Vol. 525 No. 4
42 Mr. Stagg asked the Minister for Social, Community and Family Affairs if he will report on his Department's input into the PPF working group on refundable tax credits in relation to the possibility of improving family income supplement take-up by incorporating FIS into refundable tax credits. [24952/00]
53 Mr. Broughan asked the Minister for Social, Community and Family Affairs the number of persons in receipt of family income supplement at the latest date for which figures are available; the average payment in each case; the number of persons in the public service who are in receipt of these payments; the average payment in each case; if there are any plans to modify or review the scheme; and if he will make a statement on the matter. [24929/00]
I propose to take Questions Nos. 42 and 53 together.
There were 13,129 persons in receipt of family income supplement at the end of October 2000. The average weekly payment was £40.61.
Data on the number of recipients who are employed in the civil or public service are not available.
A working group has been established under the Programme for Prosperity and Fairness to examine the role which refundable tax credits can play in the tax and welfare systems. This examination will include the possibility of paying FIS through the tax system. The two issues are closely related since a substantial number of FIS claimants have income which comes below the tax exemption limits appropriate to their family size. In order for such families to benefit from a tax credits system the payment would have to take the form of a refundable tax credit.
The first meeting of the working group took place on 26 October. I understand that my Department provided the working group with a factual paper on the family income supplement scheme including relevant statistical data in order to inform their discussions.
The group agreed that initial discussions would focus on the broader issue, that is, the role which refundable tax credits can play in the tax and welfare systems. In this context, the Department of Finance and the Revenue Commissioners are to produce a joint paper documenting additional options proposed by the social partners at the last meeting, for possible payment via a refundable tax credit mechanism. The members of the working group, including the representatives of Government Departments, will be requested to provide views on this paper in the next phase of the deliberative process.
I look forward to seeing the progress report from the working group, which is due at the end of the year, and its final conclusions in due course. Obviously, measures which are capable of advancing the interests of low paid workers with families will be viewed positively by this Government.
43 Ms O'Sullivan asked the Minister for Social, Community and Family Affairs if he will review the rule whereby offenders lose their preceding social welfare record when they are released from prison. [24976/00]
The preceding social welfare record of an offender continues to count towards his or her entitlement to contribution based social welfare payments, including pensions, following his or her release from prison.
The Deputy may be referring to the impact of regulations governing the award of PRSI credited contributions on certain persons, who have incurred a gap of two complete contribution years in their social welfare record, following a period in prison.
Regulations provide for the award of PRSI credited contributions when an insured person is receiving certain social welfare payments, including unemployment benefit, unemployment assistance or one parent family payment subject to certain restrictions. However, where there is a gap of two complete consecutive years in a person's PRSI employment contribution or credited contribution record, then no credited contributions may be awarded in respect of the person concerned until she or he has paid 26 PRSI employment contributions at the appropriate rate.
The rationale for this measure centres on the general principle that there should be a reasonable link between entitlement to benefit and a recent participation in the labour force. To review this measure in the case of prisoners, would raise questions of equity vis-à-vis other categories of persons who had been out of the labour force for various different reasons.
Question No. 44 taken with Question No. 9.
Question No. 45 taken with Question No. 16.
