asked the Minister for Social Welfare if he is aware of the hardship which is being caused to necessitous persons by the ending of the cheap fuel scheme; and if he will rescind the decision to terminate the scheme.
Ceisteanna—Questions. Oral Answers. - Cheap Fuel Scheme.
26.
The Deputy's question is apparently based on a misapprehension. The cheap fuel scheme has not been terminated.
To all intents and purposes it has.
No.
Is the Minister aware that the benefits of the cheap fuel scheme have been so curtailed that many former recipients have to pay the economic price for turf whereas previously they got it at a cheap rate?
No. There has been no curtailment of that scheme as applied to persons who are in receipt of non-contributory pensions. I would suggest that perhaps the House might wait until some of the other questions have been answered and then they will have a better idea of what the true position is.
27.
andMr. McQuillan asked the Minister for Social Welfare if in view of the hardship imposed on those pensioners recently affected by the stopping of cheap fuel supplies he will reconsider his decision in the matter and restore the cheap fuel privilege as heretofore.
28.
asked the Minister for Social Welfare the reason why the free fuel scheme has been discontinued in the case of those now in receipt of contributory old age pensions and allowances, especially in the case of those who qualified for such pensions at a greatly reduced rate and who now receive an increase less than the value of the fuel vouchers formerly received.
I propose, with the permission of the Ceann Comhairle, to take Questions 27 and 28 together.
No hardship has been occasioned by the withdrawal of facilities for cheap fuel to persons in receipt of non-convenanted old age (contributory) pensions.
The cheap fuel scheme was introduced in the Winter of 1942 during the period of acute fuel shortage occasioned by the Emergency in order to assist necessitous families to obtain a regular supply of native fuel, and in particular turf, in areas then classified as non-turf areas, where there were special difficulties in obtaining adequate supplies. The emergency which gave rise to the scheme has long since passed and I see no reason why the scheme should be extended in order to admit the new contributory pensioners who are not subject to a means test or in general are not in necessitous circumstances. Many of them, in fact, are still in employment or in receipt of superannuation payments from their former employers.
As a result of the transfer from non-contributory to contributory pension a substantial and completely uncovenanted increase in income which heavily outweighs the loss of fuel vouchers is being received by virtually every one of those concerned. The number formerly in receipt of cheap fuel as non-contributory old age pensioners who have been awarded only the minimum rate of contributory pension and are at a net loss is infinitesimal. Where such persons are genuinely in need, they are eligible for home assistance and entitled to obtain the fuel free of charge.
29.
asked the Minister for Social Welfare the terms of the circular issued by his Department to local authorities in connection with the issue of fuel vouchers to old age pensioners who qualify for contributory old age pensions.
The Local authorities were informed by circular dated the 23rd December, 1960 that in accordance with the Social Welfare (Amendment) Act, 1960, old age (contributory) pensions would be payable from the 6th January, 1961; that persons in receipt of this pension, for which there is no means test, would not be eligible to receive cheap fuel and that arrangements should be made to ensure that vouchers were not issued to them.
Special attention was drawn to the fact that persons receiving non-contributory old age pension who qualified for the new contributory pension would thereupon cease to be eligible for fuel vouchers.
In this connection it should be noted that 99.2 per cent. of the persons concerned have had their pensions increased by from £10 8s. to £143 0s. per annum, according to their marital condition, age of spouse and contribution record. These increases, which are entirely uncovenanted benefits, give no shadow of claim to the provision of further benefits (such as cheap fuel for those who reside in certain districts) at the expense of the taxpayers. It is possible that a very small number of persons—perhaps less than 100 out of 27,000—who receive an increase in their pensions, may lose slightly on withdrawal of their fuel vouchers but only if they are refused home assistance because they have other means or if the Public Assistance Authority concerned ignores the fact that, as the pensions are now contributory, the first ten shillings thereof must be disregarded when assessing income for Home Assistance purposes.
Leaving aside the long speech the Minister has made, may I ask him if he agrees that this circular actually means a 5/- per week reduction on the increase a contributory pensioner gets? There is an increase from 28/6 to £2 if he has no dependant at all. Does that not actually mean that instead of getting 11/6 he gets 6/6?
Is he not better off if he gets 7/-?
That is what Bumble said.
Is it not more than you ever gave them?