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Social Welfare Schemes

Dáil Éireann Debate, Wednesday - 30 April 2014

Wednesday, 30 April 2014

Questions (345)

Éamon Ó Cuív

Question:

345. Deputy Éamon Ó Cuív asked the Minister for Social Protection if she will provide details of the changes she has made to the means testing of the rural social scheme and farm assist schemes since coming in to office; the annual savings arising from these changes for each scheme; the extra incentive created by these changes for farmers to produce more produce, in line with Food Harvest 2020, as a result of these changes; and if she will make a statement on the matter. [19032/14]

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Written answers

As the Deputy is aware, the rural social scheme (RSS) provides income support for farmers and those engaged in fishing who have an entitlement to specified social welfare payments. There has been no change in the qualifying criteria for eligibility to participate on the RSS. All new entrants to the scheme from 17 September 2012 are paid the equivalent of their existing rate of social welfare payment plus €20 per week, subject to a minimum weekly payment of €208. These changes bring the payment rates in line with other similar schemes, such as community employment and Tús, and removed the anomaly whereby a person with a low value of farm assist payment as a result of high means was remunerated disproportionally when engaged on the RSS. Since September 2012, approximately 240 positions on the RSS and have been filled with estimated savings of approximately €10,000 to date as a result of the changes outlined above.

In relation to Farm Assist, changes were introduced in Budget 2012. The amount of means from self-employment which is assessed against the claim was increased from 70% to 85%. In addition, the means testing disregards for child dependents of claimants was halved from €254.00 to €127.00 per year for each of the first two dependent children and from €381.00 to €190.50 per year for each subsequent child. The savings from both these measures were approximately €5.15m in 2012, and in each subsequent full year. In Budget 2013 the rate of assessment of means from self-employment, including farming, was raised from 85% to 100%. The deductions from income for children were discontinued. The expected savings were approximately €3.75m in 2013 and €5m in each subsequent full year.

My Department has no information regarding farming productivity. This is a matter for my colleague, Simon Coveney, T.D., Minister for Agriculture, Food and the Marine.

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