Adult dependants are catered for in the social welfare system through the payment of qualified adult allowances where a spouse or partner is in receipt of a social welfare payment. Until recently the qualified adult allowance was payable at approximately 60% of the personal rate. This was in line with the recommendations of the Commission on Social Welfare, 1986, and reflects the economies of scale which are considered to exist where two people are living together. This is the traditional way in which couples have been provided for under the social welfare system, not just in Ireland but in many other countries.
However, more recent research undertaken by the ESRI for the working group examining the treatment of married, cohabiting and one-parent families under the tax and social welfare codes report published in August 1999, suggested that the QAA should be increased to 70% of the personal rate.
The Government is committed to reaching this recommended level for the QAA over three budgets. The process was started in budget 2000 when increases in QAAs payable with pensions ranged from 8% to 17%. These increases brought the QAA to a level of between 60.5% and 67% of the personal rate.
Further progress will be made in the forthcoming budget, the extent of which will depend on the resources available and the Government's other priorities.