Dáil Éireann Debate, Tuesday - 9 October 2012
340. Deputy Sandra McLellan asked the Minister for Social Protection if she will change legislation so property/capital will be disregarded as means for jobseeker's allowance if the person in question is not in receipt of any income from it; and if she will make a statement on the matter. [42907/12]
View answerIn assessing means for social assistance payments including jobseeker’s allowance, account is taken of the value of capital and property belonging to the person and their spouse or partner. Capital includes monies on hands or deposited in financial institutions while property includes the value of other assets such as bonds and equities as well as houses and other premises. Property such as the family home or a premises used by a person in carrying out a business are not liable for assessment.
In the case of other property, the current market value of the property is established as well as the amount of any outstanding mortgages on that property. The current market value of a property is the best estimate of what would be achievable if the property was offered for sale. Such an estimate will have regard to reductions in prices over recent years. The balance (market value less outstanding mortgage) is then assessed. Where the current market value is less than the outstanding mortgage, no assessment is made.
In the case of jobseeker’s allowance, the first €20,000 of the value of capital/property is not assessed and the value of the balance is assessed by reference to a formula set out in legislation. The income, if any, derived by the person from the use of any capital or property is not taken into account. There are no plans at present to change the method of assessment of property/capital for social assistance schemes.
