Dáil Éireann debate -
Thursday, 25 Mar 1993

Vol. 428 No. 3

Written Answers. - Effect of Social Welfare Regulations.

John Bruton

Question:

20 Mr. J. Bruton asked the Minister for Social Welfare if he has undertaken any study on the extent to which families may be broken up by social welfare regulations in so far as old age pensioners lose various living alone allowances if a son or daughter comes to live with them, a son or daughter loses entitlement to unemployment assistance if he or she is living with parents who have an income; and differences in the level of child support available in the case of married couples receiving social welfare payments as against separated or cohabiting persons on social welfare payments; and if he will have arrangements made for some financial quantification of the various factors mentioned above.

Minister for Social Welfare (Dr. Woods)

There is no difference between the child support payments made by my Department to married couples and cohabiting couples, as both are treated equally under the social welfare code. Separated persons with children, may qualify for deserted wife's benefit or lone parent's allowance. Child dependant allowances are higher with these payments than with some other social welfare payments. All mothers, regardless of income or marital status, are entitled to monthly child benefit. This will be increased in this year's Social Welfare Bill to £20 in respect of the first three children and £23 in respect of the fourth and subsequent children.

As regards the living alone allowance and entitlement to free electricity and gas allowances paid with social welfare pensions to persons aged 66 or over, the purpose of these allowances is to recognise the extra expense which falls particularly on pensioners when their families have left home and to provide additional support for those pensioners in that situation. The allowance is not therefore payable if the pensioner ceases to live alone. If a son or daughter or any other person moves in for the purpose of caring for the pensioner, they may qualify for the carer's allowance in their own right. The Deputy will be interested to know the maximum rate of carer's allowance — £53 at present will increase to £59.20 with effect from July.

In the case of the free electricity and gas allowances and the free television licence the pensioner may have a dependent spouse, dependent children or a person providing full-time care and attention where the pensioner is an invalid living with him and continues to draw the allowance. In 1990, I arranged that people over 80 years of age would continue to receive these allowances where other people, which would normally disqualify them from receiving the allowance, came to live with them.

In his question, about unemployment assistance the Deputy is referring to the provisions whereby the value of free board and lodging enjoyed by claimants living at home with their parents is taken into account in the means test. The purpose of the assessment is to achieve a degree of equity as between applicants in different household circumstances. This provision has been a feature of the unemployment assistance scheme since its inception. The assessment covers the value of accommodation, meals, support and maintenance as well as the value of generally sharing in the standard of living of the household. In 1991, it was estimated that the abolition of the assessment of free board and lodging would cost the Exchequer in excess of £50 million annually.

Contrary to the Deputy's suggestion that these provisions have a negative impact on families they were specifically designed to recognise the additional supports that pensioners living on their own need and to bring about a degree of equity between different family circumstances in households.