The Government is considering comprehensive suggestions surrounding the issue of child benefit, including the introduction of a Scandinavian-style childcare system, Minister for Social Protection Joan Burton said today.
Speaking this morning, Mr Burton said a dialogue was underway on the matter with the Department for Public Expenditure and Reform and the office of the Minister for Youth and Children Affairs.
Child benefit is currently paid as a universal welfare payment to all families with children, regardless of their financial circumstances and costs the State an estimated €2 billion a year.
Ms Burton, who has received an expert group’s report on child and family income supports, said she advocated the retention of a “strong universal element” but that it could be combined with additional services in relation to pre-school and after-school services.
“In Ireland we pay relatively high cash payments [to parents]. We don’t for instance recognise children in the tax code. Two spouses both get tax allowances but the children, if they have children, don’t,” she told the Pat Kenny show. “In Scandinavian countries there is a better mix of cash supports by the State with services available either at no cost or with low cost for instance to children in terms of pre-school and after-school care.”
Ms Burton said she was “very impressed” with how the State converted the old €1000 payment that was paid to parents into an early childcare-education allowance. “I think that worked well,” she said.
Ms Burton also hinted at the introduction of a universal book-rental scheme in the country’s schools.
“What we need to do is the best thing that gives the best outcomes to children in terms of poverty.”
While the contents of the December budget will not be decided upon until the Cabinet is presented with final proposals from each Government department, the Minister said the Programme for Government “talks about protecting basic rates of social welfare payments.”
“By and large, basic core rates are the rates that people rely on for a weekly income.”
Ms Burton said she received support from her Cabinet colleagues ahead of last year’s budget and added that her department is determined to target fraud and abuse. “Our social welfare system is the great safety net in Ireland in this very difficult time. I have to make sure and I have a responsibility to citizens that that money is used as well as possible,” she said.
Mrs Burton said her department had to review "every heading in social welfare all the time". She said however, that some people interpret that as meaning "that something is under threat".
"That's not necessarily so but if we can find ways to make savings that are reasonable we will have to do that."
"I am also under a requirement to find about €500m in savings, I want to be honest and upfront with people about that. I have to find it but we can find it by efficiencies", she said.