10 things we learnt from the Government's medium-term spending plan
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10 things we learnt from the Government's medium-term spending plan
"Spending on Social Protection has soared over the last five years. In 2024, and not even including the temporary cost-of-living measures, the bill for Social Protection was €25.2bn, up €4.5bn from 2019. The largest increase was in pensions - up by €2.3bn a year in that period. This is despite an economy with almost full employment. The increase in social-welfare payments is somewhat surprising given that there are more people at work than ever, and fewer unemployed."
"Since 2019, participation in the labour market has increased by 3.6 percentage points, driven by a higher number of women at work - up almost 5 percentage points. Meanwhile the number of people registered long-term unemployed - that is, for more than a year - fell by 14,000. Once that trend reverses, as it inevitably will, the Social Protection bill will rise further."
"How can it be that the number of people in receipt of social protection payments rose even though the Live Register was down? The report says it is due to demographics, but also because eligibility for some schemes expanded, and there was an increase in the prevalence of disability. One in five people in Ireland has a disability, and the employment rate in that cohort is the lowest in the EU. Only one in three people with a disability has a job."
"Spending on disability services has soared It has grown by about €1bn in the last five years, and stood at just over €3bn last year. The number of people getting Disability Allowance was up 14pc, from 146,755 to 167,633. The Government does not believe it is getting value from the extra money it is spending on disability services. There has not been a "corresponding increase in the level of activity", the report says."
Social Protection expenditure increased by €4.5bn between 2019 and 2024 to €25.2bn, with pensions accounting for a €2.3bn rise. Labour market participation rose by 3.6 percentage points since 2019, driven by almost a 5-point increase in female participation, while long-term unemployment fell by 14,000. The number of people with disabilities has grown; one in five people in Ireland has a disability and only one in three in that cohort is employed. Disability spending rose by about €1bn to just over €3bn, and Disability Allowance recipients increased by 14% from 146,755 to 167,633. Government assesses limited value from increased disability spending.
Read at Irish Independent
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