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Dáil Éireann debate -
Thursday, 4 Mar 1999

Vol. 501 No. 5

Written Answers. - Social Welfare Benefits.

Jim O'Keeffe

Question:

26 Mr. J. O'Keeffe asked the Minister for Social, Community and Family Affairs the sup ports, if any, available to the estimated 21,000 low income families who are denied family income supplement due to the fact they are self-employed; and his views on whether it is economically wise and socially just to provide support for these families as in Northern Ireland. [6290/99]

Self-employed people whose income falls below the rate of unemployment assistance, UA, appropriate to their family circumstances are entitled to claim UA. The rate of UA payable depends on the person's means. In assessing means, account is taken of the net income which the applicant may reasonably expect to receive in the next year.

The Deputy will be aware that the family income supplement scheme was introduced in 1984 with the specific purpose of providing an incentive to low-paid employees with families to take up or remain in full-time employment.

The question of extending the scheme to cover the self-employed has been considered on a number of occasions. Such consideration would have regard to a range of factors including: the practical difficulties associated with extending the scheme o the self-employed; the arrangements already in place to provide income support to self-employed people on low incomes; and, the cost of introducing such a measure in the context of the need to prioritise the use of the limited resources available for the development of wider social welfare system.

The Deputy will be aware that a separate social assistance scheme is being introduced in 1999 to provide enhanced income support to low-income farmers. If FIS were to be extended to all other self-employed people, the costs involved have been estimated to amount to some £47 million, assuming substantial take-up.

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