I regret that under current supplementary welfare allowance legislation no payment can be made in this person's current circumstances. Legislation governing the supplementary welfare allowance scheme, which provides for payment of rent allowance, excludes people in full-time employment from receipt of the allowance. I am aware that this can act as a disincentive to work for those on low pay especially where they have significant housing costs. Family income supplement is a useful support for couples with children; however, single people on low pay, who must provide their own private rented accommodation, may be especially affected.
The Programme for Government promises to accelerate the process of tax reform by measures which include the targeting of lower paid workers and young new job entrants, through a combination of measures aimed at taking them out of the tax net and the development of a reformed system of PRSI contributions and other measures.
This is a complex area involving the interaction of the social welfare and tax systems, as well as with the effects of low pay employment. An expert working group on the integration of the tax and social welfare systems is currently studying the problems arising from the interaction of the two systems under the auspices of my Department. The Programme for Government promises publication of their study in 1995 and I look forward to examining their report with a view to tackling problems such as that brought to my attention by the Deputy.