Hanafin Outlines Child Benefit Changes

Minister for Social and Family Affairs Mary Hanafin has outlined her plans to introduce three separate levels of child benefit payments in the forthcoming budget.

Speaking on RTÉ televeision programme, the Frontline, this morning, Ms Hanafin said she social welfare payments would have to be reduced in next month's Budget, and she was trying to source savings whilst avoiding excessive hardship on people.

The Minister said people on social welfare and on low incomes were identifiable and they would look to the Revenue Commissioners to identify higher income earners.

She said that she did not believe child benefit, which currently costs €2.5bn, should be lost to any completely, but that the Government needed to be fair in how it was distributed.

Ms Hanafin's plan is to tier the amount of child benefits according to the income of the family.

In a statement released on Ms Hanafin's website, the Family Affairs Minister said that child poverty along with children and their families were one of her priorities.

She said that with the Government spending over €21billion this year on Social Welfare supports, savings would have to be made. "Major adjustments will be needed if we are to get the public finances back on track and bring employment back to where it was before the downturn," the minister said.

She added: "At this time it is all the more important that we set priorities and rigorously examine the value for money of all public expenditure. This presents a major challenge not just for Government but for society as a whole.

"Consultation with relevant groups and individuals such as we are having here today are a hugely important part of this process."

(DW/BMc)