Brendan Howlin
Question:37 Mr. Howlin asked the Minister for Social, Community and Family Affairs the cost of abolishing the means test for carer's allowance. [23616/99]
Written Answers. - Social Welfare Benefits.
The carer's allowance is a means tested payment for carers on low income who look after people in need of full-time care and attention.
Following a detailed examination of the review of the carer's allowance, which was published in October 1998, a range of measures was introduced in the 1999 budget at an additional annual cost of over £18 million, to improve and develop the position of carers. These measures were implemented between April and August this year. The provision in the Estimates for expenditure on carer's allowance in 1999 is almost £60 million which represents a 33% increase on expenditure in 1998. At the end of October 1999, there were 13,853 carers in receipt of the carer's allowance compared with 11,234 carers in receipt of the allowance at the same time last year.
As pointed out in the review, it is difficult to estimate the number of full-time carers in the country. While care groups have estimated this figure to be around 100,000 carers it is not clear that all of these are time carers.
Based on work in the review, the current figure is estimated to be around 50,000 covering carers of older people and adults and children with disabilities This figure is projected to increase considerably over time.
Assuming that there are 50,000 full-time carers and taking account of the current numbers in receipt of the allowance, it is estimated that the complete abolition of the means test would cost over £150 million in a full year.
The review of the carer's allowance noted that the allowance is an income support payment and not a payment for caring. It examined the means test and considered that it should be maintained as a way of targeting scarce public resources towards those who are most in need. The means test applied to the carer's allowance is one of the more generous tests in terms of the assessment of household income.
The 1999 budget introduced some changes in the means test for carer's allowance. A disregard of £75 per week is applied to the income of a single carer and a disregard of £150 per week is applied to the joint means of a married couple.
The question of further improvements to the carer's allowance and for carers generally will be considered in a budgetary context, taking account of our key priorities in the care area, as set out in the review of our action programme, published recently.
Question:
38 Dr. Upton asked the Minister for Social, Community and Family Affairs the savings in unemployment assistance and benefit for each of the years from 1997 to date as a result of the progress to full employment; if these savings were returned to the Exchequer or re-deployed for other necessary measures by his Department; and his projections for the levels of unemployment supports needed in 2000 and 2001. [23618/99]
The savings in unemployment assistance and benefit in each of the years 1997 to 1999 are contained in the tabular statement which I am making available to the Deputy.
Unemployment assistance is financed by the Exchequer and therefore the savings that arise on this scheme are available to finance improvements in other Exchequer funded schemes and services. Unemployment benefit, on the other hand, is financed by PRSI contributions through the social insurance fund and the savings that arise on this scheme are available to finance improvements in other PRSI funded schemes.
Over the 34 months period, from the beginning of January 1997 to the end of October 1999, the numbers on the live register decreased by 92,211. This was a very significant decrease, representing as it did, 34% of the total live register at the beginning of the period. Its achievement was due to the ongoing strong growth in the economy, improvements in my Department's employment support services and a programme of measures designed to reduce the level of fraudulent claiming of unemployment payments.
Much of the decrease in the live register over the period in question was anticipated when the estimates for 1997, 1998 and 1999 were being framed. For example, the average live register on which the 1999 estimates were framed was 204,000. This compared with an actual average live register of 227,100 for 1998. This substantial decrease, amounting to 23,100, resulted in a reduction of around £85 million in the amount required for unemployment payments in 1999. In this way, it was possible in the 1999 budget to direct extra funding towards the less well off in society, through substantial increases in social welfare rates, including the £6 increase in personal rates for pensioners at age 66 and over, through significant improvements in carers allowance and through the introduction of the new schemes of farm assist, bereavement grant and the special 50% pensions for the self-employed.
The actual performance of the live register this year has been even better than had been expected when the estimates were being framed and it is now forecast that the figure for the year will outturn at an average of around 195,000. It is this further decrease of 9,000 that is generating the bulk of the unemployment assistance and benefit savings which are emerging this year.
The projected levels of unemployment supports needed in 2000 and 2001 are £653.3 million and £648.3 million, respectively, at present rates of payments. These figures break down between unemployment assistance and benefit as to £420.5 million and £232.8 million, respectively, in 2000 and as to £419.5 million and £228.8 million, respectively, in 2001. The live register estimates underlying these projections are 172,000 for 2000 and 169,000 for 2001.
Paul McGrath
Question:39 Mr. McGrath asked the Minister for Social, Community and Family Affairs if his attention has been drawn to the anomaly in the back to work scheme whereby the £250 per week ceiling for receipt of secondary benefits militates against couples with families; and if he will review this income limit. [23643/99]
Eamon Gilmore
Question:40 Mr. Gilmore asked the Minister for Social, Community and Family Affairs the measures, if any, being undertaken by his Department to ensure that low income households are given increased access to housing benefit; the plans, if any, he has to address this issue in the forthcoming budget; when the Partnership 2000 working group will report in this regard; and if he will make a statement on the matter. [23635/99]
I propose to take Questions Nos. 39 and 40 together.
Under the supplementary welfare allowance scheme people in receipt of a social welfare or health board payment can qualify for weekly supplements to meet certain needs such as the cost of rent or mortgage interest payments. This is generally intended as a short-term measure which is designed to provide immediate assistance for those in need. It is not intended as a general housing benefit and I have no plans to extend the SWA scheme in that regard.
SWA is subject to a means test and is not ordinarily payable to people in full time employment. However, special arrangements were introduced some years ago to enable people making the
transition from welfare to work to retain rent or mortgage interest supplement, subject to certain conditions.
My Department is aware that these arrangements are no longer fully adequate for some households, particularly for families with dependant children, given the large increases in housing costs in recent years.
The conditions for retention of rent and mortgage interest supplements, including the income limits and the ceilings on the amounts payable, are currently being reviewed in consultation with the social partners under Partnership 2000. These discussions are aimed at developing cost-effective solutions to the employment trap to which the Deputy refers. Arising from these discussions, this matter will be considered in the context of the forthcoming budget.
Brian O'Shea
Question:41 Mr. O'Shea asked the Minister for Social, Community and Family Affairs the plans, if any, he has to increase the upper threshold for mortgage and rent supplements in view of the increase in property prices and the difficulty which those dependent on social welfare face in meeting mortgage and rent payments; and if he will make a statement on the matter. [23632/99]
The supplementary welfare allowance (SWA) scheme provides for a weekly or monthly supplement to be paid in respect of rent or mortgage interest to any person in the State whose means are insufficient to meet their needs. The scheme is administered on behalf of my Department by the health boards and my Department has no function in deciding entitlement in individual cases.
The purpose of the supplements is to assist with reasonable accommodation costs of eligible per sons living in private rented accommodation who are unable to provide for their accommodation costs from their own resources or to assist eligible home owners with the interest portion of their mortgage where an income need arises, for example through unemployment.
Rent and mortgage interest supplements are normally calculated to ensure that the person, after the payment of rent or the interest portion of the mortgage has an income equal to the SWA basic weekly payment rate, less £6. This £6 represents the minimum contribution which recipients are required to pay from their own resources.
Each health board is required to set reasonable maximum rent and mortgage interest levels for various household types as a basis for calculating the maximum amount of supplement payable in each area under the supplementary welfare allowance scheme. The limits are set using local knowledge as to what constitutes a reasonable rent for private rented accommodation.
The maximum mortgage interest levels are the same as the rent levels in each health board. A supplement is payable on the interest portion of the mortgage only. Families can be paid up to £650 per month in a mortgage interest supplement.
The limits differ in each health board area as the rents charged for accommodation varies across each health board to reflect market forces and local conditions. These maximum rent levels are reviewed regularly by the boards to take account of the actual fluctuations in accommodation costs observed in each area. Health boards must satisfy themselves that accommodation is generally available within the limits which they set. As housing costs rise, levels are reviewed and revised upwards, at the initiative of the health boards, in the light of their experience in dealing with claims for rent supplement. For example, the Eastern Health Board is currently reviewing the maximum rent and mortgage interest limits which apply in its region and I expect that new limits will apply with effect from 1 January 2000.
The health board has the discretion to award a supplement based on an amount of rent which exceeds the maximum level set where there are extenuating medical or social circumstances having regard to the applicant's means and all the other requirements of the legislation.
Trevor Sargent
Question:43 Mr. Sargent asked the Minister for Social, Community and Family Affairs if, in his review of free schemes, he will allow free travel on public transport to all elderly EU citizens visiting Ireland; and if his attention has been drawn to the fact that many United Kingdom citizens of Irish descent living in Britain who holiday in Ireland are currently not entitled to avail of the free travel scheme. [23596/99]
Brian O'Shea
Question:44 Mr. O'Shea asked the Minister for Social, Community and Family Affairs the proposals, if any, he has to deal with the anomaly whereby couples living together may be individually entitled to free telephone rental allowance and a medical certificate satisfactory to his Department must be provided regarding one or other spouse for free telephone rental allowance approval; and if he will make a statement on the matter. [22198/99]
Dick Spring
Question:53 Mr. Spring asked the Minister for Social, Community and Family Affairs if he will review the situation of low income public service pensioners who are excluded from the free schemes, for example, free electricity. [23624/99]
Liz McManus
Question:54 Ms McManus asked the Minister for Social, Community and Family Affairs if he will remove the time restrictions on the free travel scheme particularly in relation to early hospital appointments; and if he will extend the scheme to widows and widowers. [23606/99]
Michael Ferris
Question:70 Mr. Ferris asked the Minister for Social, Community and Family Affairs the consideration, if any, he has given to ways in which to improve the operation of the free travel scheme in rural areas and of extending it to travel to the United Kingdom and Europe. [23626/99]
Ivor Callely
Question:71 Mr. Callely asked the Minister for Social, Community and Family Affairs the benefits which accrue to recipients of the free travel scheme when they avail of State public transport; the State transport which participates in accommodation of the free travel scheme; and if he will make a statement on the matter. [21191/99]
Ivor Callely
Question:152 Mr. Callely asked the Minister for Social, Community and Family Affairs the number of recipients of free travel; his views on the potential which exists to extend the free travel scheme; and if he will make a statement on the matter. [23601/99]
I propose to take Questions Nos. 43, 44, 53, 54, 70, 71 and 152 together.
The free travel scheme provides a range of services operated by the CIE group of companies as well as on services provided by over 70 private transport operators. At the end of October 1999, over 550,000 free travel passes had been issued.
A fundamental review of the free schemes is being carried out to assess whether the objectives of these schemes are being achieved in the most efficient and effective manner.
This includes an examination of the qualifying conditions for the schemes, the target groups and the scope for alternative policy arrangements. All of the issues raised by the Deputies are being addressed as part of the review process. The conclusions of the review will be considered in the context of budget 2000.
The review of the free schemes, which is already at an advanced stage, is being carried out by an official of my Department on secondment, as a visiting research fellow at the policy institute, Trinity College, Dublin. It is expected that the research conducted will be formally published by the policy institute in the Trinity studies in public policy series in January 2000.