Dáil Éireann debate -
Wednesday, 4 Jul 2001

Vol. 540 No. 2

Written Answers. - Social Welfare Payments.

Ivor Callely

Question:

204 Mr. Callely asked the Minister for Social, Community and Family Affairs the number of people in receipt of a rent supplement in 2000; the cost of renting a three bedroom semi-detached house to accommodate a family in the Dublin area; the percentage increase in rents over the past 12 months; and if he will make a statement on the matter. [20415/01]

Minister for Social, Community and Family Affairs (Mr. D. Ahern)

Under the terms of the supplementary welfare allowance scheme payment of a weekly or monthly supplement may be made in respect of rent or mortgage interest to any person in the State whose means are insufficient to meet their needs. The SWA scheme is administered on behalf of my Department by the health boards and neither I nor my Department have any function in deciding entitlement in individual cases.

Each health board is required to set reasonable maximum rent levels in respect of various classes of persons, for example, single persons, couples and lone parents with one child, as a basis for calculating the amount of rent supplement payable. The limits are set using local knowledge as to what constitutes a reasonable rent for private rented accommodation for various household types within and across the health board area.

These maximum rent levels are reviewed regularly by the boards to take account of fluctuations in accommodation costs observed in each area. When accommodation is no longer available within these limits, rent 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. In June 2000, the maximum rent level set by the health boards for rent supplement purposes for a three bedroom semi-detached house in the Dublin area was £700 per month. The equivalent figure for June 2001 was £850 per month, representing an increase of 21%.

The current maximum rent levels, as set by the Health Boards, in relation to families in the Dublin area and the percentage increase on the rates set 12 months ago are shown in the following tabular statement. At the end of December 2000 there were 42,683 people in receipt of a rent supplement throughout the country. This total includes 18,609 in the functional area of the Eastern Regional Health Authority which covers Dublin, Kildare and Wicklow.

Family circumstances	Maximum rent level	Change inpast 12months
Family with one child	£650 per month(was £600 in June 2000)	+ 8.33%
Family with two or more children	£850 per month(was £700 in June 2000)	+21.43%
Family in shared accommodation	£750 per month(was £700 in June 2000)	+ 7.14%

Ivor Callely

Question:

205 Mr. Callely asked the Minister for Social, Community and Family Affairs the number of people who were found not to be entitled to a payment they received during 2000; the measures which are normally taken in such circumstances; and if he will make a statement on the matter. [20416/01]

Ivor Callely

Question:

206 Mr. Callely asked the Minister for Social, Community and Family Affairs the number of people who are paying money back to his Department or for whom money has been stopped from a payment due to an error in his Department involving an over-payment; the consideration which has been given to foregoing recoupment of such overpayment in cases where the error was made by his Department; and if he will make a statement on the matter. [20417/01]

Minister for Social, Community and Family Affairs (Mr. D. Ahern)

I propose to take Questions Nos. 205 and 206 together.

In the year 2000, 33,362 recipients of social welfare payments were assessed with over-payments totalling £21.2 million in respect of moneys received to which they were subsequently deemed not to have been entitled.

These amounts and numbers are broken down as follows:

	Fraud	Non-Fraud	Estate*
Numbers	12,625	20,201	536
Amounts	£11.3m	£5.9m	£4m

*These are claims against the estates of deceased persons where over-payments have arisen on their social welfare claims, usually due to an understatement of means.

In the year 2000, a total of £9.6 million was recovered in respect of overpayments. This included ongoing recovery of over-payments assessed in previous years. Generally non-fraud and estate over-payments arise through customer error, omission or where there is insufficient or no evidence of fraudulent intent. In a minority of cases, over-payments are attributable to departmental error. There is no readily available breakdown of the non-fraud and estate cases as between over-payments arising from departmental error and over-payments arising from errors or omissions by the customer.

It is departmental policy to endeavour to recover in full all moneys incorrectly paid and for some years now a code of practice, S.I. No. 227 of 1996, has been in place to regulate this process. The method and pace of recovery is determined having regard to the individual circumstances and where the over-payment was due to departmental or health board error. There is provision to consider its reduction or cancellation.