Focus Ireland Warns Government More Social Welfar Cuts In Next Week's Budget Will Increase Homeless

national | miscellaneous | press release

Wednesday November 26, 2003 11:52

by Roughan Mac Namara - Focus Ireland

· Charity calls for the Government to “stop paying lip service to the most marginalized in society” and take action to cut the growing gap between rich and poor

Focus Ireland warned the Government today that more hard hitting cuts in next week’s Budget will force thousands more people into homelessness and further widen the gap between rich and poor nationwide. Declan Jones Focus Ireland Chief Executive said: “ The Government must take immediate action to reverse the cuts of up to €60 million in the social welfare budget recently revealed in the Book of Estimates and act to protect people on social welfare and low incomes or more people than ever before will be forced into homeless. The recent cuts in the rent allowance system in particular have already made it even harder than ever before for the most vulnerable in our society to keep a roof over their heads..”

In its Pre-Budget Submission published today Focus Ireland is calling for the Government to borrow €1 billion to pay for extra investment in social housing to help start to provide more permanent housing for nearly 6,000 people who are homeless and the record total of approximately 140,000 people on the housing waiting lists. The charity stressed there must also be urgent action taken to boost social housing output under Section V of the Planning and Development Act in conjunction with moves to allow the direct transfer of more publicly owned land to voluntary social housing developers. Mr. Jones said: “The bottom line is there needs to be more housing provided for those most in need and these proposals will help that start to happen.”

He added: “The Government must remember that 85% of people on the housing waiting lists are struggling to survive on an income of €15,000 or less a year. These people can’t afford to buy a home of their own. They can’t avail of the sort of tax cuts we’ve seen in previous Budgets making it possible for investors to buy second houses.” Focus Ireland claims the Government has been paying lip service to the most marginalized in Irish society for long enough and needs to take action in the Budget to start addressing the growing gap between rich and poor. Its Pre Budget Submission also demanded an increase in funding for homeless services in 2004 to help ensure no families with children have to stay in Bed & Breakfast accommodation for more than a month before moving on to more suitable housing. This increase in funding could also be directed towards ensuring more housing and support services are available for children and young people leaving care and other institutions.

Mr. Jones said: “Every one of this Government’s Budgets since 1997 has seen the better off in society get more done for them than those who are less well off. It’s now time to reverse that trend.” Last year social welfare payments were only increased by only €6 per week which barely covered inflation. The Government must act in the Budget to – at the very least - increase all personal rates by a minimum of €10 per week to bring the lowest welfare payment to €134.80 and the pension rate to €167.30. Focus Ireland warned that in the final year of the Government’s strategy to tackle homelessness the numbers of people homeless is rising instead of falling and unless this Budget takes actions to protect the poor the trend will continue and the problem will get even worse. (Latest Govt. figures show an increase from 5,234 in 1999 to 5,581 in 2002)

Editors note: Focus Ireland Pre Budget Submission has already been issued to the Minister for Finance along with all other members of the Oireachtas.