Election 2024: Fine Gael’s SSIA-style plan ‘would enshrine inequality’
Taoiseach Simon Harris admitted that those who are wealthy enough to put money aside are already saving, but hopes the new scheme will 'foster a culture of savings and preparing for the future'. Picture: Andy Gibson
Fine Gael's proposals for an SSIA-style scheme for parents have been strongly criticised as “enshrining inequality” by only benefitting children in well-off families.
The Acorn Savings Account would see the Government lodge €1,000 into a managed scheme when a child is born. Children from families receiving child support payments would receive €1,500.
Parents would also be able to lodge up to €2,000 of their own money into this account each year, which would have an annual interest rate of around 4%. This would mean the account would have more than €53,300 in it by the time the child turns 18.
Campaigners and other political parties have said the measure will exacerbate inequality as setting money aside is not an option for tens of thousands of families struggling to pay for day-to-day expenses.
Michelle Murphy, a research and policy analyst with Social Justice Ireland, said: “264,000 children are currently experiencing depravation, this scheme is not going to do anything to address that fundamental problem.”
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Focus Ireland campaign co-ordinator Louise Bayliss also expressed anger at the proposal, stating that “none of it makes sense” and it is “enshrining inequality”.
Pointing to the fact that there are now 4,571 children in emergency accommodation, she said the €75m earmarked for the scheme should be invested in other measures to prevent poverty.
Taoiseach Simon Harris admitted that those who are wealthy enough to put money aside are already saving, but hopes the new scheme will “foster a culture of savings and preparing for the future”.
Sinn Féin leader Mary Lou McDonald said the scheme would prioritise the better-off, with the average family not having “the excess income to invest in a scheme like that”.
Meanwhile, Mr Harris said he will continue to support Fine Gael senator John McGahon, who was found by the High Court to be civilly liable for an assault.
It came after photographs showing the extent of facial injuries suffered by Breen White following the 2018 assault were published over the weekend.
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