Social assistance rates in 2021
This morning/afternoon,
Independent think-tank Social Justice Ireland published its critique of Budget 2021.
In short:
Welcome:
Adoption of a counter-cyclical fiscal stance.
Financing for the Community Health Networks
Acknowledgement by Government that tax and welfare are a single system..
Providing the finance to implement the McMahon Report and end Direct Provision.Regret:
Failure to increase core social welfare rates.
Failure to make tax credits refundable to address the working poor issue.
No progress towards just taxation
Dr Seán Healy, Director, Social Justice Ireland, writes::
“Budget 2021 has left Ireland’s poorest people behind as Government decided not to increase core social welfare rates.
Despite allocating more resources than any previous Budget in the history of the State, the distribution of those resources was such that the gap between the poor and the better off will widen in 2021 and inequality will increase. This is a totally unacceptable outcome.
“In calculating how people’s incomes will change in 2021 it is important to realise that people with jobs are likely to see increases in their take-home pay in the coming year. Public servants will see an increase of 2% while the pay of other sectors is also expected to increase. In contrast to that, people on core social welfare payments depend on the Budget alone to increase their incomes”
