Dáil Éireann Debate, Wednesday - 29 May 2013
43. Deputy Caoimhghín Ó Caoláin asked the Minister for Social Protection the number of applications for mortgage interest supplement for each of the past five years; the numbers in receipt of payment in the same period; and the total cost each year for mortgage interest supplement. [25729/13]
View answer48. Deputy Clare Daly asked the Minister for Social Protection if she will explain the changes in the mortgage relief scheme requiring homeowners to meet interest only payments for a year before they are eligible for relief, meaning those who cannot afford this arrangement lose out on the payment, potentially losing their home and ending up in private rented accommodation, costing the State more. [25638/13]
View answerI propose to take Questions Nos. 43 and 48 together.
There are approximately 13,000 mortgage interest supplement recipients for which the Government has provided approximately €42 million for in 2013. The purpose of the mortgage interest supplement (MIS) scheme is to provide short-term income support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. Details of the numbers of customers in receipt of MIS and the cost of the scheme for the past five years are provided in the tabular statement. Statistics are not available on the number of applications for MIS for this period.
Following the Department's review of the administrative, policy and legal aspects of the MIS scheme and the review of the Mortgage Arrears and Personal Debt Review Group the eligibility criteria for MIS was changed to ensure that the Mortgage Arrears Resolution Process (MARP) operated by the lenders functions alongside other State supports, including MIS. To ensure that those who are in mortgage difficulty engage with their lender under the MARP and avail of its forbearance arrangements, from June 2012 the mortgage interest supplement is not payable until applicants have agreed with their lender and complied with an alternative payment arrangement for a cumulative period of not less than 12 months. This process acknowledges that it is in the interest of both the lender and the borrower to address financial difficulties as speedily and effectively as circumstances allow.
Mortgage Interest Supplement – Recipients and Expenditure 2008 – 2012
|
Year |
Recipients |
Expenditure Million € |
|
2008 |
8,091 |
27.7 m |
|
2009 |
15,101 |
60.7 m |
|
2010 |
17,974 |
65.6 m |
|
2011 |
18,988 |
67.9 m |
|
2012 * |
14,597 |
55.1 m |
* Provisional outturn figure
