I propose to take Questions Nos. 98 and 610 together.
The questions relates to the effect of the measures announced in November 2003 in the context of the 2004 Estimates. These measures included changes to the back to education allowance, one parent family payment, certain child dependant allowance, changes in the conditions of entitlement to short-term social insurance payments and changes in the supplementary welfare allowance scheme, including rent supplements under that scheme. The measures were projected to yield savings of €55.8 million in 2004.
In some instances, including the back to education allowance and certain changes in unemployment benefit, the changes have not come into operation. In other cases, where changes have been implemented, it is not possible to quantify precisely the numbers affected by the measures in question or the accruing savings in that, where disallowances occur, the specific reasons for such disallowances may not be recorded on payment computer systems.
Data are, however, available in most cases on numbers in receipt of the relevant payments immediately before the measures were introduced and the current position. This data supply some indication of the number of persons affected but it is important to note that the number in receipt of a scheme can and does fluctuate for a wide variety of reasons, such as, for example, seasonal factors in the case of unemployment.
With regard to the one-parent family payment scheme, where transitional half-rate payments were discontinued, there are 460 recipients of such payments, a reduction of 120. These transitional arrangements provided for the retention of entitlement to half of the previous level of payment for one year where a recipient exceeded the weekly earnings threshold of €293 per week.
With regard to short-term social insurance claims, the period for linking claims to previous claims was increased from 13 to 26 weeks. The number of linked claims has increased by 2,800 to 21,900. This measure does not directly affect the rate of benefit payable, but may cause entitlement to exhaust earlier. This effect will, in certain cases, be offset by the retention of entitlements which would not have applied without the extended linking period. Persons who exhaust their entitlement to unemployment or disability benefit may claim unemployment assistance or supplementary welfare allowance, respectively.
It is not possible to establish the numbers affected by the increase from 39 to 52 in the number of paid contributions required for entitlement to benefit. Affected persons may claim unemployment assistance or supplementary welfare allowance, as appropriate. The earnings threshold for payment of graduated rates of short-term social insurance was raised from €88.88 to €150 to restore the previous relationship with standard rates of payment. The number of graduated rates of payment has increased by 2,000 to 8,500. Affected persons may be entitled to unemployment assistance or supplementary welfare allowance, as appropriate.
In the case of child dependant allowance payments to recipients of disability and unemployment benefit, there were 63,000 payments of half-rate allowance in payment in cases where the spouse-partner of the recipient was in employment and earning more than €210 per week, the then limit. This allowance was discontinued where earnings exceed €300 per week. The number of such allowances in payment is 46,000 and the weekly rate payable is €8.40 per child.
In the case of supplementary welfare allowance the numbers of rent supplement payments have decreased since the beginning of 2004 to 58,100, a drop of 1,900. The minimum contribution for all recipients increased by €1 per week. Data are not available on the numbers of persons affected by the requirement, in certain cases, to have been in rented accommodation for six months.
The number of crèche supplements has fallen from 1,800 to 1,450 while the number of MABS supplements has fallen from 370 to 240. The number of diet supplements has fallen from 13,580 to 13,180. The rate payable to persons who were in receipt of the supplement prior to its commencement in January is unchanged and the rate payable to claimants in 2004 depends on their means and the category of diet which they are on.
I would like to re-emphasise that the changes in numbers outlined may be due in part to factors other than the policy changes which were made. I am satisfied the measures in question have been implemented in a way which respects the original purpose of the schemes and services in question. Furthermore, these measures produced savings which, in turn, were directly reinvested in a substantial 2004 budget package of €630 million. A budget package of this magnitude enabled the provision of increases well ahead of inflation for all social welfare recipients of weekly payments as well as significant general improvements in social welfare provision generally.
