Dáil Éireann Debate, Thursday - 21 September 2017
228. Deputy Brendan Howlin asked the Minister for Employment Affairs and Social Protection the estimated cost of expanding child benefit to parents with children who are 18 years of age or older but remain in second level education for 2018; the cost for a full year; and if she will make a statement on the matter. [40038/17]
View answerChild Benefit is a monthly payment made to families with children in respect of all qualified children up to the age of 16 years. The payment continues to be paid in respect of children up to their 18th birthday who are in full-time education, or who have a disability. Child Benefit is currently paid to around 619,880 families in respect of some 1.2 million children, with an estimated expenditure of over €2 billion in 2017.
The current estimated cost of expanding child benefit to parents with children that are 18 years of age or older but remain in second level education for 2018 based on figures from the Department of Education and Skills for 2016 which show 58,653 individuals 18 years of age and over in second level education. The estimated annual cost based on the current Child Benefit rate of €140 per month is approximately €98.5 million in a full year.
Budget 2009 reduced the age for eligibility for Child Benefit from 19 years to less than 18 years. A value for money review of child income supports, published by the Department of Social Protection in 2010, found that the participation pattern of children in education supports the current age limit for Child Benefit.
Given the universality of Child Benefit, allowing for it to be paid in respect of 18 year olds still in full time education would not be a targeted approach. The adoption of such a proposal has significant cost implications and would have to be considered in an overall budgetary context.
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:
- Increase for a Qualified Child (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.
