Trade Relations
1. Deputy Rose Conway-Walsh asked the Minister for Enterprise, Tourism and Employment if he will provide a list of companies operating in Ireland which are trading with or linked to companies located in occupied Palestinian territories; and if he will make a statement on the matter. [33465/25]
My first question asks the Minister to provide a list of companies operating in Ireland which are trading with linked companies located in the occupied Palestinian territories. In 2020 the office of the United Nations High Commissioner for Human Rights published a listing of all businesses involved in the illegal Israeli settlements. It was a highly significant development, naming those in the corporate world complicit with the war crime that is Israel's settlement enterprise. That database was set up in 2023.
I thank the Deputy for the question. The Government’s position and, indeed, that of the EU is clear: settlements are illegal under international law and undermine the realisation of a two-state solution.
While decisions regarding the operations of individual companies rest with those companies, a corporate decision to engage in economic and financial activities in settlements poses potentially significant reputational, legal and financial risk.
The Government does not maintain a list of companies operating in Ireland that may be trading with or linked to companies located in Israeli settlements in the occupied Palestinian territory. Ireland does not encourage or support in any way economic and financial activities in such settlements. Ireland has not issued any export licences for dual use or other goods in such settlements. Ireland does, however, strongly support the promotion of legitimate trade relations with the Palestinian Authority.
At EU level, the Interim Association Agreement on Trade and Cooperation sets out the legal basis for relations between the EU and the Palestinian Authority. Ireland strongly supports the deepening of the EU-Palestine bilateral relationship, including in the area of trade, and it is welcome that the first ever meeting of the EU-Palestine high-level political dialogue took place in the margins of the Foreign Affairs Council on 14 April 2025. At this meeting, the European Commission announced a multi-annual comprehensive support programme worth up to €1.6 billion to foster Palestinian recovery and resilience, including a pillar to provide support for the private sector there.
As I said, when that UN database was updated in 2023 several companies with offices in Ireland remained on it following the update. It is widely known that these include Airbnb, Booking.com and Tripadvisor. The International Court of Justice ruled in July 2024 that Israel's occupation of Palestinian territories is unlawful, that Israel should put an end to the occupation, desist from creating new settlements and evacuate those already established. It further concluded that where Palestinians have lost land and property, Israel should pay reparations. What is the Government's approach to these companies based in Ireland? That is the premise of my question.
Over the last week we have seen the shameful act of piracy against the Madleen aid flotilla and the detention of our colleague, Deputy Paul Murphy. I am sure the Minister is aware of the co-ordinated legal actions which were launched last week in Ireland, Britain and America, targeting the companies I mentioned that are operating in illegal Israeli settlements.
I am sure the Deputy is aware that in the case she referenced at the International Court of Justice, Ireland was one of the countries that intervened in that determination to ensure Israeli settlements were deemed to be illegal from the point of view of international law. Our Attorney General went to the Hague to take part in that case. That was one of a number of actions taken by Ireland to hold Israel accountable for its current actions and to support the Palestinian people in the face of the genocide that is happening. As part of that, we have supported UNRWA to the highest level because it is they key mechanism to get aid into the country. We have, along with the international community, supported UN resolution after UN resolution in an effort to change the dial. When I served as Minister of State with responsibility for European affairs, Ireland was one of the very first countries, along with Spain, to put pressure on the EU to try to turn the dial and move on article 2 of the EU-Israel Association Agreement to ensure that Israel is held to account for its human rights violations.
I take on board what the Minister is saying but last week a number of organisations, including the Global Legal Action Network, GLAN, and the Ireland Palestine Alliance launched a High Court action challenging the refusal of An Garda Síochána to investigate Airbnb Ireland and its senior executives for alleged activity in Israeli settlements. Surely companies must abide by international law as a prerequisite to operating in this country. What I am seeking from the Minister is an explanation as to why this is being permitted here. It is not good enough that this behaviour is being tolerated. As in the case of apartheid South Africa, economic sanctions undertaken by the international community should be brought to bear on Israel. The Israeli State has flouted international law and this must be challenged in every single possible way. Back in the 1980s it was women working in Dunnes Stores who took a stand. Again, the Government is way behind the people on this issue. A few weeks ago, the Government refused to support a Sinn Féin Private Members' motion which would have ended the shameful Irish Central Bank's facilitation of the sale of Israeli bonds.
Ireland has been a lighthouse internationally in supporting the Palestinian people. We have, as I pointed out, intervened in the case to ensure that Israeli occupation has been deemed illegal through a resolution of the court. We intervened in the South Africa case and supported that very firmly, as requested by the Dáil and my own parliamentary party. We have supported UNRWA and are bringing forward the occupied territories Bill, which is another significant step in terms of Government support. We have moved the dial by first recognising the State of Palestine, a key ask of the Palestinian Authority, and by pushing EU member states to hold Israel to account under the EU-Israel Association Agreement. In every single area, Ireland has been at the forefront in supporting the people of Gaza and we will continue to do so as a Government because it something that is very close to our hearts. I am the father of two young children and am acutely aware of what is happening in Gaza. We will do everything possible, every single day, to help and support the victims of Israeli perpetration.
With the agreement of Deputy Lawlor, we will move on to Question No. 3 now.
Departmental Strategies
3. Deputy Rose Conway-Walsh asked the Minister for Enterprise, Tourism and Employment if he will provide an update on his action plan on competitiveness and productivity. [33466/25]
I thank Deputy Lawlor for facilitating me as I must leave shortly to chair a meeting of the Oireachtas Joint Committee on Defence and National Security. I ask the Minister to provide an update on the action plan on competitiveness and productivity. I am aware that the closing date for submissions to the public consultation on the action plan is tomorrow. I ask the Minister to provide information on how many submissions have been received to date and what sort of outreach the Department has done in that area.
I thank the Deputy for this very important question in an area that we are really moving the dial on. Ireland currently holds a strong competitive position globally, ranked seventh overall, and first in the eurozone, in the annual IMD world competitiveness rankings for 2025. However, we cannot be complacent and work remains to be done in many areas. We are aware that there are significant challenges and it is important that we do not take our strengths for granted. In a rapidly changing and uncertain international environment, it is fundamental that we take action to address long-standing legacy issues as well as emerging threats to our competitive performance. Persistent high costs in areas such as energy continue to challenge the competitiveness of businesses, particularly SMEs. Moreover, external shocks like Brexit and geopolitical uncertainties have embedded themselves into the cost structure, making it harder for businesses to remain competitive, whether indigenous or FDI.
In response to international economic developments, and in line with a commitment in the programme for Government, work is under way on the development of an action plan on competitiveness and productivity. The Government agreed to accelerate the timeframe for this work and the action plan will be presented for consideration at a competitiveness summit to be held in July. The action plan will reflect a whole-of-government approach to domestic drivers of, or barriers to, competitiveness, focusing on areas firmly within our own control. Its development has been informed by extensive consultation across Government Departments and with external stakeholders. My Department has already undertaken a series of bilateral engagements with key Government partners, including in the areas of infrastructure, housing, research and innovation. This discussion will continue over the weeks ahead. My Department has also launched a public consultation which is currently open. The action plan will also be guided by the forthcoming Ireland's Competitiveness Challenge 2025 report from the National Competitiveness and Productivity Council, NCPC. That evidenced-based input will be vital to ensuring that our policy responses are targeted, proportionate and future-facing.
I thank the Minister for that update and welcome the work that has been done. What engagement has the Department had with the unions on the action plan? My fear is that workers' rights will be sacrificed on the altar of productivity. We need to be very careful in this space to bring workers and businesses together and ensure that there is not further division and polarisation between them. I am afraid that the threat of international trade tariffs will be used as fig leaf to guillotine employment rights, usher in bad trade deals like CETA and renege on our climate commitments.
We all want a strong economy but there must be balance. The business organisations I have engaged with are pointing to the lack of housing, pressures on services and the diabolical cost of living as presenting the biggest threat to business expansion. Have all these issues been taken into account in the action plan? It is really important that we have a sustainable plan that will address the cost of living and the cost of doing business as we go forward.
No Government has done as much for workers' rights as the previous Government, of which I was a member, did in terms of banning zero-hour contracts, bringing in tips legislation, introducing more agile practices in the workplace, the fruits of which we have seen and bringing in a statutory sick pay scheme. We turned the dial on a number of areas that had been neglected for years.
It is my job and responsibility to ensure businesses remain viable. I have met with union leaders over the past number of weeks in connection with the work that is ongoing in my Department. They expressed concern in some areas but they also acknowledged the huge number of reforms that have been carried out. We have the biggest reform of employment law ongoing through the employment law review group, which is examining laws that affect so many citizens right across the country. I am keen to ensure businesses remain viable. The cost of business advisory forum had its inaugural meeting last week. We have established a small business unit in the Department. We are changing the dial by doing things in a more simple, light and fast way. That will be my approach in the Department to ensure we really incentivise our indigenous economy.
I am glad to hear the Minister say that. As he knows, Fine Gael having been in government for 14 years, indigenous businesses have so far been left behind. The figures for foreign direct investment speak for themselves. The Minister talks about competitiveness and he is not wrong in the figures he is putting forward. However, he dismisses the figures relating to the competitiveness of the regions. As the Minister of State, Deputy Dillon, will know, the west and north-west region is in the bottom 7% in terms of competitiveness, according to the EU index. The facts speak for themselves.
Yesterday, I participated in a discussion at the enterprise committee regarding the EU Omnibus package. The Draghi report indicated serious competitiveness deficits across the European Union that absolutely need to be addressed. I have huge concerns about both the contents of the proposed legislation and the manner in which it is being introduced. We certainly need simplification but what we do not need is deregulation.
Let me bust the myth to which the Deputy referred. Our indigenous economy is at record levels. Currently, Enterprise Ireland is supporting 234,000 jobs in our country. Our exports, at €36 billion, are at record levels. Enterprise Ireland companies spend €39 billion in our wider economy. The Deputy referred to the FDI sector. There are some very significant FDI companies in the country that interact with indigenous companies. For example, one company in the semiconductor space has interactions with and has built in 831 SMEs into its supply chain. The same is happening with companies from Banagher Precast Concrete to Kiernan Structural Steel in Longford. That is very important for our indigenous economy. I am trying to close that eco cycle to ensure our SMEs benefit from the presence of the FDI sector. That is happening in front of us.
To be clear on the facts, Ireland is the most competitive economy in the eurozone. I want to make sure that does not change. The actions I take will ensure our businesses have the best environment in which to grow, that we support viability and that we continue to grow our economy, as we did with the 90,000 extra jobs that were created over the past year. That is 90,000 families with an extra income.
What the Minister is saying is not compatible with what we are hearing from business organisations and what we know, which is that businesses are really struggling right now. They are struggling with energy costs, red tape and so many different things. That must be addressed. It is not right to say everything is okay for businesses, including indigenous businesses.
I apologise for interrupting the Deputy but she is on her fourth contribution on this question. She has already been up three times.
Sorry, a Chathaoirligh, I was not counting. The Minister has heard my message.
I thought I was counting wrong. Deputy Conway-Walsh has asked that we proceed directly to her next question, which is No. 5, as she has to leave. Is Deputy Gibney agreeable to that?
Yes.
Business Regulation
5. Deputy Rose Conway-Walsh asked the Minister for Enterprise, Tourism and Employment to provide an update on the work of the cost of business advisory forum. [33467/25]
I thank Deputy Gibney for accommodating me. I did not have an opportunity before Question Time began to ask her to do so.
I am seeking an update on the newly established and hugely important cost of business advisory forum, which met recently for the first time. Costs in general are spiralling, with the cost of energy being one of the major difficulties reported by the SME sector. I am pleased that ESB and EirGrid are members of the forum. Will the Minister confirm whether they have indicated any reductions in the cost of energy?
I convened the inaugural meeting of the cost of business advisory forum on 11 June 2025. In my opening remarks, I shared my vision and expectation that the forum would "create a space where businesses can speak directly to decision-makers about the real-world impact of rules and charges, and identify areas where practical changes can be made". The establishment of the forum delivers on a key commitment in the programme for Government. The forum is a subgroup of my Department's enterprise forum. I was pleased to appoint Mr. Kevin Foley as its chair and Mr. Ronan Byrne as vice chair.
The forum presents a unique opportunity for tripartite engagement, with Departments and regulators hearing directly from business owners and representatives. I was very encouraged to see a strong turnout at the first meeting and diverse representation from enterprise bodies across retail, tourism, agriculture, small businesses and the multinational sector. At the meeting, the chair outlined the forum's operational approach and its terms of reference were formally adopted. To set the scene, presentations were delivered by my officials on Ireland's economic landscape and by IBEC on the theme of regulatory ambition.
The forum's purpose is to examine the factors contributing to the rising cost of doing business in Ireland, including regulatory and infrastructural challenges that may require a sharper focus and a revised approach. It will identify practical steps to help to reduce those costs. To assist with its review, the forum will hold a series of follow-up thematic meetings on topics such as regulatory cost and simplification, planning and infrastructure, technology and innovation, visas and work permits, and utility costs. This is not an exhaustive list. It will develop with input from stakeholders as the engagement process continues over the coming six months.
A high level of engagement is not only welcomed but is strongly encouraged through the forum and also via the public consultation methodology, which is now live on my Department's webpage. Members of the public, as well as all participants in the enterprise forum and retail forum, are invited to contribute to the consultation. Submissions are open until 20 June.
I am specifically interested in the outcomes from the sector meetings. Can the Minister confirm whether there have been any indications of a reduction in energy prices? The cost of energy is huge for businesses, with many owners telling me their energy costs are greater than their wage bill. We must do something about that. I am also keen to know whether there has been any discussion about the cost savings utility providers have made being passed on to consumers.
Working people are being absolutely crucified by the cost of groceries and the cost of living in general. There is a strong perception that the cost of basic groceries has risen by a greater margin than the rise in the consumer price index. Recent media reports suggest that over the past four years, the price of a basket of groceries has risen by approximately 36%, while the consumer price index rose by 21% over the same period. Figures released earlier this month by a grocery data firm show the price of a weekly shop is rising by more than double the general rate of inflation.
The key area on which the forum will focus is the cost of regulation and trying to make things more efficient and easier for our small family businesses. I always point out that many of these businesses do not have a HR director or finance director; all their work is done around the kitchen table, trying to vindicate all the efforts they put towards employing two thirds of workers right across the country. That is why it is key that all the regulators, who make so many decisions, are involved. We need to look at the interoperability of those decisions with the decisions of other regulators and what costs that puts on businesses.
Critically, we have to achieve outputs. We must see how we can make changes, with the forum being a key accelerator in that regard to ensure we are doing things in a simpler manner. The Government is very much focused on that. As I said, we are at record levels of employment but there are challenges. I am more aware than most of the challenges in terms of the costs facing our family businesses. I have demonstrated what we are doing about this.
July will be a very important month for our competitive action plan. We will also establish our small business unit, and we have our cost of business advisory forum.
Many business owners barely have a wage at the end of the week by the time they have paid all of the costs of doing business. This did not begin today or yesterday. Many businesses tell us they are under threat of closure. The Competition and Consumer Protection Commission, CCPC, is represented on the forum. I welcome that. The remit of the commission has expanded in recent years, particularly in light of EU legislation aimed at strengthening consumer protections and ensuring fairness in digital and online markets. Is the Minister aware of the high rate of vacancies at the CCPC? As of 9 June 2025, the CCPC had 33 vacancies across various roles. Does he have a plan to recruit these essential staff to ensure consumers are adequately protected and that there is no danger of price gouging in the major supermarkets? People's food bills have risen significantly. It is vital that the public are reassured that no underhand tactics are at play here. The CCPC must be fully staffed.
The CCPC is a very important independent agency. The Minister of State, Deputy Dillon, is working very closely with the organisation on inflation in grocery prices.
With regard to vacancies, there has been a challenge with recruitment. The budget is there. There has been a significant increase in budgetary capabilities for the CCPC but it is a very competitive landscape and the recruitment process is very difficult. We are doing all we can to fill those vacancies. This is one of the areas that was raised with me by the head of the CCPC when I met him a number of weeks ago. We will ensure that it has the resources needed to grow. Over the past decade, the CCPC has grown exponentially. As a result of European laws and responsibilities, Ireland now has an outsized role in the regulatory environment. It is very important that the organisation is resourced. The cost of business advisory forum will bring all of those key agencies, from the Revenue Commissioners to the CCPC and An Bord Pleanála, into the same room. It is critical that we see how we, as a country, can make things simpler for our businesses.
Employment Support Services
2. Deputy George Lawlor asked the Minister for Enterprise, Tourism and Employment if he will outline the targeted actions being taken by his Department to improve the employment rate of people with disabilities, considering that Ireland consistently lags behind the EU average in this area, our constrained labour supply, our obligations under the UN Convention on the Rights of Persons with Disabilities and the absence of a Government strategy from 2026 to address this issue; and if he will make a statement on the matter. [33296/25]
Will the Minister of State outline the targeted actions his Department is taking to improve the employment rate of people with disabilities in Ireland given that Ireland consistently lags behind the EU average in this area? Will he also comment on Ireland's constrained labour supply, our obligations under the UN Convention on the Rights of Persons with Disabilities and the absence of a Government strategy from 2026 to address this issue?
I thank the Deputy for his question. It is a priority for the Government to narrow the employment gap to which the Deputy refers. Working to enable people with disabilities to pursue freely chosen employment is an important personal priority for me.
The forthcoming national disability strategy will include employment as an important consideration as one of its five key pillars. The national disability strategy is intended as a whole-of-government framework for the implementation of the United Nations Convention on the Rights of Persons with Disabilities in Ireland. It is intended to publish this strategy in the coming months. It will contain a number of actions from my Department, including engagement with employers and employer bodies to raise awareness and to foster positive attitudes towards the employment of people with disabilities, which the Minister, Deputy Burke, has mentioned in the House previously.
After the strategy has been published, the Department will establish a new Minister-led forum that will provide a platform for a more structured consultation and engagement with employers on the employment of people with a disability. It is intended to be a subgroup of the Department's enterprise forum and will serve as a means of advancing that employment by discussing employer concerns and potential obstacles. The forum will also showcase best practice examples from both private and commercial semi-State companies. It is my hope that these dialogue processes will enable a better understanding of the range of supports available to employers and of employers' legal obligations to provide reasonable accommodations to workers and job candidates with disabilities. The specific commitments from my Department will be set out in the strategy once it is finalised and approved by Government.
I thank the Minister of State. While I welcome his comments, we really need serious action in this area. As he will know, we are a laggard in terms of our performance. The figures speak for themselves. The right of persons with disabilities to work on an equal basis with others is enshrined in international, EU and national policies including the UN Convention on the Rights of Persons with Disabilities. It has also been enshrined in the past two programmes for Government. Significant obstacles still remain to the development of pathways to employment for people with disabilities. Disabled people are only half as likely to be in employment as others of a similar working age. At 32.6%, the employment rate among people with disabilities in Ireland is the lowest in the EU, comparing poorly with the EU average of 51.3%. At the same time, our disability employment gap is the highest. Among people who are unable to work due to a long-standing health problem or disability, two in five are in poverty. We really need serious action.
Narrowing that employment gap for people with disabilities is a Government priority. The Minister, Deputy Burke, the Minister of State, Deputy Smyth, and I are very much focused on this. The forthcoming national disability strategy, which will be published in the coming months, is really important in respect of employment. That strategy is a whole-of-government framework and relates to the implementation of the UN Convention on the Rights of Persons with Disabilities. The finalisation and co-ordination of the strategy is being led by my colleague the Minister, Deputy Foley. I commend her work in ensuring that the voices of those with disabilities have been central to that development. My Department will lead on the employment pillar of the strategy. The first meeting of the group is envisaged as happening later this year, following the publication of the strategy. We want to address employers' concerns, showcase best practice and promote awareness to support those with disabilities and to ensure legal obligations to them are upheld.
There are wonderful organisations right across the country working with people with disabilities but the State has really let them down. As I was saying, two in five people with disabilities are at risk of poverty, one in five lives in consistent poverty and one in two lives in deprivation. The additional costs of living for people with disabilities are well documented in the 2021 Indecon cost of disability report. This report stated that the additional cost associated with managing a disability fell between €11,579 and €16,285. That is an additional €233 to €313 per week for people with a disability. This Indecon report was published in 2021, but we have moved no further along. We are still the laggard of Europe. We still fall consistently below where we should be. I welcome the Minister of State's comments, but we really need to see the required action.
Our enterprise agencies are already active in this space. Our local enterprise offices offer tailored supports for entrepreneurs with disabilities. Enterprise Ireland has an open door mentoring programme, which provides mentoring and capability supports, while IDA Ireland connects companies with talent from under-represented groups, including those with disabilities. I hear what the Deputy is saying. We hope to continue our engagement with the office of the Minister, Deputy Foley, to get the national disability strategy published and to launch the Minister-led disability employment forum. That subgroup of the enterprise forum is key. It will provide a platform for collaboration, innovation and problem-solving with employers and promote best practice in ensuring that people with disabilities can enter the workforce.
Product Labelling
4. Deputy Sinéad Gibney asked the Minister for Enterprise, Tourism and Employment his position regarding the introduction of alcohol labelling under the Public Health (Alcohol) Act 2018, in light of his recent comments citing halting the introduction of labelling as a potential measure for business in response to tariffs (details supplied); and if he will make a statement on the matter. [33468/25]
What is the position of the Minister for Enterprise, Tourism and Employment on the introduction of alcohol labelling under the Public Health (Alcohol) Act 2018? I ask this question in light of recent comments citing the potential halting of the introduction of this labelling as a potential measure for businesses in response to tariffs.
The introduction of alcohol labelling under the Public Health (Alcohol) Act 2018 is a matter for my colleague the Minister for Health, Jennifer Carroll MacNeill.
As regards the question more broadly and measures to support businesses in response to tariffs, the Government recognises that this is a dynamic and evolving situation, which is being monitored closely by the Government. A key element of the Government's response is the forthcoming action plan on market diversification that is being developed jointly by my Department and the Department of Foreign Affairs and Trade. The action plan provides an opportunity now for new ambition in our approach to market diversification. The action plan will provide a whole-of-government approach to enhance Ireland's economic and trading relationships with new and emerging markets. It will also consider actions which can be taken in established markets where there is value to be maintained and, potentially, more value available.
My Department has been preparing for tariffs and economic shocks. We are working with Enterprise Ireland, our dedicated agency that provides support to exporters. Enterprise Ireland has established a bespoke team that is engaging with exporters and supporting businesses around tariffs and mitigation measures as well as offering advice and support on diversification measures. Enterprise Ireland stands ready to support exporters through its current range of supports and is focused on assisting businesses in developing a response to trade tariffs. Through its team in Ireland and across its seven offices in the US, Enterprise Ireland is working with Irish companies and business owners and providing them with the latest in strategic market intelligence, information and resources through webinars and guidance on accessing advisory and financial supports.
Enterprise Ireland has also published a trade disruption checklist. This is a practical tool for SMEs to assess their exposure to tariffs and prepare mitigation strategies.
The Minister of State began by saying that the topic of the question is a matter for the Minister for Health, yet on 6 April the Minister for Finance mentioned this, on 1 May the Tánaiste mentioned it and on 8 April the Minister for Enterprise, Trade and Employment, Deputy Burke, mentioned it. They all referred to this as a potential measure in the context of tariff mitigation. I will therefore ask the question again. What is the Department's position on removing alcohol labelling as a potential measure next year? This legislation has been in the pipeline since 2018. It positions us as a leader in health measures, just as the smoking ban did many years ago. As the Minister has said, the reality is that there are European measures that we need to measure ourselves by. If we kept in step with Europe on the smoking ban, we would still not have a smoking ban. This is our opportunity to mitigate a major health issue here in Ireland. It has the backing of the entire medical community. I need to be clear that this Department will not halt or pause the potential introduction of this.
Let us be absolutely clear that the introduction of alcohol labelling is a Department of Health function. If the Deputy wants to ask this question during oral questions to the Department of Health, she is welcome to do so. Ours is the Department of enterprise, however, and I am responsible for small businesses. As a result, I have a duty to defend the interests of Irish indigenous SMEs, which are facing unprecedented global trade pressures not of their own making. The Deputy is right that the US market accounts for nearly 40% of Irish global exports of alcoholic beverages, with exports of Irish whiskey alone worth nearly €450 million. Indeed, in the context of the Deputy's question about alcohol labelling, the Minister, Deputy Burke, has written to the Minister for Health about the introduction of the new labelling requirements. This is not about undermining public health; it is about a sequence around policy and a way not only to protect jobs and to preserve competitiveness but also to ensure that businesses have economic resilience within their sector. The proposed legislation is very much at a time when many of these companies are struggling with uncertainty.
I have not had a drink of alcohol in thirteen and a half years. Alcohol and its negative impacts have played a huge part in my life. I say this and share it because there is hardly a family in Ireland which has not had the same experience. Once again, therefore, what is the Department's position? I know very well that I can seek an answer from the Minister for Health about her position, but the Minister of State has just told me that his Department has corresponded with the Minister for Health on this. What is he trying to say? This is not a new thing. It has been the subject of full consultation. It was introduced by the Taoiseach back in 2018, and it is wrong and unfair to dangle it as a response to tariffs when it will not even help those Irish companies involved because it does not have an impact on exports. Distributors are already putting labels on products in anticipation of what might happen, so all this would do is cause confusion if the Government were to roll it back. What is the Department's position, as opposed to that of the Department of Health, on the matter?
We are very much committed to a whole-of-government approach not only to public health but also to economic sustainability. The national alcohol labelling regulation, while rooted in public health objectives, must be implemented in a way that does not jeopardise Ireland's export-led recovery. Indeed, the alcohol beverage manufacturing sector employs more than 5,500 people and is a strategic contributor to our national economy. In one sense, we do not want to abandon the public health goal but we are asking for more pragmatic sequencing and economic realism in terms of its implementation. We will not apologise for standing up for Irish jobs and Irish businesses within this sector and ensuring that we maintain Ireland's global competitiveness. We need to ensure that this well-intentioned regulation does not become an ill-timed disruption to many of these exporters at a time of real uncertainty.
Work Permits
6. Deputy Mattie McGrath asked the Minister for Enterprise, Tourism and Employment the steps being taken to address the huge delays associated with work permit applications, particularly for the licensed haulage sector in Ireland; if he has met with the Irish Road Haulage Association, IRHA, to discuss the issues it is experiencing due to these ongoing delays; and if he will make a statement on the matter. [33471/25]
What steps is the Minister for trade and employment taking to deal with the huge delays relating to the bureaucratic system that companies in Ireland face in trying to get work permits for foreign applicants? I refer especially to the IRHA and many other industries - agriculture, to name one - and parts of industries. Has the Minister met with the IRHA to discuss these issues? The ongoing delays are crippling the economy.
My Department is committed to delivering an efficient and responsive employment permit system which supports businesses and ensures that we are well positioned to maximise the benefits of economic migration. The system is designed to facilitate the entry of appropriately skilled non-EEA nationals to fill skills and-or labour shortages required to develop and support enterprise for the benefit of our economy.
The Department has responded to labour shortages reported by the haulage sector by making the role of heavy goods vehicle, HGV, driver eligible for a general employment permit without restriction. In April 2025, the quota for HGV-bus mechanic was extended by 200 permits in direct response to identified labour shortages. The role of coach and bus driver is subject to a quota of 1,500 general employment permits, with over 1,000 remaining available.
Following a surge in demand for employment permits across 2021 and 2022, the Department implemented an action plan which increased resources and introduced more efficient methods of processing permit applications. The measures have resulted in significant reductions in wait times and a vastly improved user experience.
As of 16 June 2025, my Department is processing general employment permit applications received and critical skills permit applications received, with approximately 2,000 applications awaiting processing.
Applications for HGV drivers were temporarily placed on hold in the first half of this year due to an external delay in the licence verification process. Until recently, there was an operational agreement that this Department would verify the driving licences of HGV drivers before issuing an employment permit. However, following legal advice on this issue, the employment permits unit will no longer be verifying driving licences in that manner. Consequently, the unit has recommenced processing permit applications for this role and all applications which have been on hold have now been processed.
The regulation of who is licensed-----
I thank the Minister of State.
It was not too long ago that the Minister of State was on this side of the House. I wish him well in his new position. He is aware that the situation faced by our licensed hauliers is disgraceful.
Hard-working Irish businesses are trying to operate legally only to be choked by a lot of regulatory issues and a dysfunctional recruitment process. It is unbelievable. If a haulier in Tipperary in my constituency or anywhere else wants to hire a qualified driver from outside the EU, for example, South Africa, they must wade through a nine-stage bureaucratic minefield and deal with five different departments. The process involves licence exchange agreements, a mandatory 28-day labour market, visa applications, work permits, PPS numbers, residence cards and CPC modules. The list goes on. This process can take up to two years, with costs racking up every step of the way. At the end of it, the driver may not even be allowed into the country.
We recognise the pressures faced by many in the licensed haulage sector. I assure the Deputy that the Government is responding to those concerns. We have made significant progress with the new online employment permit system. It is delivering an effective and responsive system to provide the maximum benefits of our economic migration system. Over the past three years, we have increased staff resources, streamlined internal processing and introduced the new online digital system. It is very user-friendly. General employment permits are being turned around in 19 business days, while critical skills permits are being turned around in just 12. That is significant progress. Since the new system was launched, more than 3,700 applications have been received and more than 3,100 permits have been issued. The system is operating at pre-launch levels. There is high user success.
I do not believe those figures. They do not reflect my experience. People come here illegally and get all the treatment, including free housing and everything else. The message the Minister is giving out is to penalise those who play by the rules. Multinationals can get away with stuff as well. This affects small businesses. It is not just the hauliers; it is also agriculture and hoteliers trying to get people in. They pay the money and go through the system. It is so bureaucratic, and the Minister is telling me it takes 19 days. That is simply not happening. It is not the case in Tipperary, certainly. People are not telling me lies. The process needs to be streamlined. Where a business needs employees from abroad in order to carry out its business, where those people are qualified and meet all the criteria, there must be a streamlined process in order that businesses can get them in . They make a huge investment and the driver, operator or whomever may not come at all or might leave after a short time. It is a risky business for employers. They need these people. The Minister must cut out the red tape.
These are accurate figures presented by the Department.
I do not believe them.
I am not aware of the cases the Deputy raised.
They are numerous.
If he wants to send me a note in relation to them, I will be happy to take the matter up. As stated, there is a more modern and integrated system now. We are working with the Department of Justice to try to streamline matters more. There is also a single application process for visas. We have made significant progress in relation to labour shortages in many sectors. The Minister and I have made additions - most recently in April - in the context of permits for HGV drivers and vehicle repairers. We will look at the review relating to the employment permit occupations list that is scheduled for the summer. It is an important step forward. Overall, we have invested heavily in the permit system. It has shown huge benefit in trying to fill the skills shortages in certain sectors of our market.
Social Welfare Eligibility
85. Deputy Louise O'Reilly asked the Minister for Social Protection if he is aware of the groups excluded from the jobseeker’s pay-related benefit, in particular the seasonal, casual, short-time or part-time workers such as school caretakers and secretaries who could benefit considerably from receiving the jobseeker’s pay-related benefit in lieu of the jobseeker’s benefit; and if he will make a statement on the matter. [33101/25]
Maidin mhaith do gach duine. As is often the case, my question is very simple and straightforward. It gives the Minister the chance to explain why a category of workers, particularly those in seasonal, casual, short-term or part-time employment, such as school caretakers and secretaries but not exclusively, are excluded from the Government’s new pay-related jobseeker's benefit.
Maidin mhaith ar ais duit, a Theachta.
The new jobseeker's pay-related benefit was introduced at the end of March. This new social insurance-based income support has replaced the jobseeker's benefit scheme for those who have become fully unemployed since the commencement of the scheme on 31 March. On 7 June 2025, some 11,900 jobseeker's pay-related benefit claims had been awarded under the new scheme.
The origin of this payment is the experience during the Covid period, when many workers lost their incomes suddenly and without warning. The PUP, which was pay-related, helped to cushion the income shock.
The jobseeker's pay-related benefit extends the same principle to people who lose their income unexpectedly. It links the rate of payment to a person's previous earnings to provide a financial cushion when a person loses their employment entirely. It allows them to adjust to a period of uncertainty associated with unemployment. The scheme aims to support a person during this initial period while they seek alternative employment and adjust their outgoings.
The legislation underpinning the scheme specifically provides that specific categories of atypical workers are excluded from the jobseeker's pay-related benefit. These exclusions apply to those referred to by the Deputy, who often work on a part-time, casual, short-time or seasonal basis. The conditions for the jobseeker’s pay-related benefit scheme are not designed to provide in-work support on a recurring and intermittent basis.
Seasonal workers and those whose employment patterns align with the academic year have a predictable or ongoing pattern of work and can plan accordingly. However, within the Department we seek to be proactive. We have already communicated with more than 8,000 people who we know have the work patterns in question to ensure no delay in going on to benefits as soon as the school year ends. At this point, I do not plan to include them in the jobseeker’s pay-related benefit scheme.
I will hold the Minister to that. I will be back here in September to check against delivery, as the Government often states regarding its statements.
The Minister has not advanced any satisfactory justification for why the group has been excluded. He states they can predict they are going to be unemployed, but even if you know you are going to be broke or are surprised by being broke in the middle of a cost-of-living crisis, you are still broke.
At the committee meeting last week, the Minister spoke at length about his commitment to make some efforts with regard to child poverty, which I do not doubt for a moment, but what about the children of school secretaries, school caretakers, seasonal workers and those on very low incomes? Just because they know they are going to be struggling does not mean they will be struggling any less. Will the Minister reconsider his decision and examine the group I have mentioned, in particular, perhaps in the context of the cost-of-living crisis or commitments on child poverty? The Minister should do whatever it takes and consider again the groups who are excluded.
I am always open to considering the Deputy's suggestions. We will be reviewing the jobseeker’s pay-related benefit after a year of operation. This is the first time in more than 40 years we have had such a benefit. In connection with other questions that have arisen, it will provide the foundation for other potential pay-related benefits.
If there are relevant cases, the Deputy should bring them to my attention. We are proactively engaging with those we know have a particular pattern of employment at this time of the year, particularly in the academic sector. More than 8,000 people have been contacted in the past several weeks. If there are any cases, I would like to hear about them before September so we do not have any delays in people getting their income payments.
As of now, I have no plans to review the scheme but I will certainly be happy to have a discussion with the Deputy in the context of the overall review, which will take place after a year.
I ask the Minister to charge the people doing the review with the responsibility of looking at seasonal workers. To be frank, that is possibly the least that the Minister could do but I ask that he do that. There should be some engagement about the people who are excluded with the trade union, Fórsa, because it represents the bulk of the secretaries and caretakers. It is not just them but all seasonal workers. There is a more favourable rate of jobseeker's benefit available and a group of low-income workers is excluded from it. Does the Minister see where I am going with this? These are not people who are on big money. When people are on jobseeker's, they are broke. It does not matter if they have known for a couple of weeks that they are going to be on jobseeker's. If there is a more favourable rate available, I am sure the Minister can imagine how those excluded from that rate feel for the weeks of the year when they do not get any payment. These are the only people in the school who will not be paid over the summer. I am not saying they are treated as second-class citizens. I am saying they have possibly every right to feel like they are, then they look at the jobseeker's benefit and see the same treatment applied. I ask that the Minister look at this group in particular.
Absolutely. I am always open to any engagement with unions on this. This system was designed for workers who are going to be re-employed relatively quickly. Hopefully in the coming weeks, we will get the first signal of that, because the first cohort of people will be coming to the end of the top payment of 13 weeks. That payment declines as they are no longer employed so to do a full comparison between jobseeker's pay-related benefit and other things will take some time in terms of people's experience and the length of time people are on it. It is designed to assist people as they seek other jobs. The group the Deputy mentioned will be going back to other jobs in September. What I want to do in the immediate term is make sure that their transition is as seamless as possible. I am more than happy to engage with the Deputy, the House and any unions about how we can make that transition much easier. We will also engage with the Deputy in the context of the overall review, which will be in the middle of next year after about a year of jobseeker's pay-related benefit.
Social Welfare Code
86. Deputy Mark Wall asked the Minister for Social Protection to outline his plans for a pay-related carer’s benefit payment; and if he will make a statement on the matter. [33117/25]
I would appreciate if the Minister could update the House on his and his Department's plans for pay-related carer's benefit payment, given the importance of that particular payment and the need for a pay-related part of it for so many people.
Carer's benefit is, as the Deputy knows, a payment available to insured people who may need to leave work or reduce their hours to care for a person or people in need of full-time care and attention. It is financed from the Social Insurance Fund. Since January, the scheme has been extended to the self-employed. Recipients of carer's benefit were among the 138,000 carers who received a carer's support grant of €2,000 on 5 June. The Government fully acknowledges the incredible role that family carers play and we are fully committed to supporting carers. This is recognised in the programme for Government, which includes a number of commitments regarding carers, including the commitment to examine the introduction of pay-related carer's benefit for individuals who have to give up work suddenly in order to provide full-time care to a loved one.
The new jobseeker's pay-related benefit started in March. Developed from the experience during Covid, the scheme ensures that workers who are made unemployed receive enhanced benefits linked to their previous earnings. It is a relatively new payment but, as I said in response to the previous question, we intend to learn from our experience operating it. That experience and learning will help to inform future decisions regarding pay-related schemes, including, potentially, carer's benefit. In addition, we will be moving towards the implementation of the programme for Government commitment to abolish the carer's allowance means test. In this context, further consideration will be given to the potential knock-on effects for the carer's benefit scheme generally. We are fully committed to supporting family carers and I will always keep the range of supports provided by my Department under review. I expect to launch a consultation later this year on the further extension of pay-related schemes, including parent's benefit, and will also seek the views of Deputies and stakeholders about pay-related carer's benefit.
It goes without saying that carers in this country save the State €20 billion. We know we have more than 500,000 carers in the State. One in nine of those people are reported to be trying to juggle a job and their caring responsibilities at the same time. I appreciate what the Minister said. Obviously the pay-related jobseeker's benefit is something new, as he said. What we are looking for and what is promised in the programme for Government is to protect the most vulnerable, who are those who have, in most cases, to give up work suddenly to look after a loved one. That is what we and so many people in the caring community are asking for, that the cliff edge is less severe than it could be by having a pay-related carer's benefit. I appreciate the Minister's reply, but I hope the carers and the huge role they play for the State will form a huge part of that review and consultation that the Minister is launching later in the year.
Absolutely. I think in a couple of weeks the Deputy will see a full indication of this Government's ongoing commitment to carers. As he knows, the carer's benefit is subject to an earnings limit of €450 per week after tax. As part of budget 2025, the income limit will increase to €625 with effect from July, which will allow far more carers to avail of carer's benefit. We also extended the flexibility regarding children who are in hospital or newborns who are kept in hospital. The carer's benefit payment has increased by €41 a week over the past four years. We will continue to support carers by increasing the number eligible for it and by ensuring that the weekly payment is as high as possible. I also want to ensure that those who have to make decisions to leave work, and in particular, considering the essence of the scheme, those who have a sudden change in income, are supported as well.
I think we can both agree that the sudden change or cliff edge, as I call it, causes so many problems for so many people who have to leave work, and unfortunately their income drops accordingly. That is the issue that we are trying to raise with the Minister today. In fairness, he has come back to say that he recognises there is an issue and that he will review this as part of the consultation later in the year. Obviously that consultation relates to carers. I know we have already debated the carer's needs and the Minister has mentioned the means test as well. We will not go back over that today. Regarding pay-related carer's benefit, I will offer some support to the Minister in the form of the number of queries we have got in our office. It is important that we all play our part in that review and consultation. Various carers' associations will also want to be part of that consultation because that cliff edge and sudden drop in income, because you have to stay at home and because you cannot earn that income anymore, needs to be addressed urgently. I look forward to debating that and indeed helping the Minister with that consultation later in the year.
I have met the carers' forum in the Department. I will continue to use that forum with carers' groups for consultation. I am sure the joint committee will have good input on that, as well as Deputies in this House. We have made changes this year. As I said, carer's benefit was extended to the self-employed as part of budget 2025. At the end of April, we had 139 applications from self-employed people for carer's benefit. We paid the carer's support grant, which is the highest in its history, of €2,000 on 5 June. We will expand eligibility from 2 July. We are very much investing in carers. We have more to do and will continue to do that. I look forward to working with Deputies on that.
School Costs
87. Deputy Louise O'Reilly asked the Minister for Social Protection if he is aware of the considerable financial burden the cost of school tablets imposes on parents; if he will consider expanding the back-to-school payment or introducing a device allowance for children attending schools that require tablets; and if he will make a statement on the matter. [33102/25]
The issue of having to purchase devices is coming into my office a lot. It is probably coming into everyone's office at this stage. While obviously there is a benefit to parents of not having to buy schoolbooks, that benefit is entirely undermined if they then have to spend the equivalent amount or more. I welcome the Minister's recent announcement of the extension of the back-to-school clothing and footwear allowance to foster families, but they will be means tested for it, which will exclude a lot. I know I am tacking that onto the end of my question but I am sure the Minister will not mind and that the Leas-Cheann Comhairle will indulge me.
I thank the Deputy. I do not mind at all. The back-to-school clothing and footwear allowance scheme provides a once-off annual payment to eligible families to assist with the cost of clothing and footwear when children start or start back at school each autumn.
Last year, the back-to-school clothing and footwear allowance payments totalled €57.04 million. This was paid to more than 149,500 families in respect of 264,400 qualified children. The majority of families are awarded the allowance automatically. A notification of the awards is issued to these families. In 2025, 114,000 families have been automatically approved for the back-to-school clothing and footwear allowance, in respect of 197,000 qualified children. Payments will begin to be made in the week commencing 14 July. I encourage anybody who has not heard or got a notification to go to MyWelfare.ie and to register their interest or concern.
Matters relating to devices in schools is the responsibility of my colleague, the Minister for Education and Youth, Deputy McEntee. She is keenly aware of the challenges faced by parents and educators relating to the costs of digital technology, including tablets. Her Department is continuing to work to help support schools and families with these costs. The Minister recently announced a €35 million investment in schools for ICT infrastructure. This funding is issued directly to schools, as schools are best placed to identify the requirements of their own student cohort to meet those requirements in accordance with their digital learning planning. This can include the purchase of ICT devices, such as tablets or laptops and the implementation of loan schemes for same if needed. At this time, I have no plans to change the back-to-school clothing and footwear allowance to include a specific device payment.
I welcome the Deputy's expression of welcome for the expansion of the back-to-school clothing and footwear allowance to foster families. It is means tested. However, the means test will exclude the weekly payment of €400 that is paid as the foster allowance. We are currently reviewing every means test. Means tests are important to ensure that supports go to those most in need of them income-wise. I wish to re-emphasise that the back-to-school clothing and footwear allowance means test will exclude the €400 or €420 per week payment to foster families.
I understand the need to get the money to where it needs to be. With the greatest of respect, the Minister does not need to do a review to understand that kids who are in foster care are among the most likely to be experiencing deprivation. They are effectively in the care of the State. I urge the Minister to look at that again because the means test is unfair. We are not talking in the context of a large budget. We are not talking about a large amount of money. I understand that big budgets are made up of many small asks.
In the last couple of days, I read in the newspaper that some of the Minister's colleagues are saying that the cost-of-living crisis is over. Good luck with that project as they go out to their clinics because it is not. Families are being put to the pin of their collar. I know of organisations and companies that are offering buy now and pay later terms. That is families having to get themselves into debt just so their kids can go to school. This goes completely against the principle of the back-to-school allowance. It has now been superseded by the need to purchase devices. I urge the Minister to have a discussion with the Minister, Deputy McEntee, but the money will come from the Minister, Deputy Calleary's Department. It will be the extent to which that the Minister can champion this that it will be done.
On the back-to-school clothing and footwear allowance for foster families, it was an anomaly that foster children could not qualify for this scheme. This was even to the extent that there could be foster children and other children within a family. Some of the children would have qualified and the foster children would not. I have corrected that anomaly. There are means tests, however, across all our schemes. I do not want to correct an anomaly by creating another. I understand the extraordinary role played by foster parents. I look forward to working to continue to enhance conditions.
In the context of big budgets being made up of small asks, I will use that a lot if the Deputy does not mind. I will engage with the Minister, Deputy McEntee. She is conscious of this. We have had discussions. As the Deputy said, the cost-of-living crisis is also affecting clothing and footwear. That is a massive expense on families at this time of year, particularly as children go back to school and if schools are demanding particular kinds of uniforms. I wish to make sure the money, which is relatively small, is directed at that cohort at this time.
We have made huge investment in school books. My Department has made huge investment in school meals. We are focused on trying to improve the experience of children in education, but my Department cannot continue being the Department that everybody comes to looking for assistance.
Child Poverty
88. Deputy Liam Quaide asked the Minister for Social Protection if his attention has been drawn to a report on child poverty (details supplied); his plans to address the rising number of children living in consistent poverty; and if he will make a statement on the matter. [33108/25]
I would like to ask the Minister for his response to the recently published child poverty monitor report and his plans to address the rising number of children living in consistent poverty. The findings of that report make for very grim reading and should focus the minds of the Government on a major change in policymaking.
The Government welcomes the publication of the fourth child poverty monitor. I acknowledge and thank the Children's Rights Alliance and its constituent members for the work they have put into this. The child poverty monitor draws on the survey on income and living conditions, SILC, 2024, which was published by the Central Statistics Office, CSO, in March 2025. It is based on a survey conducted throughout 2024 asking people about their income and consumption in 2023 and 2024. It illustrates that the consistent poverty rate for children increased from 4.8% in SILC 2023 to 8.5% in SILC 2024. While the related figure for child deprivation did fall marginally in SILC 2024, it is disappointing. I am concerned that we continue to see an increase in consistent poverty for children. We are currently working through the report. However, it is important to note that the survey data does not fully factor in the impact of budgets 2024 and 2025, both of which included the largest ever social welfare packages, including many measures that can be expected when they are fully reflected in the data to reduce child poverty.
The child poverty monitor highlights the progress that has been made in recent years, including increases in targeted family income supports, as well as important new measures, such as hot school meals, the holiday hunger pilot, free school books and the commencement of Equal Start. The solutions to child poverty identified in the report align closely with the priorities identified by the Government in our first cross-government programme plan - Child Poverty and Child Well-being 2023-2025. This includes a focus on targeted income supports, early learning and care, the cost of education, family homelessness, integrated services and participation. Due to this report and many others, including reports of the views of children themselves, we know that the policies are working. We are ready to take targeted, decisive and informed action in the context of the forthcoming budget in this space, not just in the Department of Social Protection, but across government. We are focused on reducing child poverty in measures that will be part of budget 2026.
The stark and ever-worsening reality of child poverty is laid bare in the child poverty monitor and wider research. The Children's Rights Alliance has issued a stark warning that unless ambitious action is taken by the Government it will take Ireland four to five generations to break the cycle of poverty. The report found that the number of children living in consistent poverty rose by a staggering 45,107 in 2024 to almost 103,000 children. This reflects immense damage being inflicted on young lives with the potential to cause harm into adulthood. We know that adversity chain reacts across the lifespan. This is not inevitable. It is not a natural disaster. It has come about through political decision-making. It is a scandalous indictment of successive Governments that our State coffers are overflowing, but at the same time we see child poverty soaring.
I wish to reiterate that we are disappointed by the latest child poverty figures. However, it is important to recognise that in 2023, when the SILC income data was collected, the Government had not yet brought in free school meals for all primary schools, which we have now done, or free school books across second level, which we have now done. Those supports will make a difference to children in poverty. It will be reflected in future figures. Similarly, the significant increases in social welfare contained in budget 2024 and the associated cost-of-living measures, which were worth more than €2.3 billion, were not included in the SILC income statistics and neither was the €2.6 billion budget 2025 social welfare package. However, we do not take that for granted.
I can assure the Deputy that our determination to reduce child poverty is reflected in the programme for Government commitments and in the work of the Child Poverty and Well-being Programme Office. Since 2023, this has been based in the Department of the Taoiseach. It will take time to see the impact of the work of that unit on the data. The Economic and Social Research Institute, ESRI, independently shows that the system of social transfer has been effective in reducing child poverty.
Current child-related cash and in-kind benefits have lifted an estimated 157,000 children out of income poverty and 94,000 out of consistent poverty.
I acknowledge the supports the Minister mentioned, but we have not seen sufficiently ambitious targeted measures and strategic investment in recent budgets designed to break the cycle of intergenerational poverty. It is critical, therefore, that there is a focus in budget 2026 on breaking that cycle.
The cumulative impact of continued rising costs of living has created a landslide effect for low-income families such that the very basics, such as nutritious food and keeping their homes warm, become increasingly difficult to achieve. We need to see a major scaling up of the Equal Start programme and an extension of DEIS Plus to address disadvantage at the early stage. We must also benchmark our social protection system to the cost of a minimum essential standard of living to ensure that everyone has enough to sustain a decent quality of life. All future budgets must be poverty-proofed and set against the targets of the anti-poverty strategy. At a very basic level, we need a radical change in housing policy. One in four children lives in conditions of overcrowding and more than 4,700 children are living in emergency accommodation. This will require ideological change from the Minister and the Government. Not embracing that change will cause untold damage.
It will require continuous targeted investment. We will be making choices in the context of budget 2026 regarding targeted supports for children and families. I look forward to the Deputy's support for those. In the context of the programme for Government, we will continue to retain the child poverty and well-being office in the Department of the Taoiseach. The Taoiseach made it very clear to me when I was appointed that child poverty is to be a major focus. We will continue to increase core welfare payments. We will be looking at increasing the child support payment as one of the targeted measures and looking at various pay-related benefits for parents, which we discussed earlier. The programme for Government has a commitment to expand the fuel allowance to the working family payment, which will address the energy issues to which the Deputy referred. We have a focus on this within the programme for Government, which will be delivered upon. We are finalising our new child poverty target and the measures that will go with that in order to ensure that we achieve it. It will be ambitious, absolutely, but it has to be ambitious. We have to ensure that no child is left behind. I am certainly determined to ensure that will happen in the context of my Department.
Social Welfare Benefits
89. Deputy Brian Stanley asked the Minister for Social Protection whether his Department will conduct a review of the delays relating to the awarding of disability and carer’s allowance, particularly in light of delays of up to five months that have occurred in County Laois; and if he will make a statement on the matter. [33295/25]
My question relates to the delays around reviews of decisions relating to disability and carer's allowance. Currently, people are waiting a long time. This matter needs to be addressed. I hope the Department is going to take action on it.
My Department is committed to providing quality service to all, ensuring that applications are processed and that decisions on entitlement are made in a timely manner. We absolutely understand the pressures people face, and we ensure that claims are processed quickly and efficiently.
There are almost 170,000 people in receipt of disability allowance and more than 100,000 people in receipt of carer's allowance. The number of people in receipt of disability allowance has increased by almost 50%. The number of people in receipt of carers allowance has increased by 67% over the past ten years. The processing times for individual claims may vary in accordance with the relative complexity of each application, particularly in terms of the main qualifying criteria, each individual's circumstances and the information that is provided in support of the claim.
When determining suitability for disability allowance, evidence needs to be examined in respect of the medical condition involved, the extent to which it restricts a person from taking up employment, their means and habitual residency. Similarly, when examining suitability for carer's allowance, caring needs are also examined. To assist the Department to make timely and fair decisions, we need to ensure we have completed forms and that supporting documentation is attached. Claims with incomplete information take longer to process.
In recent years, my Department has introduced a wide range of initiatives aimed at streamlining the processing of claims using modern technology. Operational processes, procedures and the organisation of work are continually reviewed to ensure that processing capability is maximised. I am pleased to inform Deputy Stanley that we are currently meeting and exceeding our processing target for the disability allowance scheme, which aims to award 75% of applications within ten weeks. For carer's allowance, we aim to award 80% of applications within ten weeks. The average processing time for both schemes is six weeks. I will certainly engage with the Deputy with regard to any specific case that falls outside of those periods. We are continuously trying to reduce those processing times.
The reason I raise this is because people find themselves out of work through no fault of their own because of a disability or they have to give up work to care for a loved one and may have to put in a claim for carer's allowance. These are genuine cases. I understand that it is complex. I understand that there are a number of different aspects in terms of judging whether people are eligible or not. The Oireachtas helpline is of assistance, but it is not a silver bullet. The experience we have had is that some applications take four and five months to process, which can cause serious problems. Even in straightforward cases, there may be a missing document that is then supplied. If there is an appeal, it can take up to 12 months. That is our experience.
The Minister asked if I have an individual case. I want to go back and check where those cases are at. If there is a particular case, I will bring it to his attention. The Minister read out a reply prepared by the Department. I am not saying that the officials are giving him false information, but the experience we have been having does not match what he read out.
I thank the Deputy for his feedback. We discussed this matter in the context of preparing a reply to his question. We are putting a huge number of resources into dealing with appeals. We have 20 extra staff who have been assigned to the appeals unit. They have been trained up and are working. The number of domiciliary care appeals decreased from approximately 1,200 in the middle of May to just over 600 by the middle of this month. The majority of those 600 cases relate to appeals made in April, May and this month.
I will be focusing the extra resources in the appeals unit on carers in order to ensure that any backlogs are addressed. I do not have a figure at the moment. However, no claim should take up to a year to assess. If there are delays of that nature, the Department and I want to hear about them. We have set a time of six weeks with regard to carers and disability in the context of the turnaround of applications. It is important that we get the fullest possible information from people in support of their claims. The more information we have, the quicker we will make decisions.
If they could be done within a six-week period, that would certainly be very good. I welcome the fact that there is a target in that regard. In the absence of targets, nothing is achieved. Things move when there are targets. The Minister is correct about people supplying more information. Often, those who make claims are not sure what is being sought as a result of the language the Department uses. It has been simplified in recent years, and that is welcome. It is important that we try to achieve the target.
As already stated, people find themselves out of work through no fault of their own because of a disability or they have to give up their jobs. The Minister and I often come across cases in our constituencies of people having to give up work to care for loved ones. It is really important that we try to support people financially. We must remember that while they are waiting, they have nowhere else to go. They can go to the community welfare officer, maybe, but there are very strong rules in that regard. It can be difficult and can take time. It is really important that we try to iron out any difficulties with this. The delivery part of the appeals process needs to be looked at.
In recent weeks, I took the time to try to visit all the Department's regional offices in which many of these claims are dealt with, including our head office in Dublin. I met all the staff, and they are doing absolutely fantastic work. We have nearly 7,000 members of staff across the Department of Social Protection, many of whom are managing these claims and turning them around as quickly as possible. Where there are information gaps, we try to address them as quickly as possible. We are investing significantly in technology to try to assist that as well. As the Deputy said, we have tried to change the language and make it more inclusive, but if there are places where that is not happening, we will address that. The Department and our staff are very committed to doing that.
As stated, we have appointed 20 extra appeals officers. They come with experience of managing and processing claims. I visited the social welfare appeals office last week to meet these officers and see their work at first hand. They are all very focused and are working hard to reduce any backlogs.
The domiciliary care allowance is a good example of where a focused effort has reduced the backlog by almost half in just over a month.
Social Welfare Code
90. Deputy Catherine Ardagh asked the Minister for Social Protection for an update on plans to abolish the means test for the carer’s allowance, given the strong support for this in the programme for Government; to confirm if it will be included in budget 2026; and if he will make a statement on the matter. [32829/25]
I know the ground on carer’s allowance has been covered a lot, but the programme for Government contains a commitment on the abolition of the means test for carer's allowance during the Government's term. Will the Minister provide an update on where this now stands, on the work has been done on the costings or preparations and on whether we can expect progress or a first step in budget 2026?
The carer's allowance is the main scheme by means of which my Department provides income supports to carers in every community. As the Deputy will be aware, more than 100,000 people are in receipt of carer's allowance. Expenditure on the scheme in the current year is estimated to be more than €1.24 billion. Carer’s allowance provides an income support to people whose earning capacity is substantially reduced because they cannot work full time due to their caring responsibilities. It is means-tested to target the support to those most in need.
In the programme for Government, we set out an ambition to significantly increase the income disregards for carer’s allowance with a view to phasing out the means test entirely during the lifetime of this Government. A number of significant changes have been made to the carer’s allowance means test in recent years. From 3 July, there will be further increases that will see the weekly income disregards rise from €450 to €625 for a single person and from €900 to €1,250 for carers with a spouse or partner. This amounts to cumulative increases to the disregards of €292.50 and €585 weekly since June 2022. From July, carers in a two-adult household with an income of approximately €69,000 will still retain their full carer's payment. Even with an income of €97,000, they will retain a partial payment. These increases have made the scheme accessible to many more people and may increase payment rates for those currently on a reduced rate.
It is important that we make progress in a way that is sustainable and that balances the allocation of available budgetary resources. That is why we have committed to a measured and phased approach over a number of budgets. We are beginning our work on budget 2026 in the Department, and this will be a priority I intend to achieve over the lifetime of the Government.
As the Minister stated, more than 100,000 people are in receipt of carer's allowance. There are 500,000 carers, however, which means that 400,000 people are not getting benefits under the scheme. Will the Minister increase the disregard in the forthcoming budget? The means test hits families who are doing their best, often one-parent families or where a parent is working part time and might have some savings. It is outdated and creates huge hardship, especially for women. This is because the majority of carers are women. The current system penalises those who are trying to save for their future or manage their finances responsibly. It penalises prudence. This is not only a financial issue; it is also a matter of fairness and equality.
The Minister mentioned cost concerns previously with estimates ranging from €600 million to €3 billion depending on eligibility. Has the Department done proper costings in the context of abolishing the means test? Will the Minister clarify the figures from which the Department is working? Have any equality or poverty impact assessments been conducted as part of this work to ensure that the most vulnerable are not disproportionately affected?
I reiterate our full support for carers. I fully recognise the gender impact caring has. Deputy Ardagh is right to highlight that.
It is important to look at the progress made on disregards in recent years. I want that to continue and for more people to qualify for the payment. The carer's support grant, which was paid at the beginning of June, is not subject to a means test. It is paid out. We are working through all the issues that were highlighted by the Deputy to get an effective costing for the phasing out of the means test and the other issues she highlighted. We will continue to do that.
In the context of budget 2026, I intend to seek the support of my colleagues to once again substantially increase the income disregards. That will be done in the context of the budgetary negotiations.
As stated, there are other supports for family carers. The carer's support grant was the highest ever. It was paid out on 5 June with an investment of €334 million.
Carers are saving the State billions of euro. The highest figure we have seen for the amount involved is €3 billion. In any event, the savings being made are enormous. People provide care for children with complex needs, older people and family members with serious illnesses. They do so out of love and with very little support from the State.
While the increases to income disregards are welcome, they are not a substitute for fully abolishing the means tests. Carers, as the Minister stated, are the backbone of our society, providing essential care the State would otherwise struggle massively to offer. The financial and emotional toll on individuals is immense and abolishing the means test would go some way to helping those families. Will the Minister provide a detailed plan for how the carer's allowance means test will be abolished? If he would give me a timeline for how it will be implemented over the course of Government's term of office, it would be appreciated.
I assure the Deputy that we are working on the plan and on what will be involved, not only financially but also in other ways, in the context of abolishing the means test, and we will continue to do so.
I also highlight that a great deal of work has been done to support long-term carers. The long-term carer's contribution scheme ensures that people who have been full-time carers for at least 20 years will get contributions to cover the gaps in their records in order to allow them to qualify for the contributory State pension. That is beginning to take effect with carers who would otherwise have lost their contributions and not got any recognition for their work.
We are fully committed to phasing out the means test, but I am conscious that there are other supports and issues we need to improve on. Other Departments also have work to do in supporting carers. This is not just the responsibility of the Department of Social Protection. Other Departments are involved in supporting full-time carers, family carers and those who work in the care industry. Across government, we will be keeping a focus on this.