment on this

I propose to take Questions Nos. 12 and 13 together.

Provision was not included for a double payment last Christmas in the original 1984 Budget. This was also the position in previous years. In the light of overall budgetary trends both on the spending and funding sides, the Government, however, subsequently found it possible as the year progressed to allocate a maximum of some £20 million for a double payment. Within this amount, it was not possible to provide a double payment for the long term unemployed.

The question of a double payment at Christmas 1985 is a matter which will be considered by the Government in the light of budgetary developments during the year.

Comment on this

Could the Minister indicate under what headings the saving was made from which the extra £20 million was paid to the categories of people who received it at Christmas?

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I think that is a separate question.

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Could I then ask the Minister if it is not true that the money was paid from the saving made on unemployment payments, which amounted to £68 million and which could have been used to cover the double payment to long term unemployed if the Government had so chosen to do? Could he indicate why it was not chosen to do that?

Comment on this

While it would have been possible to provide for a double payment to the long term unemployed out of the savings on unemployment payments, the Government in their decision to grant double payments to pensioners and other recipients had to take into account the overall target set for expenditure and revenue on the current budget side. The overall level of savings in the current budget in 1984 was some £50 million, which led to a reduction of £49 million in total Exchequer borrowing requirements for the year to £1,825 million. Up to the final quarter, there were serious dificulties in raising the necessary domestic funding to meet the Exchequer borrowing requirements and this put considerable pressure on the Government to keep spending at as low a level as possible.

Comment on this
Mary Flaherty Miss Flaherty Fine Gael

Would the Minister not accept that the needs of the long term unemployed are at least as great as and in many cases greater than, those who are currently given a double week? Now that the double week has become almost an established pattern in social welfare — and I should not like to see the Government reducing that commitment currently — would the Minister give us any commitment that this double payment will be a priority in the spending of his Department, and that the extension of the double payment to the unemployed will be included in arrangements for payments this year?

Comment on this

I would agree with the Deputy that the cases of some of the long term unemployed are far more deserving than some cases included in the 1984 double payment. A proposal for a Christmas payment in 1985 to all long term social welfare recipients, including the long term unemployed, has been put before the Government in the context of the 1985 Budget. A definite commitment to the proposal was not made in the budget. The possibility of a Christmas payment in 1985 for these categories will depend to a large extent on the overall situation on the Vote during 1985.

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

The remaining questions will appear on tomorrow's Order Paper.

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