Sonas Housing Association Ltd

While there have been some welcome measures in Budget 2012 such as: the raising of the threshold for the Universal Social Charge; maintaining the social welfare rates; and maintaining the pre-school year for all children, the overall impact is very negative for some of Ireland’s most vulnerable people.

“Cutting the fuel allowance from 32 weeks to 26 weeks is one of the most detrimental aspects of Budget 2012 that has the potential to result in more deaths of older and sick people who may now be unable to heat their homes sufficiently,” said Rachel Mullen, chairperson of Sonas Housing, which provides support, housing and refuge to women and children made homeless because of domestic violence.

The changes to One-Parent Family Payment will have a negative impact on a group in society who are already struggling to make ends meet – one-parent family households are already four times more likely to live in poverty. Budget 2012 reduces from €146 to €130 the amount a lone parent can earn while still being able to claim the family payment. “This will have a negative impact on many women who are on part-time low-paid jobs. For example these women will no longer be entitled to receive the One-Parent Family Payment while on the Community Employment scheme. This is a retrograde move for women in terms of education and re-entry to the workforce. It’s contrary to the Government’s commitment to activating the job’s market as it creates a disincentive to remain in the workplace.”

Cutting child benefit in respect of the third and fourth children will also have negative financial impacts on large families.

Sonas Housing works with many one-parent families and those in receipt of fuel allowance and says the impacts will be clearly visible. “Overall this budget is unbalanced and deeply unfair – the most vulnerable in society are being affected the worst, though they actually benefited the least in boom times,” said Mullen.

“Instead of creating real political reform, this budget has taken nasty swipes at easy targets – people living in poverty, women, children and people with disabilities. There is an obvious absence of any poverty or equality impact assessment on many of the measures proposed in Budget 2012.”