Pensioners and poverty

Sir, – We wish to express our disappointment at your coverage of the CSO’s Survey on Income and Living Conditions in Ireland. In particular we were disappointed Economics Editor Dan O’Brien (Analysis, August 16th) failed to look at the full picture.

He did not mention that the 48 per cent rise in income for older people between 2004 and 2011 was in the context that pensioners were coming from a very low income level. The State Contributory Pension rose from €167.30 in 2004 to €230.30 in 2009 (and has not increased since). The over-65s had an average income of €289 in 2004, compared to €503 for 18-64 year olds and €433 for under-17s. Seven years later the increases meant that gap had closed, but older people still had the lowest average income (€150 a week less than 18-64 year olds and €88 behind under-17s).

In his news report he states the average incomes of over-65s fell by 5 per cent between 2009 and 2011 “less than the rest of the adult population”. Those who did not read the CSO document would not have realised this was marginally less, with incomes for the 18- to 64-year-olds falling 6 per cent, the income for the entire population down 5.2 per cent and under-17s down 2.1 per cent.

But our greatest point of contention is that while the CSO report looks at income, we believe Dan O’Brien’s article should have looked at the increasing demands on older people’s dwindling incomes as part of his article before reaching his conclusion about older people’s incomes.

READ MORE

As a charity that works with older people, we were shocked when we consulted members earlier this year, while preparing our pre-budget submission, and asked about the impact which austerity measures were having on them.

People spoke of struggling from the impact of multiple cuts to supports, new taxes and charges, and soaring prices for essential items such as energy and medication. It was not the impact of any one cut, but the cumulative effect of a succession of austerity budgets that was causing so much difficulty.

Many people on low (and falling) incomes are struggling to pay their property tax (which equates to two or three weeks pension in some cases), the trebling of the prescription charge and soaring energy prices. Meanwhile there have been cuts to the household benefits package, the loss of bin waivers, respite care grant, loss of the Christmas bonus, and an increase in Fair Deal take for a nursing home bed from 15 per cent to 22.5 per cent.

Dan O’Brien states, “Lobbyists for the elderly will, no doubt, do what they are paid to and take to the airwaves claiming this mitigating circumstance and that exceptional issue.” This flippant dismissal of the serious impact that austerity measures are having on older people is hurtful to those who are struggling.

Finally, the headline on the analysis piece, “Young carry the can for the elderly in recessionary squeeze” suggests an inter-generational tension which we have not detected. As a generation which has lived through a number of previous recessions and paid their taxes during their working life for the pensions of previous generations of pensioners, they understand what others are going through.

Despite the tough economic times, older people are continuing to play their role in society as parents and grandparents, supporting their families where they can. They are volunteers in their community. They are doing their bit to ensure we all get through the current economic crisis. – Yours, etc,

EAMON TIMMINS,

Head of Advocacy and

Communications,

Age Action,

Lower Camden Street,

Dublin 2.

Sir, – Dan O’Brien is too smart to say so, but might he be accused of strongly implying that the fat cats on the ridiculously extravagant €230 per week State pension, paid for through 40 years of productive employment, should be taken down a peg and moved a bit closer to the breadline or below it (Home News Analysis, August 16th)? – Yours, etc,

JAMES CARROLL,

Ballymany,

Newbridge,

Co Kildare.

A chara, – May I commend Dan O’Brien for his most excellent strategy of reminding us all of how good we are to our old people – no shanty town starvation for them in this country, thank you very much – before he begins softening us up for swingeing cuts to their pensions (Home News, August 16th).

However, despite his cleverness, I can’t help noticing that in all his talk about “social transfers” being passed from the hard-pressed young people to the elderly he leaves out an important point.

Those who are now elderly worked hard and paid their taxes towards the State pension all their lives. Cutting their pensions now would be to penalise them for the way in which successive governments have squandered the money instead of keeping it safe for its intended purposes.

If pension cuts are required, I’d be far happier to see them fall on the politicians and bankers who got us into this mess (and perhaps even some of the journalists who cheered them on) rather than the unfortunate elderly who were innocent bystanders to the debacle. – Is mise,

Revd Fr PATRICK G

BURKE,

Castlecomer,

Co Kilkenny.