Little cheer for 986,000 on welfare as U-turn ruled out on Christmas bonus

ALMOST one million people are facing a tougher Christmas after the Government said it had no plans to alter the decision not to pay the traditional social welfare bonus.

The bonus consists of a double payment coming up to Christmas, but the Government announced in the April Budget that it would not be paid this year because of the crisis in the public finances.

There have been repeated calls since for the Government to reverse this decision because of the hardship it will cause for welfare recipients.

But quizzed on the matter by one of her Fianna Fáil colleagues, Social Affairs Minister Mary Hanafin said the Government had no intention of doing a u-turn.

“In the supplementary Budget in April, it was announced that the December bonus payment would not be paid this year. There are no plans to alter this decision,” she said.

The payment of the bonus would cost about €223 million, with the overall number of recipients estimated at 986,000, according to Ms Hanafin’s department.

The matter had been raised by Fianna Fáil TD Noel Ahern, who asked if the anti-fraud campaign by the department “was successful enough to allow for a partial bonus” to be paid.

In response, Mr Hanafin replied that the drive against welfare fraud had saved €355m in the first nine months of this year, but did not indicate if this created room to pay a partial bonus.

In separate answers to questions from other TDs on the matter, including Labour’s Joe Costello and Sinn Féin’s Aengus O’Snodaigh, Ms Hanafin reiterated the reasons for not paying the bonus.

“Each year the Government makes a decision on the payment of the Christmas bonus having regard to the prevailing economic circumstances. This year it has been necessary for the Government to take steps to reduce overall public expenditure so as to restore order and stability to the public finances,” she said.

The non-payment of the bonus means a pensioner on the contributory State pension will lose €230.30 – a sum equivalent to their weekly payment. A person on Jobseekers’ Allowance will lose €204.30.