The Society of St Vincent de Paul (SVP) has warned the Government against using the spectre of a tight budget as an excuse to ignore the urgent need to tackle poverty and social exclusion.
Prof John Monaghan said he hoped there would not be a repeat of the 2003 budget in which the "savage sixteen" welfare cuts inflicted significant hardship on the less well-off.
"In that case the people who benefited the least over the previous 10 years were made to suffer the most.
It was a measure which saved relatively little money, yet it caused untold misery for many," he said.
Instead of focusing on cutting tax by 1 per cent, the Government should instead focus on ensuring people earning low incomes are taken out of the tax net, he said.
Prof Monaghan was speaking at the launch of the society's pre-budget submission which calls for targeted action across areas such as welfare, education disadvantage, housing and access to health services.
An estimated 300,000 people live in consistent poverty, unable to afford sufficient clothing, food or heating, according to latest official figures.
Prof Monaghan said the Government's failure to deliver sufficient numbers of social housing was beginning to cause serious problems for people unable to afford their mortgage or rent.
In a new development, people who took out 100 per cent mortgages and have defaulted on their repayments were seeking help from the society in growing numbers, especially in rural areas.
The SVP has also been paying significant amounts in rent supplement "top-ups" because the level of State support is not adequate to meet the level of rent in many areas.
The society's pre-budget submission calls on the Minister for Finance to introduce a range of specific measures to help people struggling to make ends meet. The measures include:
An increase in the adult social welfare rate by €18 to €203.80 per week;
No increase in VAT or excise rates. Instead, increase tax credits to ensure minimum wage-earners stay out of the tax net, and seriously consider the introduction of refundable tax credits;
An increase of €10 to €170 in child benefit per month for first and second child and an increase of €15 to €210 per month for third and subsequent children;
Provide free school books to all schools in disadvantaged areas in the school year 2008/09;
Meet at least minimum target of 8,700 social housing units per year for 2008 and 2009 to make inroads into current crisis;
Full medical cards to be provided for 35 per cent of population, based on those on the lowest income levels, by 2012.
