A poverty of ideas

ON THE face of it, there is plenty of ambition in Government plans to reduce the number of people living in poverty

ON THE face of it, there is plenty of ambition in Government plans to reduce the number of people living in poverty. The national action plan for social inclusion, for example, pledges to ensure all children reach their true potential and that consistent poverty is eradicated by 2016.

It seems scarcely credible, then, that policymakers are unable to draw up a welfare payment targeted at the most pernicious of all forms of deprivation: child poverty. Because of the way the welfare system is structured, there is no straightforward way of identifying those families most in need of support.

The scale of poverty among children in Ireland is alarming. Latest official figures indicate that 11 per cent of all children live in households that are consistently poor. An estimated 20 per cent, or about 200,000 children, are at risk of poverty. Beyond the statistics is a world where young people go without proper meals, winter clothing or adequate heating. Of even more significance is the poverty of opportunity which damages children's health, reduces their chances of completing their education and stunts their future prospects in life.

There have been some encouraging improvements in recent years. Economic growth has contributed to major increases in child income support, while the overall number of people experiencing deprivation in society has fallen. But despite a decade-long economic boom, Ireland remains one of the worst performers in the industrialised world in tackling child poverty.

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Much of the reason lies in our short-sighted decision to tackle child poverty through child benefit payments, which are paid universally to all families regardless of their income. This system is costly and wasteful. Child benefit costs the exchequer more than €2 billion a year, yet much of it goes to higher-income families who do not need it. The same is true of the recently-introduced childcare supplement, which costs a further €350 million a year, and is paid to all families with young children.

Countries which have been most effective in combating child poverty have invested in affordable childcare, accessible health services and have narrowed the gap between rich and poor. The challenge for policymakers here is to improve the standards of housing, schools and health services available to low income families and to re-structure welfare payments in order to target those in most need. Set against this measure, the Department of Education's decision to reduce funding to a scheme aimed at improving educational attainment among disadvantaged children beggars belief.