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Social Welfare Benefits.

Dáil Éireann Debate, Tuesday - 4 July 2006

Tuesday, 4 July 2006

Questions (402, 403, 404, 405, 406)

Brian O'Shea

Question:

415 Mr. O’Shea asked the Minister for Social and Family Affairs his views on whether the means test for carers allowance in its present form discriminates against families totally dependent on social welfare payments in regard to overall income; and if he will make a statement on the matter. [25647/06]

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Brian O'Shea

Question:

416 Mr. O’Shea asked the Minister for Social and Family Affairs his views on whether the means test for carers allowance in its present form discriminates against families totally dependent on social welfare payments in regard to loss of part of existing social welfare payment where the applicant is the adult dependant on the social welfare payment of a spouse or partner; and if he will make a statement on the matter. [25648/06]

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Damien English

Question:

429 Mr. English asked the Minister for Social and Family Affairs the plans his Department has to remove the means test for carers allowance; and if he will make a statement on the matter. [26358/06]

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Seymour Crawford

Question:

436 Mr. Crawford asked the Minister for Social and Family Affairs the number of widows and widowers giving full time care; his views on the fact that if such a person receiving a contributory pension did not have to act as a carer they would be entitled to the pension and full time employment; his further views on the fact that from 1 September 2006 a person receiving a non-contributory pension can earn €100 in a PAYE job and still get their full pension; his further views on the proposal of the all party committee that a 50 per cent carer’s allowance should be paid to such people; and if he will make a statement on the matter. [26663/06]

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Written answers

I propose to take Questions Nos. 415, 416, 429 and 436 together.

The carer's allowance is a social assistance payment which provides income support to people who are providing certain elderly or incapacitated persons with full time care and attention and whose incomes fall below a certain limit. In line with other social assistance schemes, a means test is applied to the carer's allowance so as to ensure that limited resources are directed to those in greatest need. This means test has been eased significantly over the years, most notably with the introduction of the disregards of spouses' earnings. Following Budget 2006, since April, a couple with two children can earn up to €32,925 per annum and still receive the maximum rate of carer's allowance. The same couple will be able to earn up to €54,400 and receive the minimum rate of carer's allowance as well as free travel, the household benefits package and the respite care grant.

Complete abolition of the means test for carer's allowance would cost an estimated €140 million in a full year. The view of some support organisations is that if this level of resources were available, it would be more beneficial to carers if it were invested in further increases to carer's allowance and in the type of community care services which would support them in their caring role, such as additional respite care facilities, more home helps, public health nurses and other such services.

In Budget 2006, I provided for a significant increase in the rate of carer's allowance. From January this year, the rate increased to €200 per week for carers aged 66 years and over.

In addition, from June 2005, the annual respite care grant was extended to all carers who are providing full time care to a person who needs such care regardless of their income. Those persons in receipt of other social welfare payments, excluding unemployment assistance and benefit, are entitled to this payment subject to meeting the full time care condition. This arrangement was introduced to acknowledge the needs of carers especially in relation to respite. Provision was made in Budget 2006 to increase the amount of the respite care grant from €1,000 to €1,200 from this month.

According to Census 2002 there are over 48,000 people providing personal care for over 4 hours per day and of these some 2,400 are widowed people. There are currently over 26,800 people in receipt of either carer's allowance or carer's benefit. It is likely that a proportion of the balance is in receipt of another social welfare payment, including qualified adult allowances.

The primary objective of the social welfare system is to provide income support and, as a general rule, only one weekly social welfare payment is payable to an individual. This ensures that resources are not used to make two income support payments to any one person. Persons qualifying for two social welfare payments always receive the higher payment to which they are entitled. A person in receipt of a social welfare payment who is providing full time care and attention to a person who requires such care may be eligible for carer's allowance which, in some cases, may be paid at a higher rate than their current payment. I would urge any person inthis position to make enquiries with my Department.

It is a feature of the social insurance system generally that people in receipt of certain contributory payments may engage in employment without their earnings affecting the level of payment they receive, and this is the case for recipients of widow/er's contributory pension. In an effort to streamline the non-contributory payments available to people aged over 66, I announced a new scheme called state pension (non-contributory) which will be introduced in September this year. The means test for this new payment will include a special earnings disregard of €100 per week. This measure is intended to provide an incentive for older people to continue in employment.

There is a limit to the number of hours a person in receipt of carer's allowance or carer's benefit can engage in employment outside the home. This is in order to ensure that the person being cared for is receiving full time care and attention. From 1 June this year I increased the number of hours a person can engage in employment, self-employment, training or education outside the home and still satisfy the qualifying conditions for payment from 10 to 15 hours perweek.

I am always prepared to consider changes to existing arrangements where these are for the benefit of recipients and financially sustainable within the resources available to me. Those recommendations involving additional expenditure can only be considered in a budgetary context.

Michael Ring

Question:

417 Mr. Ring asked the Minister for Social and Family Affairs the position regarding a carer’s benefit application of a person (details supplied) in County Mayo. [25664/06]

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The application for carer's benefit by the person concerned has recently been approved and carer's benefit was awarded with effect from 21 October 2004. All arrears of carer's benefit have been paid to the person concerned.

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