01/07/2009

Live Register Almost Half A Million - Taoiseach

The Taoiseach has told the Dáil the number of people now signed on for social welfare payments has reached 413,500.

Brian Cowen told the Daíl this morning the number on the register last month was up 11,400, but that this was the slowest rate of increase since January.

Opposition leaders reacted angrily to the news, with Fine Gael leader Enda Kenny saying the economy was in crisis and that the Department of Finance was in paralysis.

Meanwhile, the Labour leader said the Taoiseach's comments that the figure represented the slowest rate of increase this year was akin to saying the country is sinking, but sinking more slowly.

Eamon Gilmore said there are now 200,000 more people out of work compared to last year and this put an additional cost of €4bn on the public purse.

Replying to a question from Mr Gilmore, the Taoiseach said he expected the unemployment rate would be in the region of 15.5% by the end of the year and that it could be higher in 2010.

The news comes ahead of a public spending review, which could see major cuts in public services and even in social welfare payments.

Irish Congress of Trade Unions general secretary David Begg described the mooted social welfare cuts as "horrendous" and said there was a need to protect the vulnerable by safeguarding social welfare rates.

"The situation is very bad indeed with the country nearly banjaxed," he said.

(DW/BMcc)

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