Cori welcomes rise in welfare payments

Eoin Burke-Kennedy

The increase in pension and welfare payments in yesterday's Budget have been welcomed by the Conference of Religious of Ireland's (Cori) justice commission.

Cori said the increases represented an "historic breakthrough" as the lowest social welfare payment for a single person was now benchmarked at 30 per cent of gross average industrial earnings (GAIE).

"By raising the lowest rate by €20 a week the Government honoured the commitment it made in its National Anti-Poverty Strategy," Cori said.

"The increases in the lowest social welfare rates will have a positive impact on those who are at risk of poverty. Sixty per cent of these are people living in households headed by a person who is not in the labour force . . . ie, they are elderly, ill, have a disability or are carers," it said.

But the commission complained the Budget's reduction of the top tax rate by 1 per cent to 41 per cent was not the fairest use of the available money.

It said the money could have been better spent on additional funding to community and voluntary organisations providing services in local areas.

The commission said it also regretted the fact the Budget has failed to address the eligibility threshold for medical cards.

Ireland's economic growth and job creation have transformed the country since the early 1990s but problems persist, it said, warning that "not everyone has benefited from the recent economic growth.

"We strongly support the Minister for Finance when he emphasises the importance of the common good. This Budget has taken significant steps in the right direction," said Cori.