Dáil Éireann Debate, Thursday - 21 October 2004
155 Mr. Stanton asked the Minister for Social and Family Affairs if he plans to allow persons on community employment schemes who, prior to receiving a place on a community employment scheme were in receipt of a supplementary welfare allowance, to retain all or part of the supplementary welfare allowance; if not, if he will consider increasing the household income limit above the €317.43 per week; and if he will make a statement on the matter. [25840/04]
View answerArrangements have been in place for a number of years which allow people to retain a portion of their rent supplement under the supplementary welfare allowance scheme where they take up community employment. These arrangements are subject to a weekly household income limit of €317.43. Improvements have been made in these arrangements since they were first introduced. The period for which rent supplement may be retained has been extended to four years on a tapered basis, that is, 75% in the first year 1, 50% in the second year and 25% in the third and fourth years. In addition, the upper limit on the amount of supplement payable was abolished. Furthermore, back to work allowance and family income supplement, in cases where one or both of these are in payment, are now disregarded in the assessment of the €317.43 weekly income limit. PRSI and reasonable travelling expenses are also disregarded in the means test. Any increase in the €317.43 income limit would have cost implications and would have to be considered in a budgetary context.
Participants in community employment schemes may opt for assessment under the standard supplementary welfare allowance means test or under the special means test described above, whichever is the more favourable to them. Under standard assessment rules, rent supplements are calculated to ensure that an eligible person, after the payment of rent, has an income equal to the rate of supplementary welfare allowance appropriate to his or her family circumstances, less a minimum contribution, currently €13, which each recipient is required to pay from his or her own resources. Up to €50 in respect of additional income from part-time employment is disregarded in the means test thus ensuring that a person is better off as a result of taking up such an opportunity. Community employment is regarded as part-time employment for these purposes.
The amount of rent supplement payable in any given case depends on the particular circumstances of the individual concerned, such as the amount of rent paid. For example, a lone parent with one child living in the Dublin area and participating in a community employment scheme would typically receive €85.90 per week in rent supplement. He or she would have an income of €188.60 per week after paying rent and would be €50 per week better off than a lone parent in similar circumstances who was not participating in a community employment scheme.
