Skip to main content
Normal View

Tuesday, 7 Mar 2017

Written Answers Nos. 338 - 352

Maternity Benefit

Questions (338)

Bernard Durkan

Question:

338. Deputy Bernard J. Durkan asked the Minister for Social Protection the progress to date in the determination of application for maternity benefit in the case of a person (details supplied); and if he will make a statement on the matter. [11959/17]

View answer

Written answers

An application for maternity benefit was received from the person concerned on 22nd Feb 2017 and processed on 3rd March 2017. Further information is required in order to make a decision regarding the claim and she has been contacted in writing requesting this information.

Once the required information is received, her claim will be processed, and a written decision will issue to her.

I hope this clarifies the matter for the Deputy. Please do not hesitate to contact Philip in my office if you require any further assistance with this query.

Question No. 339 withdrawn.

State Pension (Contributory) Eligibility

Questions (340)

Michael Moynihan

Question:

340. Deputy Michael Moynihan asked the Minister for Social Protection his views on the difficulty caused by the 2012 changes to the contributory State pension rates of payment in view of the fact that the immediate change to the average bands drastically affected the pension eligibility of persons that were very close to pension age; his plans to rectify this situation; and if he will make a statement on the matter. [11976/17]

View answer

Written answers

The overall concern in recent years has been to protect the value of weekly social welfare rates. Expenditure on pensions, at approximately €7 billion each year, is the largest block of expenditure in my Department in the Estimate for 2017, representing approximately 35% of overall expenditure. Due to demographic changes, my Department’s spending on older people is increasing by approximately €200m year on year. Maintaining the rate of the State pension and other payments is critical in protecting people from poverty.

There are three main pensions paid by my Department to people aged 66 and over, namely the State pension contributory (which is based on PRSI contributions), the State pension non-contributory (which is based on means), and the Widows/Widowers/Surviving Civil Partners Contributory pension (which is based on PRSI contributions, and is also payable at a lower rate before 66).

The State pension contributory (previously called the Old Age Contributory Pension) was introduced in 1961, and is funded by PRSI contributions, on a pay-as-you go basis. Since its introduction, the rates of payment has been based on the ‘yearly average’ test. These rates are banded, and those bands have been amended from time to time, most recently in 2012.

As provided for in Budget 2012, and announced in late 2011, new rate bands for State pension (contributory) were introduced from September 2012. This resulted in one of the bands (in respect of those with a yearly average of 20-47 contributions) being replaced with three bands (in respect of yearly averages of 40-47, 30-39, and 20-29 respectively). These additional bands more accurately reflect the social insurance history of a person and ensure that those who contribute more during a working life are likely to benefit more in retirement than those with lesser contributions.

It is estimated that the cost of reverting to the rate-bands which existed between 2000 and 2012 would be over €60 million in 2018, if introduced from January 2018, and that this annual cost would rise at a rate of some €10 million each year.

Prior to these changes, in the period from 2000-2012, someone with a yearly average of 47 contributions qualified for the same rate of payment (98% of the maximum rate) as someone with a yearly average of 20 contributions, despite generally their much more significant PRSI record, and this was regardless of their means. A person with an average of 48-52 PRSI contributions per year over their working life received a weekly State pension of only €4.50 more than someone with a yearly average of 20 PRSI contributions. Aside from the lack of equity involved, this was a significant disincentive to longer working, as in most cases, contributions paid by people in their sixties had no impact upon the rate of their State pension upon retirement.

Given the requirement to make savings in recent years, it was considered more equitable to address this disparity, than to reduce the rate of payment for all pensioners by an across the board cut in payment rates. Such a cut would have reduced the incomes of the most vulnerable pensioners, who do not receive such reduced rate contributory pensions, but rather receive a maximum rate non-contributory pension, or a maximum rate contributory pension if they have the required contributions.

For those with insufficient contributions to meet the requirements for a full rate State pension (contributory), they may qualify for a means tested State pension (non-contributory) which has a maximum personal rate of €222, or just over 95% of the maximum rate of the State pension (contributory). Alternatively, if a person’s spouse or civil partner is in receipt of a State pension (contributory) they may instead qualify for an Increase for a Qualified Adult of up to €209, which is just less than 90% of the maximum personal rate of the State pension (contributory). The latter payment is made directly to them, and is based upon their own means, and not their household means. An additional €5 increase in the weekly rates of payment for maximum rate social welfare pensions will come into force this week, with proportionate increases for qualified adults and those on reduced rates of payment.

I hope this clarifies the matter for the Deputy.

Question No. 341 answered with Question No. 328.

Jobseeker's Allowance Eligibility

Questions (342)

Brendan Smith

Question:

342. Deputy Brendan Smith asked the Minister for Social Protection his plans to amend eligibility criteria for jobseeker's allowance; in regard to a person who has invested in a private pension fund and is out of work and wishes to retain the investment for pension purposes, if such investment fund will be excluded from means assessment for jobseeker's allowance in view of the fact the person wishes to safeguard the private pension plan due to future limited entitlement to a State pension; and if he will make a statement on the matter. [11980/17]

View answer

Written answers

My Department operates a range of means-tested social assistance schemes, where account is taken of the income and the value of capital, including shares, of the claimant and his or her spouse/ partner.

When assessing a claimant’s (or the claimant’s spouse/partner’s) income from earnings, social welfare legislation provides for various payments to be deducted from gross earnings for means assessment purposes including: PRSI contributions, payments to a trade union, and superannuation contributions, such as additional voluntary contributions (AVCs) and personal retirement savings accounts (PRSAs). Payments made in respect of life assurance policies, including mortgage protection policies, are not deducted from earnings for means assessment purposes.

With regards to property and capital, social welfare legislation provides that the yearly value of property (including capital) owned but not personally used or enjoyed is assessable for means testing purposes. Such property includes all monies held in financial institutions or otherwise, the market value of shares as well as houses and premises owned by a claimant which may or may not be put to commercial use. However, it does not include property such as the family home a person is personally using or enjoying i.e. residing in or, for example, a premises used by the claimant in carrying out a business.

The assessment formula for most schemes, including Jobseeker’s Allowance, is outlined in the following table. This formula applies regardless of the type of capital (including monies held in financial institutions or otherwise, the market value of shares or property).

AMOUNT OF CAPITAL

WEEKLY MEANS ASSESSED

Up to €20,000

Nil

€20,000 - €30,000

€1 per each €1,000

€30,000 - €40,000

€2 per each €1,000

Over €40,000

€4 per each €1,000

The general rule for assessment of pension funds or annuities is:

- Regular pension payments are treated as income for means purposes;

- The value of any cash otherwise available from a pension fund is assessed on the basis of the capital valuation of that fund; and

- Money invested in a pension fund is not assessable if it is not accessible to the claimant. However, this must specifically be a pension fund, and not a general savings account being used by the claimant as savings for their retirement.

I hope this clarifies the matter for the Deputy.

Child Benefit Eligibility

Questions (343)

Seán Fleming

Question:

343. Deputy Sean Fleming asked the Minister for Social Protection if child benefit is payable to fifth and sixth year students in secondary school who have reached 18 years of age; if he will review this situation to ensure that child benefit is payable in respect of all persons in full-time second level education; and if he will make a statement on the matter. [11983/17]

View answer

Written answers

Child Benefit is currently paid to around 625,000 families in respect of some 1.2 million children, with an estimated expenditure of over €2 billion in 2017.

Child Benefit is a universal payment paid in respect of all qualified children, who are ordinarily resident in the State, from the first month of their birth up until their 16th birthday. The Social Welfare Act does provide that Child Benefit can be paid between the ages of 16-18 in respect of children who are;

- Receiving full time education or

- Who have a disability.

Budget 2009 reduced the age for eligibility for Child Benefit from 19 years to less than 18 years.

Families on low incomes can avail of a number of provisions to social welfare schemes that support children in full-time education until the age of 22, including:

- qualified child increases (IQCs) with primary social welfare payments;

- family income supplement (FIS) for low-paid employees with children;

- the back to school clothing and footwear allowance for low income families (paid at the full-time second level education rate).

These schemes provide targeted assistance that is directly linked with household income and thereby supports low-income families with older children participating in full-time education.

Extending Child Benefit to students who are in full-time secondary education and who have reached 18 years of age if adopted would not be a targeted approach given the universality of Child Benefit. The adoption of such a proposal would have significant cost implications and would have to be considered in an overall budgetary context.

Social Welfare Benefits

Questions (344)

Jackie Cahill

Question:

344. Deputy Jackie Cahill asked the Minister for Social Protection the supports available to a person (details supplied); and if he will make a statement on the matter. [11986/17]

View answer

Written answers

The telephone allowance was introduced at a time when telephones were expensive and a landline service, available only from one company, was the only option available to the customer. The market has changed considerably since the introduction of the allowance, with several companies providing a range of services and rates, and a range of bundled services including television, telephone and broadband and mobile phone services. There are also personal security services that use mobile technology rather than land lines. Accordingly, customers now have a choice of multiple competing offers.

In 2013 the value of the telephone allowance was €114.00 per annum. The cost of restoring the allowance at 2013 levels is estimated to be in the region of €50 million per annum.

The Government is keenly aware of the impact of Budget decisions on the Department’s clients, and strives to ensure that the money available is targeted in the most effective way.

In Budget 2016, the first increase in the basic rate of the State pension in seven years was given. This has increased the personal rate of the non-contributory pension to €222, and that of the contributory pension to €233.30. There was also a €2.50 increase in the rate of the Fuel Allowance, from €20 to €22.50 per week.

In Budget 2017, it was announced that there will be a further increase in the rate of State pensions, by €5, which will increase the maximum personal rate of the State pension (contributory) to €238.30 this month.

Therefore, over the past two Budgets, the maximum weekly rate for State Pensions has increased by €8 per week, which is the equivalent of over €416 per annum. The value of these increases is in excess of the value of the telephone allowance previously provided, and it is not necessary to have a landline in order to benefit from these increases.

Accordingly, I have no plans to introduce an additional allowance to cover the cost of a telephone line where a person has installed a phone watch alarm, and have instead concentrated on increasing the basic rate of pension for all older people.

The Department of the Housing, Planning, Community and Local Government has responsibility for the Seniors Alert Scheme which provides grant support for the supply of equipment such as personal alarms, smoke detectors and security lighting to enable older people without sufficient means to continue to live securely in their homes. The grant assistance is made available through community and voluntary groups registered with that Department and the equipment supplied under the scheme remains the property of the community group.

I hope this clarifies the matter for the Deputy.

Social Welfare Code

Questions (345)

John Brady

Question:

345. Deputy John Brady asked the Minister for Social Protection the status of the lone parent report committed to in the Social Welfare Bill 2016; and if he will make a statement on the matter. [11992/17]

View answer

Written answers

During the debate on the Social Welfare (SW) Bill 2016, I agreed that my Department would commission an independent report on the OFP reforms to examine the financial and social effects of the amendments to the scheme made since 1 January 2012, taking into account the poverty rates and welfare dependency of those impacted by the reforms. This is now in legislation.

Under procurement rules it is not yet possible to provide further information on the nature of the report. However, I can confirm that my Department has already liaised with the Office of Government Procurement (OGP) on the most efficient way forward. On their advice an outline of the Request for Tender (RFT) was issued in December 2016 to potential providers seeking expressions of interest by 11th January 2017. The responses received confirmed that the RFT can issue under an existing OGP framework which is the most efficient way of procuring this evaluation.

My Department is in the process of finalising the RFT and has been in discussions with the Office of Government Procurement to discuss further the RFT in relation to its design and composition and the procurement process. Once the RFT is finalised it will be issued by the OGP to relevant providers under their framework for response.

I expect that the RFT will be issued in the very near future. It is critical that the RFT fully reflects the nature and scope of the report required and so it is important to dedicate the necessary time and effort to this step. This is to ensure that the resultant tenders are of a high quality and that the end result is an effective and comprehensive evaluation.

My Department is working to the timeframe of having the report completed within 9 months of the passing of the Social Welfare Act 2016. This is to ensure that it can inform Budget 2018 discussions.

Rent Supplement Scheme

Questions (346)

Gino Kenny

Question:

346. Deputy Gino Kenny asked the Minister for Social Protection if persons in receipt of rent allowance who refuse to transfer to a HAP payment for reasons including losing the time spent on the housing waiting list can have their rent allowance discontinued or be threatened with same, as in the case of a person (details supplied); and if he will make a statement on the matter. [12183/17]

View answer

Written answers

The person concerned received a letter from the Department under Social Welfare (Consolidation) Act 2005 Section 198 (3G)(a)(i)(1) as inserted by Section 54 (3) of the Housing (Miscellaneous Provisions) Act 2014, requesting them to apply to South Dublin County Council for social housing support which includes the housing assistance payment (HAP). All customers residing in a HAP area are obliged to register for the HAP scheme. The person concerned is required to register his interest in being considered for the HAP scheme. This requirement with the local authority is to facilitate the transfer of rent supplement to HAP. Once this registration takes place rent supplement payment will not be affected.

If a customer is offered the HAP scheme, it is open to the person concerned to contact the relevant county council within 2 weeks and request they retain their current position on the social housing list.

I hope this clarifies the matter for the Deputy.

Disability Allowance Applications

Questions (347)

Brendan Griffin

Question:

347. Deputy Brendan Griffin asked the Minister for Social Protection if a decision has been made on the review of a disability allowance application in respect of a person (details supplied) in County Kerry; and if he will make a statement on the matter. [12025/17]

View answer

Written answers

The application for disability allowance, based upon the evidence submitted, was refused on medical grounds and this lady was notified in writing of this decision on 5 January 2017.

She requested a review of the decision by a deciding officer (DO) and submitted additional evidence for consideration. The review has now been concluded by a DO but the outcome is to confirm the original decision. She is being notified directly of the outcome of this review. She will also be advised of her right to appeal this decision to the independent social welfare appeals office.

I trust this clarifies the matter for the Deputy.

Invalidity Pension Applications

Questions (348)

Pat Breen

Question:

348. Deputy Pat Breen asked the Minister for Social Protection when a decision will issue to a person (details supplied); and if he will make a statement on the matter. [12165/17]

View answer

Written answers

Invalidity pension (IP) is a payment for people who are permanently incapable of work because of illness or incapacity and who satisfy the pay related social insurance (PRSI) contribution conditions.

The Department received a claim for IP for the gentleman concerned on the 12 January 2017. Medical eligibility has been assessed and he satisfies the medical conditions for the scheme. The claim will be finalised as quickly as possible and the gentleman will be notified directly.

I hope this clarifies the matter for the Deputy.

Carer's Allowance Appeals

Questions (349)

Pat Breen

Question:

349. Deputy Pat Breen asked the Minister for Social Protection when a decision will issue to a person (details supplied) with regard to a carer's allowance appeal; and if he will make a statement on the matter. [12179/17]

View answer

Written answers

The Social Welfare Appeals Office has advised me that an appeal by the person concerned was registered in that office on 23rd January 2017. It is a statutory requirement of the appeals process that the relevant papers and comments by or on behalf of the Deciding Officer on the grounds of appeal be sought from the Department of Social Protection. These papers were received in the Social Welfare Appeals Office on 22nd February 2017 and the case will be referred to an Appeals Officer who will make a summary decision on the appeal based on documentary evidence presented or, if required, hold an oral hearing.

The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.

I hope this clarifies the matter for the Deputy. If he requires any further assistance with this query he should not hesitate to contact my office.

Foreign Conflicts

Questions (350)

Seán Crowe

Question:

350. Deputy Seán Crowe asked the Minister for Foreign Affairs and Trade if his attention has been drawn to the latest military clashes over Nagorno-Karabakh; his views on whether such incidents could lead to a dangerous escalation and possible conflict; and if he will make a statement on the matter. [11285/17]

View answer

Written answers

The situation in Nagorno-Karabakh has deteriorated significantly in the past 12 months following a serious outbreak of violence in April 2016. I am deeply concerned by the ongoing tensions and violence, including reports of a serious military escalation on 25 February which resulted in tragic loss of life.

Ireland fully supports the efforts of the OSCE Minsk Group to make progress in resolving this conflict. I would call on all those involved to engage actively with the OSCE Minsk Group with a view to reaching a peaceful solution to the conflict and avoiding potential destabilisation of the broader region. Ireland knows, from long experience, that only dialogue can deliver progress towards a peaceful outcome.

Emigrant Support Services

Questions (351)

Charlie McConalogue

Question:

351. Deputy Charlie McConalogue asked the Minister for Foreign Affairs and Trade the action his Department is taking to assist returning emigrants address the obstacles they find, in particular the cost of insurance, when settling back into life here as a result of having been a number of years out of the country; and if he will make a statement on the matter. [11318/17]

View answer

Written answers

Significant Government funding and support is given through the Emigrant Support Programme, administered by the Department of Foreign Affairs and Trade, to support organisations working with citizens who wish to return to Ireland. Over the last decade over €4 million has been allocated to the Crosscare and Safehome organisations working with returning emigrants. Their 2016 funding saw an increase of €60,000 on the 2015 figure.

The Department’s website also has a dedicated area specifically to assist citizens abroad who may be considering returning home by ‘signposting’ to information that may be of assistance to them.

In addition through my role at the Department of the Taoiseach, and through the Inter-departmental Committee on the Irish Abroad, which was established in the Government’s 2015 Global Irish – Ireland’s Diaspora Policy document, I am working to facilitate the cross-Governmental effort to ensure coherence in government policy and address some of those barriers that are being highlighted as potentially disproportionately impacting on returning emigrants.

The next meeting of the Inter-departmental Committee will take place on 30 March, and potential barriers for returning citizens will be discussed. In respect of insurance, this is a matter for the Departments of Finance and Health, though it should be noted that practices and procedures in individual cases are a commercial, rather than a governmental, matter.

Departmental Expenditure

Questions (352)

John Brady

Question:

352. Deputy John Brady asked the Minister for Foreign Affairs and Trade the amount his Department spent on public relations consultants and all matters relating to public relations costs in 2016; and if he will make a statement on the matter. [11430/17]

View answer

Written answers

The following table contains the information. My Department did not incur expenditure on external public relations services in 2016. The expenditure in question has rather arisen in the context of specific initiatives under Ireland’s overseas development programme for which we have from time to time commissioned companies with a public relations and communications background to provide other professional services such as project management, logistics and event management. DHR Communications has been contracted to manage and administer grants to journalists reporting on international development issues under the Simon Cumbers Media Fund (SCMF) and to manage and administer annual Africa Day celebrations. The SCMF involves managing three funding rounds each year, including the annual SCMF student competition. This typically involves the following activities:

- Convening national and regional information workshops;

- Managing and administering the application process;

- Organising the judging process

- Providing detailed feedback to all applicants;

- Processing grant payments and keeping detailed administrative and financial records;

- Maintaining and updating the SCMF website.

It should be noted that expenses paid to third parties account for approximately 30% of the total paid to DHR for managing and administering the Simon Cumbers Media Fund. This includes costs associated with maintaining and updating the SCMF website, facilitating the judging process and raising awareness of the Fund among journalists.

Following a competitive tendering process, DHR was also engaged to plan, manage and execute a national Africa Day flagship event in Dublin. This includes the administration of a small grants scheme for regional events which DHR managed on behalf of the Department in partnership with a number of local authorities. DHR also worked to raise public awareness of the Africa Day events, including through the use of social media and the Africa Day website. This public awareness work represented a very minor element of the overall project and was conducted in close cooperation with my Department’s communications office.

The Africa Day flagship event was hosted by my Department at the Farmleigh Estate on 29 May 2016.

In relation to the expenditure on Africa Day, expenses paid to third parties accounted for between 70% and 80% of the total costs listed below. This included expenditure on security, sanitation, venue set-up, health and safety issues and small grants to facilitate the participation of community groups.

The following table sets out the payments for project and event management in 2016.

Payments for Project and Event Management in 2016

Name of Project/Event

2016

DHR Communications: SCMF

€197,438

DHR Communications: Africa Day

€206,126

Total

€403,564

Top
Share