Minister for Social Protection, Heather Humphreys, has announced plans to request funding for the continued provision of hot meals to all primary pupils in the upcoming budget. Approximately 2,000 schools are currently part of this programme, but Ms. Humphreys’ goal is to extend it to an additional 1,000 institutions next year.
She revealed these intentions at a preliminary press meeting before the Department of Social Protection’s annual pre-budget forum on Thursday, attended by representatives from NGOs, labour unions, and commerce groups. The minister has also called for the 1,000 schools not currently involved in the scheme to express their interest.
During the past budget round, her ministry secured €1.2 billion for supports like disability and carer’s grants, double children’s benefits, and a Christmas bonus for welfare recipients. While she refrained from predicting a similar outcome in the next budget, she pledged to “always be ambitious in my request.”
The Minister emphasised that her main priority is to assist disabled individuals, caregivers, working families and pensioners. Nonetheless, she acknowledged the current economic climate, stating that we are going through unusual times with significantly reduced inflation rates.
Social Justice Ireland, in advance of the pre-budget forum, has advocated for a €25 increase in fundamental social welfare rates. Ms. Humphreys committed to considering all stakeholders’ opinions before discussing with her governmental colleagues, specifically Minister for Finance Jack Chambers, Minister for Public Expenditure Paschal Donohoe.
Reassuringly, she asserts that they will assemble a package centred around the more susceptible members of society. Concerning queries about potential increases in welfare rates, Ms Humphreys reiterated her dedication to creating a beneficial setup for those in need.
Meanwhile, criticism targeted at the Government’s Summer Economic Statement by the State’s financial watchdog was refuted by Mr Chambers and Mr Donohoe.
The Irish Fiscal Advisory Council (IFAC) expressed concerns on Wednesday over the Government’s ‘instant gratification’ strategy, stating it could result in economic overheating by surpassing its own standards on escalating expenditures. The council suggested a budget package of €8.3 billion, encompassing an upsurge in public expenditure by €6.9 billion and €1.4 billion in tax-related strategies, corresponding to a yearly augmentation of 6.9 per cent. This is substantially over the Government’s own rule of a 5 per cent spending increase.
Mr Chambers was of the opinion that adhering strictly to the 5 per cent increase might pose challenges to the continued upkeep of service areas including health, social welfare, and childcare. He said the IFAC provides its viewpoint on fiscal and budgetary issues, however, the broader requirements in the public service sector, especially maintaining the existing service levels, mustn’t be overlooked. He mentioned that there was limited room for introducing new measures in the budget.
Mr Donohoe revealed that he and Mr Chambers were admonished by the Budgetary Oversight Committee that evening for their inadequate spending. He cited the addition of €6 billion to two existing, long-term funds for future investments this year, explaining that this amount is nearly equivalent to the total new expenditure announced, demonstrating the Government’s intention not to hurry through everything at once.