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Cutting welfare will make recession worse – Ó Snodaigh

19 July, 2012 - by Aengus Ó Snodaigh TD

Responding to IMF calls for the dole, medical cards and child benefit to be cut the Sinn Féin Spokesperson on Social Protection Aengus Ó Snodaigh has argued that cutting welfare will only make the recession worse.

Deputy Ó Snodaigh said: 

“The IMF representatives are plain wrong in their calls for dole, medical cards and child benefit to be cut. To suggest that the reason for 'low exit rates' from the dole is the size of the sub-poverty line payment rather than the uncontested fact that there are fifty jobseekers for every single job vacancy is ludicrous. 

“In reality the social welfare cuts made to date have further shrunk demand in the local economy leading to even more business closures and job losses.

“But the peoples’ anger should be directed at the government and not the IMF.  The IMF is lining up the ducks.  They are essentially telling the government what they want to hear.  When I met the Troika earlier this month they made it clear that the reason they are suggesting social welfare cuts at all is because the government have chosen to pursue deficit reduction with spending cuts rather than by raising revenue from the wealthy.”

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