Tuesday, August 16, 2011

SVP to run out of cash reserves after Christmas

THE Cork branch of St Vincent de Paul is set to run out of reserves after Christmas, such is the scale of demand for the charity’s help during the economic crisis.

Brendan Dempsey, who is the charity’s regional president, said people working for the organisation had "never seen things so bad" and its ability to provide for the growing band of needy people is facing "crisis point".

Mr Dempsey revealed that, last year, the charity spent over €5 million helping 30,000 people in Cork city and county. 

The final figure for this year is expected to be considerably higher, as calls to its helpline are up 43% so far.

"It’s quite probable that we will help more than 50,000 people in the region before this year is out," said Mr Dempsey.

He added that the charity was currently spending nearly five times more than it was getting in donations.

"The reason we are able to do this is that, when times were good, we put money away for a rainy day. However, we believe all this savings will be gone by next Christmas. We’re simply in a crisis and if the trend continues we won’t be able to keep pace."

The charity has already begun to pare back. "Two or three years ago families were coming to us saying they couldn’t pay their rent, ESB bills or buy clothes. Now it’s got so bad they are asking for food."

He said the Government needs to do a lot more to address the situation, as it isn’t all down to the recession. 

"Some appalling decisions have been made by the state which is exacerbating the situation. It’s appalling that the self-employed are entitled to nothing. Sub-contractors who may have employed half a dozen people and who have lost jobs can’t pay food or ESB bills. They have nothing. This needs to be changed."

He said 45% of the charity’s money is spent on single parent families.

"Dads are not supporting their children and women who go to court to get maintenance orders find they are not being paid. The money should be directly deducted from a father’s income."