Increase in State pension urged

Age Action Ireland has called on the Government to increase the State pension by €35 a week in the forthcoming budget.

The charity, which promotes improved services for older people, has said the plight of one in five pensioners judged to be at risk of poverty, has worsened in recent months because of an increase in the price of flour, milk, butter and home heating oil.

The Programme for Government had pledged to increase the State non-contributory pension from €200 to €300 by 2012. This could be achieved through an annual €20 increase. However, due to rapidly rising costs, Age Action Ireland has called for the increase to be front-loaded.

The charity's pre-budget submission notes that up to 90,000 pensioners are at risk of poverty and 18,0000 suffer from poverty.

Half of all pensioners depend on the State pension as their sole form of income in retirement and more than one-third are on the non-contributory pension, the submission stated.

It called on the Government to link pensions to the Gross Average Industrial Earnings, and said pensions should reach half of this by 2016.

The pre-budget submission also contains measures to help alleviate hardship among older people.

It called on the Government to increase the Living Alone Allowance from €7.70 to €20. The payment has remained unchanged since its introduction in 1996.

It also called for the fuel allowance to be increased from €18 to €28 to take account of rising fuel prices, and it called for the pensioners' household package to be expanded to include credit for multi-channel TV services and broadband. The expansion would reflect the changing needs of pensioners, especially those who are housebound, the submission said.

Other recommendations included: the removal of VAT from utility bills and medical aids for unwaged pensioners; a voucher system for private transport services for pensioners living in areas not served by public transport; and incentives and supports for older people wishing to remain at or to return to work.

Age Action chief executive Robin Webster said that in the light of existing poverty levels and the rising cost of living faced by pensioners, they are urging the Government to front-load the pension increase on budget day, December 5th.

He also said that no older person should be cold in Ireland in their homes.

"It is essential that older people have sufficient income to enable them keep their homes at a safe temperature, without having to worry about the cost of the fuel being used," he said.