Welfare cuts likely to go ahead

No row-back is expected in €58 million of social welfare cuts announced in last month's Estimates.

No row-back is expected in €58 million of social welfare cuts announced in last month's Estimates.

Sources say the Minister for Social and Family Affairs, Ms Coughlan, is "determined to brazen out" the vitriolic attacks on the cuts which include cuts in rent allowances, creche payments and diet supplement payments.

However, as Ms Coughlan put it at an Estimates press briefing, she will get a "second bite at the cherry" tomorrow and officials hope increases ahead of inflation in child benefit and the old age pension will assuage some of the anger last month's cuts have unleashed.

The Minister has said consistently children and the elderly are her priorities and increases in payments to these groups look to be "dead certs" tomorrow.

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Groups working with the most marginalised, such as the Combat Poverty Agency and the Society of St Vincent de Paul are seeking increases in child benefit of between €12 and €17 per month - it is currently €125.60 per month.

It is thought likely the Minister for Finance, Mr McCreevy, will announce increases in these payments at the lower end of various agencies' demands.

It is unlikely, however, he will respond positively to widespread calls for increases in the Child Dependent Allowance (CDA) - of between €2.50 and €9 per week depending on who is making the call. The CDA, currently €16.80 per week, is paid only to parents dependent on social welfare.

Increases in child benefit and other payments, while welcome, are unlikely to appease the myriad of groups who have come out to "fight tooth and nail" the 16 cutbacks announced last month.

Mr Tony Walsh, secretary of the Health Services Professional Branch in SIPTU, said yesterday the officials "showed a total lack of understanding of the inevitable impact of these cuts".

Kitty Holland

Kitty Holland

Kitty Holland is Social Affairs Correspondent of The Irish Times