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Dáil
‹ Leaders’ Questions.

Widows’ social welfare payments

Summary

Kenny challenged cuts affecting widows’ pensions and lone-parent allowances. The Taoiseach defended the one-income-maintenance principle and cited other welfare increases, while saying the Minister would consult affected groups and keep the changes under review.

In the course of the budget, the Minister for Social and Family Affairs introduced 16 savage social welfare cuts. One of these related to the widow's pension and lone parent's allowance. Last week the Government voted down a Private Members' motion in the names of the Labour Party, Fine Gael and the Green Party. The Minister, Deputy Coughlan, in response to the debate, promised a review. The Tánaiste, at last weekend's love-in in Killarney, spoke about social justice, despite that the Progressive Democrats are part of the Government that made this decision in the first instance. In a written reply today, the Minister, Deputy Coughlan, said that the decision was made because of pressure on Government spending.

The Revenue Commissioners have indicated that the Exchequer will take in at least €540 million, and probably much more, from settlements relating to offshore accounts made yesterday. The Government clearly has no excuse for maintaining this cut. There is now a surplus €1.4 billion in the social insurance fund. The widow's pension is a contributory scheme into which widows pay. A total of 2,000 widows and their families will be directly affected by this decision. As was pointed out, these people comprise a group that is the most vulnerable in society. It is a lousy cutback and it is a shame that the Government inflicted it upon them.

I want the Taoiseach to confirm that he will go beyond merely carrying out the review to which the Minister, Deputy Coughlan, referred and indicate to the House that this disgraceful decision will be reversed. Has the Taoiseach considered last week's debate, the public comment on this matter and the extent of concern expressed by the widows' association and by people in general? Has he further considered that it is hypocritical in the extreme for the Minister for Social and Family Affairs to say that the cut was introduced because of pressure on Government spending, especially when there is a surplus of €1.4 billion in the scheme to which I refer and when the cutback will only lead to a saving of €5.8 million?

Comment on this

The Minister stated that she is keeping this issue under review and that she is meeting some of the bodies involved. She has already met the widows' association and has been in contact with some of the other bodies involved in this area. She has engaged in such contacts as part of her examination before bringing any proposal forward.

The reason this matter was under consideration——

Comment on this

There is no justification for it.

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——is the general principle common to social welfare systems throughout the world that a person is only entitled to one income or maintenance payment at any one time. That is how the issue arose.

Cases about the effects of this provision on widows have been made in this House and elsewhere and I do not need to restate them. The Minister for Social and Family Affairs, Deputy Coughlan, introduced €530 million worth of additional increases bringing her total budget to €11.26 billion. It is clear the Minister took account of general principles when considering this issue. She also considered, based on the data given to her at the time, the small fraction of the approximately 120,000 persons in receipt of non-contributory widower's pensions affected by this measure and tried to make provision for the €0.5 billion extra required from her budget.

Deputy Kenny is correct. The figures for the first quarter are better than those on which the Minister for Social and Family Affairs worked at that time. We should also take account, not that it is relevant only to this issue, of the 85% increase in the last few years in widow's contributory pensions for those aged over 65 and the increase of 55% for those under 66 years of age.

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They are still expected to live on €140 per week.

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Rory O'Hanlon An Ceann Comhairle Fianna Fáil

Order, please.

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The recent budget also provided an increase to €2,700 in the widowed-parent grant. There is no need for me to add to what has already been said by the Minister for Social and Family Affairs. She will meet the groups involved and is keeping the implementation of these reforms under review. I am sure she will return to them.

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The late Ernest Blythe took a shilling from old age pensioners and the repercussions, in political terms, against Cumann na Gael and Fine Gael Party lasted for 60 years.

This is a shameful act by the Government. Does the Taoiseach agree that there is a surplus of €1.4 billion in the social insurance fund? Does he agree with the Minister's written reply last week that this measure was introduced in response to pressure on Government spending? Does he not find it completely and utterly hypocritical that on the day the Committee of Public Accounts publishes its report on Punchestown, the Accounting Officer of a Department is being held up on the basis that this scheme which cost €15 million, three times the cost of this cutback, was never examined? The consequence of this is that the 2,000 widows affected by a scheme into which they paid contributions are now paying for the Punchestown deal as outlined by the Committee of Public Accounts report published a few minutes ago. Is that not hypocritical? Will the Taoiseach now state his intention to reverse this decision forthwith? This shameful cutback of €5.8 million should not be borne by the vulnerable in our society. Every Member from the Government parties knows this is morally wrong.

Comment on this
Jim O'Keeffe Mr. J. O’Keeffe Fine Gael

Hear, hear.

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The Deputy should at least acknowledge that the Minister for Social and Family Affairs, Deputy Coughlan, gave a €10 per week increase to all widows. To refer to a general cutback is incorrect. I also stated that a small fraction of the 120,000 people who will gain from that benefit would have been affected by this measure.

Comment on this

They do not matter.

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I also stated that the Minister will speak with the various organisations before reaching any conclusions on this issue. The general principle exists across social welfare schemes throughout the world that a person is entitled to only one income maintenance payment at any one time.

Comment on this

That does not apply in this country.

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Rory O'Hanlon An Ceann Comhairle Fianna Fáil

I will have to ask Deputy Ryan to leave the House if he continues to interrupt the Taoiseach.

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It is pathetic listening to the Taoiseach.

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That principle does apply here.

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There are no problems with ministerial pensions.

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Jim O'Keeffe Mr. J. O’Keeffe Fine Gael

That is a hollow defence.

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It is obvious Deputy Ryan knows nothing about the social welfare code.

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I know a great deal about it.

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If he did, he would know that is taken into account in every category.

The Minister has given a commitment to meet with the bodies concerned and to bring forward her own proposals on this issue. I have nothing further to add.

Comment on this

These are her proposals.

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