Dáil Éireann Debate, Tuesday - 5 November 2013
419. Deputy Pearse Doherty asked the Minister for Social Protection the number of persons in County Donegal who will no longer be eligible for the telephone allowance after the changes announced in Budget 2014; and if she will make a statement on the matter. [45613/13]
View answerThere are currently in excess of 395,000 customers eligible for the telephone allowance with a total estimated cost in 2013 of €48 million. The cost of the telephone allowance scheme has risen each year and the number of eligible customers has increased very significantly. In 2007 there were some 316,000 people receiving the Telephone Allowance compared to almost 396,000 at the end of September this year, an increase of 25%. Each year almost 10,000 extra customers become eligible for the allowance because of the increased number of pension recipients. My overall concern in recent Budgets has been to protect the primary social welfare rates in the face of increasing numbers of recipients. This is particularly relevant in the context of older people. As a consequence, difficult choices had to be made in relation to the continuation of some secondary benefits. The nature of the telephone market has been transformed since the introduction of the allowance in 1978 with several companies now providing a range of good value rates and bundled services including television, broadband and telephone and pay-as-you-go mobiles.
There are currently 17,171 customers in Co. Donegal in receipt of the telephone allowance either by way of a direct credit on their bill or by way of cash payment and the allowance will be discontinued with effect from 1 January, 2014.
