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Wednesday, 23 Mar 2022

Written Answers Nos. 119-134

Social Welfare Payments

Questions (119)

Bernard Durkan

Question:

119. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she expects an increase in the demand for social welfare payments in 2022; if she is satisfied that these demands will be met in full; and if she will make a statement on the matter. [15298/22]

View answer

Written answers

In Budget 2022, my Department announced an estimate of €23.35 billion for 2022 which was based on emerging trends as the country moved on from Covid-19 restrictions which had been in place for much of the previous two years.

When compared to the 2021 provisional outturn figure for my Department, this estimate included increases such as:

- €274.3 million for jobseekers to provide for exits from Pandemic Unemployment Payment (PUP) for those remaining unemployed after March 2022;

- €191.3 million extra for pensions to provide for demographic driven increases in recipients, even when offset by one less pay-day in 2022 when compared to 2021;

- €287.7 million extra for employment supports to fund additional participants as restrictions are lifted during 2022. This figure does not include the decrease of €3,969.9 million in EWSS estimated expenditure in 2022.

- €204.5 million extra for Illness, Disability and Carers schemes to provide for increased recipient numbers. This figure does not include the €101.1 million decrease for Covid Illness Benefit estimate in 2022.

- €27.3 million extra for Parent’s Benefit to address the increase in claim duration from 5 to 7 weeks;

- €129.1 million on a range of offsetting factors.

As Covid-19 restrictions eased, my Department has reduced its Covid-19 related emergency payments estimate by €8.03 billion in 2022 when compared to 2021.

As schemes under my Department are largely demand-led, we will continue to monitor expenditure throughout 2022 and a supplementary estimate, if needed, will be introduced.

I hope this clarifies the matter for the Deputy.

Social Welfare Payments

Questions (120)

Bernard Durkan

Question:

120. Deputy Bernard J. Durkan asked the Minister for Social Protection the sections in her Department which currently have waiting lists for the processing of various payments; and if she will make a statement on the matter. [15299/22]

View answer

Written answers

The number of claims awaiting a decision at the 28th February 2022 for each scheme, for which operational data is available, are show in tabular form below.

Scheme

Claims awaiting a decision as of 28th February 2022

State Pension (Contributory)

4,767

Widow(er)'s Contributory Pension

393

State Pension (Non-Contributory)

1,147

Jobseekers Allowance

3,327

Jobseekers Benefit

2,291

One-Parent Family Payment

449

Supplementary Welfare Allowance

1,193

Maternity Benefit

1,844

Paternity Benefit

1,463

Carer's Allowance

1,470

Carer's Benefit

338

Disability Allowance

2,348

Invalidity Pension

1,559

Illness Benefit

15,196

Occupational Injury Benefit

1,384

Child Benefit

3,210

Working Family Payment

1,592

Domiciliary Care Allowance

1,979

Household Benefits

1,082

Free Travel

10

State Pensions

Questions (121)

Bernard Durkan

Question:

121. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which satisfactory provision continues to be made for those retiring at 65 years of age; the recent progress in this area; and if she will make a statement on the matter. [15377/22]

View answer

Written answers

Further to the commitment under the Programme for Government, the Benefit Payment for 65 Year olds was introduced from January 2021 for those who have ceased employment or self-employment and who satisfy the pay-related social insurance (PRSI) contribution conditions. This payment bridges the gap for eligible people who retire at 65 but do not qualify for State Pension until they are aged 66.

The rate of payment is paid at the maximum rate of Jobseekers Benefit which has increased to €208 under Budget 2022 and increases are also paid for qualifying adult and child dependents. A key feature of the payment is that recipients do not have to sign on or partake in activation measures or be available for and genuinely seeking work to avail of it.

At the end of February there were approximately 4,000 people receiving the support.

Where a person who is aged 65 does not the specified contributions for receipt of a social insurance benefit payment they may apply for means tested Jobseeker's Allowance.

I trust that this clarifies the position.

Youth Unemployment

Questions (122)

Bernard Durkan

Question:

122. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she and her Department continue to monitor youth unemployment levels; the extent to which such levels have increased or otherwise in recent months; the plans in hand to ensure that these levels are kept as low as possible; and if she will make a statement on the matter. [15378/22]

View answer

Written answers

As the Deputy will be aware, young people in the labour market (those under 25 years of age) can be particularly affected by labour market disruptions.

Prior to the COVID-19 pandemic, 264,000 young people were in work and the seasonally adjusted youth unemployment rate for 2019 averaged approximately 12.5 percent. However, following the onset of the pandemic, the CSO’s ‘COVID-19 adjusted’ monthly youth unemployment rate – which included all those in receipt of the PUP – increased dramatically, peaking at almost 70 percent in May 2020.

Following the phased reopening of the economy over the latter half of 2021, most young people closed their PUP claims and returned to work, with the CSO estimating that there were approximately 307,000 young people in employment by Q4 2021 – significantly more than before the pandemic. This recovery resulted in a sharp downward trend in youth unemployment rates.

While a slight increase was observed in the ‘COVID-19 adjusted’ measure of youth unemployment in December and January following the temporary reintroduction of public health restrictions, it has since begun to fall again. February figures indicate the standard youth unemployment rate is 11.1 percent and the ‘COVID-19 adjusted’ measure is 12.7 percent. This will continue to be monitored closely.

While it is welcome that the youth unemployment rate has reduced and returned to pre-pandemic levels, it is critical to continue to minimise potential scarring effects amongst young people who permanently lost their jobs during the pandemic, and to support young people who face difficulties or higher barriers to entry to the labour market.

Accordingly, my Department has a series of targeted employment supports under Pathways to Work 2021-2025, the Government’s employment services strategy. These include expanding the JobsPlus scheme and enhancing the incentive to recruit young jobseekers by increasing the youth age limit from 25 to 30 years, and ring-fencing places on the Work Placement Experience Programme, Community Employment and Tús schemes for eligible young people.

My Department also works closely with the Further Education and Training sector to provide access to training, upskilling and reskilling opportunities. These are likely to be of particular relevance to young people seeking to enter the labour market for the first time.

State Pensions

Questions (123)

Bernard Durkan

Question:

123. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she expects to be in a position to address the pensions issue for persons that have gaps in their contribution record for any reason with a view to ensuring the availability of a payment including pro-rata payment; and if she will make a statement on the matter. [15379/22]

View answer

Written answers

The State Pension (Contributory) is a PRSI-based pension, financed by contributions made by current workers and their employers, and paid to pensioners, at a rate based upon their PRSI record when working. A person is required to have a minimum of 520 paid reckonable PRSI contributions in order to qualify for the State Pension (Contributory). As the actuarial value of the State Pension is currently estimated at approximately €380,000, it is reasonable to require people claiming a contributory pension to have made at least 10 years of paid contributions over the term of their working life.

Where a person enters the social insurance system over the age of 56 they will not be able to make sufficient social insurance contributions to be awarded a State Pension (Contributory) on reaching 66 years of age because it has a minimum contribution requirement of 520 contributions (i.e. 10 years). In such cases a level of social insurance refund may be applicable.

Subject to the standard qualifying conditions for State Pension (Contributory) also being satisfied, the State pension system already provides significant recognition to those whose work history includes an extended period of time outside the paid workplace, often to raise families or in a full-time caring role.

This is provided through the award of credits and/or the application of the Homemaker’s Scheme (under the Yearly Average method for payment calculation) and/or the application of HomeCaring Periods (under the Aggregated Contribution Method, also known as the interim Total Contributions Approach).

Details of these are –

- Credits – PRSI Credits are awarded to recipients of Carer’s Allowance (and Carer’s Benefit) where they have an underlying entitlement to credits. Credits are also awarded to workers who take unpaid Carer’s Leave from work.

- The Homemaker’s Scheme - The scheme, which was introduced with effect from 1994, is designed to help homemakers and carers qualify for State Pension (Contributory). The Scheme, which allows periods caring for children or people with a caring need to be disregarded (from 1994), can have the effect of increasing a person's Yearly Average.

- HomeCaring Periods – HomeCaring Periods may be awarded for each week not already covered by a paid or credited social insurance contribution (regardless of when they occurred) to a maximum of 20 years. HomeCaring Periods can only be used under the Aggregated Contribution Method (also known as the Interim Total Contributions Approach) of pension calculation.

Since April 2019, all new State (Contributory) Pension applications are assessed under all possible rate calculation methods, including the Yearly Average and the interim Total Contributions Approach, with the most beneficial rate paid to the pensioner. The elements which make up each method are set out in legislation.

It should be noted that if a person does not satisfy the conditionality to qualify for State Pension (Contributory), s/he may qualify for the means-tested State Pension (Non-Contributory), the maximum rate of which is over 95% of the maximum rate of the State Pension (Contributory). Alternatively, an Increase for a Qualified Adult (IQA) is paid, generally, where a pensioner has an adult dependent (e.g. a spouse, civil partner or cohabitant who is financially dependent upon him/her), who does not have enough contributions to claim a maximum rate State Pension (Contributory) in his/her own right. The payment rate for the IQA is up to 90% of a full contributory pension. The most advantageous payment for a pensioner will depend upon their individual circumstances.

The Pensions Commission was established in November 2020 to examine the sustainability of the State Pension system and the Social Insurance Fund, in fulfilment of a Programme for Government commitment. The Commission was an independent body comprised of knowledgeable and experienced academics, pension experts, members of civil society and representatives of workers and employers. Once it completed its work and fulfilled its obligations, the Commission was dissolved. The Commission's Report was published on 7th October 2021. The report, Technical Sub-Committee's working papers and submissions made to the Pensions Commission are available on the website, pensionscommission.gov.ie.

The Commission’s Report is a comprehensive report that takes account of an assessment of various analyses of population, labour force and expenditure projections; an examination of international approaches; and responses to an extensive consultation process. It has unambiguously established that the current State Pension system is not sustainable into the future and that changes are needed, and it has set out a wide range of recommendations in this regard - including the full transition to a Total Contributions Approach (TCA) model, phasing out of the Yearly Average approach, allowing a person to continue paying PRSI contributions past State Pension Age to improve their social insurance record for State Pension (Contributory) purposes and measures to enhance pension provision for long-term carers (in excess of 20 years).

The Government agreed in October 2021 that the Commission’s report and recommendations would be referred to the Joint Oireachtas Committee on Social Protection, Community and Rural Development and the Islands and also to the Commission on Taxation and Welfare for its views. The Committee published its views on the 2nd February 2022 and the Commission on Taxation and Welfare submitted its comments on the PRSI related recommendations at the end of February. The various views will be considered carefully as part of the Government’s deliberations over the coming weeks.

In the interests both of older people and future generations of older people, the Government intends to consider the comprehensive and far reaching recommendations in the Commission’s Report very carefully and holistically. My officials are currently examining each of the recommendations and are consulting across Government through the Cabinet Committee system. I think it is really important that we complete that work before reaching conclusions on any specific recommendation. In this regard, I intend to bring a holistic recommended response and implementation plan to Government in April.

As the bedrock of the pension system in Ireland, the State Pension is very effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers including those who are only starting their careers.

I hope this clarifies matters for the Deputy.

Social Welfare Payments

Questions (124)

Bernard Durkan

Question:

124. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which waiting times for payments in respect of means-tested applications compare with contribution related payments; the extent of progress in reducing waiting times for means-tested payments; and if she will make a statement on the matter. [15380/22]

View answer

Written answers

The following means test based schemes are assessed in terms of operational performance:

- State Pension (Non-Contributory)

- Jobseeker's Allowance

- One-Parent Family Payment

- Supplementary Welfare Allowance Total

- Carer's Allowance

- Disability Allowance

- Household Benefits

The following schemes which are based on PRSI contributions are also assessed:

- State Pension (Contributory)

- Widow(er)'s Contributory Pension

- Jobseeker's Benefit

- Maternity Benefit

- Paternity Benefit

- Invalidity Pension

- Illness Benefit

- Occupational Injury Benefit

The attached tabular statement below outlines the agreed target and metric for each scheme, along with the average targets achieved in February 2022. The performance from February 2021 is also included in the table to show the extent of progress in reducing waiting times for means-tested payments.

Scheme

Target

Metric

Target performance

February 2022

Target performance

February 2021

State Pension (Non-Contributory)

75%

In 12 Weeks

88%

88%

Jobseeker's Allowance

90%

In 6 Weeks

97%

96%

One-Parent Family Payment

90%

In 10 Weeks

98%

96%

Supplementary Welfare Allowance Basic

90%

In 1 Week

93%

93%

Carer's Allowance

75%

In 12 Weeks

93%

95%

Disability Allowance

75%

In 12 Weeks

95%

93%

Household Benefits

90%

In 4 Weeks

100%

100%

The performances of contribution related payments, as of February 2022 are included in the tabular statement below:

Scheme

Target

Metric

Target performance

February 2022

State Pension (Contributory)

90%

By date of entitlement

94%

Widow(er)'s Contributory Pension

90%

In 6 Weeks

95%

Jobseeker's Benefit

90%

In 3 Weeks

93%

Maternity Benefit

90%

By due date

83%

Paternity Benefit

90%

By Commencement of leave

80%

Invalidity Pension

90%

In 10 Weeks

91%

Illness Benefit

90%

In 1 week

77%

Occupational Injury Benefit

90%

In 1 week

60%

Social Welfare Payments

Questions (125)

Bernard Durkan

Question:

125. Deputy Bernard J. Durkan asked the Minister for Social Protection the degree to which the processing of various applications for social welfare payments continues to be in line with best possible waiting times; and if she will make a statement on the matter. [15381/22]

View answer

Written answers

The relevant information is outlined in the table below and outlines the average performance of schemes for the period March 2021 to February 2022 compared to the agreed targets. Two thirds of the schemes profiled below achieved or exceeded their targets.

Scheme

Target

Metric

Average targets achieved (March 2021 - February 2022)

State Pension (Contributory)

90%

By date of

entitlement

94%

Widow(er)'s Contributory Pension

90%

In 6 Weeks

95%

State Pension (Non-Contributory)

75%

In 12 Weeks

88%

Jobseeker's Allowance

90%

In 6 Weeks

97%

Jobseeker's Benefit

90%

In 3 Weeks

93%

One-Parent Family Payment

90%

In 10 Weeks

98%

Supplementary Welfare Allowance Basic

90%

In 1 Week

93%

Maternity Benefit

90%

By due date

83%

Paternity Benefit

90%

By Commencement of leave

80%

Carer's Allowance

75%

In 12 Weeks

93%

Disability Allowance

75%

In 12 Weeks

95%

Invalidity Pension

90%

In 10 Weeks

91%

Illness Benefit

90%

In 1 week

77%

Occupational Injury Benefit

90%

In 1 week

60%

Child Benefit

90%

In 4 Weeks

81%

Domiciliary Care Allowance

90%

In 10 Weeks

65%

Household Benefits

90%

In 4 Weeks

100%

Free Travel

90%

In 2 Weeks

90%

Social Welfare Appeals

Questions (126)

Bernard Durkan

Question:

126. Deputy Bernard J. Durkan asked the Minister for Social Protection the number of decisions to refuse for jobseeker’s allowance, illness benefit and disability that have been overturned or otherwise following further appeal or review thereof; and if she will make a statement on the matter. [15382/22]

View answer

Written answers

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.

The table below provides details of the outcomes of all finalised appeals in respect of Jobseeker's Allowance, Illness Benefit and Disability Allowance for the year 2021.

There are a number of reasons why a decision which was refused at first instance might be successful on appeal and it is not necessarily the case that the first decision was incorrect. It is often the case that new evidence is provided with an appeal and that, as a result, the original decision may be revised by the Deciding Officer or Designated Person. Where the decision is not revised by the Department in light of the appeal contentions, further evidence is often provided by the person concerned over the course of the appeal process and this may lead to the appeal being allowed or partly allowed by the Appeals Officer.

Appeal Outcomes 2021

Allowed by AO

Part allowed by AO

Revised decision by DO/DP

Disallowed by AO

Withdrawn

Total Finalised

Jobseeker’s Allowance

246

73

374

1,083

290

2,066

Illness Benefit

33

10

433

202

49

727

Disability Allowance

2,611

101

643

2,178

42

5,575

I trust this clarifies the matter for the Deputy.

Social Welfare Eligibility

Questions (127)

Bernard Durkan

Question:

127. Deputy Bernard J. Durkan asked the Minister for Social Protection the Departmental regulations or legislation which govern and guide deciding officers when assessing medical evidence submitted by an applicant as part of an application for disability allowance and invalidity pension; the length of time such regulations and or guidelines have been in place; if recent changes have taken place in respect of same; and if she will make a statement on the matter. [15383/22]

View answer

Written answers

Decisions in relation to entitlement to social welfare payments are bound by the relevant provisions of the Social Welfare Consolidation Act, 2005, as amended, and associated regulations. The legislation provides for an equitable, fair and transparent decision-making process in conjunction with the control of social welfare schemes.

I will set out the main provisions to assist the Deputy; however, this is for information purposes and should not be considered a legal interpretation.

The legislation regarding eligibility for Disability Allowance is set out in section 210 of the Social Welfare Consolidation Act 2005, as amended. The relevant regulations are in sections 137-140 of the Social Welfare (Consolidated Claims, Payments and Control) Regulations 2007.

Following a recommendation in the Make Work Pay (for people with disabilities) report, a change in the legislation was introduced in 2019, which removed the requirement that work must be ‘rehabilitative’ in nature, in order for persons in receipt of Disability Allowance to take up employment.

There have been no recent changes in respect of the medical evidence required for this scheme in legislation or regulations.

The legislation regarding Invalidity Pension is sections 118-122 of the Social Welfare Consolidation Act 2005. The relevant regulations are in sections 76-78 of the Social Welfare (Consolidated Claims, Payments and Control) Regulations 2007.

There have been no recent changes in respect of the medical evidence required for this scheme in legislation or regulations.

Under the provisions of Section 311 of the Social Welfare Consolidation Act 2005, if a person is dissatisfied with a statutory decision of the Department including the outcome of a review, they can submit a request for an independent appeal of the decision to the Social Welfare Appeals Office.

Social Welfare Eligibility

Questions (128)

Bernard Durkan

Question:

128. Deputy Bernard J. Durkan asked the Minister for Social Protection the exact procedure followed within her Department when making an assessment as to whether a person meets the medical criteria for an illness-related payment; if the deciding officers who assess these cases are medical professionals; and if she will make a statement on the matter. [15384/22]

View answer

Written answers

Decisions in relation to entitlement to social welfare payments are bound by the relevant provisions of the Social Welfare Consolidation Act 2005 (as amended) and associated regulations. The legislation provides for an equitable, fair and transparent decision-making process in conjunction with the control of social welfare schemes. Every claimant is entitled to have their claim considered in accordance with the principles of natural justice and in the context of determinations of entitlement under social welfare legislation. A number of conditions must be satisfied in order to qualify for any payment - these vary according to the payment.

Deciding Officers are not medical professionals. They are officers with the power to make a decision on a social welfare claim made under the Social Welfare Consolidation Act 2005.

In order to make a decision in respect of Illness Benefit, the Deciding Officer takes a number of different factors into consideration, including legislation, information provided by the customer, their GP's opinion, and the opinion of the Department's Medical Assessor. Illness Benefit is a scheme designed to provide support to those who cannot attend work in the short term due to illness.

To qualify for a payment under the terms of the Illness Benefit scheme a person must be under pensionable age, satisfy prescribed PRSI conditions and be certified by a doctor as being incapable of attending work due to illness.

Based on the type of incapacity submitted by their doctor and the duration of the claim, claims in payment may be selected for review to determine continued entitlement to an Illness Benefit payment. In such cases the following process applies:

A form issues to the customer asking them to provide an update on their condition/circumstances by way of a self-assessment. Upon receipt, the Deciding Officer may decide that continued payment is warranted or to refer the case to one of the Department’s Medical Assessors for their consideration

If a case is referred to a Medical Assessor a medical report form issues to the customer’s doctor for completion. The Medical Assessor considers the form completed by the customer’s doctor and may decide to carry out a further medical review either by way of a telephone assessment or an in person assessment with the customer.

If the Medical Assessor's opinion is that the customer should be capable of work, Illness Benefit Section provides the customer with a further opportunity to forward additional evidence/observations on the findings of the Medical Assessor.

The Deciding Officer considers all of this information when making a final decision. The customer, if they are not satisfied, can appeal the decision of the Deciding Officer.

I trust the above clarifies the position for the Deputy.

Social Welfare Eligibility

Questions (129)

Bernard Durkan

Question:

129. Deputy Bernard J. Durkan asked the Minister for Social Protection when assessing if a person is permanently incapable of work for the purpose of an application for invalidity pension, if due regard is had for the age, experience and qualifications of the applicant when making a final decision; and if she will make a statement on the matter. [15385/22]

View answer

Written answers

Invalidity Pension (IP) is a payment for people who are permanently incapable of work because of illness or incapacity and for no other reason and who satisfy the pay related social insurance (PRSI) contribution conditions.

A person is regarded as being permanently incapable of work if;

For the period of 1 year immediately before the date of application the person had been continuously incapable of work and a Deciding Officer (DO) or an Appeals Officer (AO) is satisfied that the person is likely to continue to be incapable of work for at least another year,

OR

A Deciding Officer (DO) or an Appeals Officer (AO) is satisfied that the likelihood is that the person will be incapable of work for life.

When making a decision Deciding Officers are bound by the Social Welfare Acts and Regulations. This legislation includes provision for the DO to seek the opinion of a Medical Assessor (MA) in respect of whether or not a person satisfies the medical conditions for schemes such as IP, which include a medical qualifying condition.

When assessing an Invalidity Pension claim, an MA assesses the work capacity of the claimant for all categories of work in terms of job effort and skill level. In the assessment, the MA will consider the claimant’s impairment i.e. the illness or accident and the symptoms, investigations, treatment received to date and the prognoses of the condition(s). The MA will also consider any co-morbidity, in addition to their primary medical condition.

Where an MA provides an opinion, the DO shall have regard to that opinion in deciding if the person is permanently incapable of work. Both the MA and the DO take into account the vocational and educational experience of the claimant as well as their age and medical conditions when deciding if sufficient evidence has been provided to satisfy the qualifying criteria for IP.

I hope this clarifies the position for the Deputy.

Social Welfare Eligibility

Questions (130)

Bernard Durkan

Question:

130. Deputy Bernard J. Durkan asked the Minister for Social Protection the circumstances within which section 76(1)(a) of the Social Welfare (Consolidated Claims, Payment and Control) Regulations 2007 can be disregarded by a deciding officer when assessing an applicant’s medical eligibility for invalidity pension; and if she will make a statement on the matter. [15386/22]

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 legislation referred to relates to the definition of permanently incapable of work which forms part of the qualifying criteria for IP. The qualifying criteria for IP is set out in social welfare legislation and eligibility for the scheme is assessed in line with these provisions. A deciding officer is obliged to follow the provisions specified and has no discretion to set aside these legislative requirements when determining entitlement to IP.

I trust this clarifies the matter for the Deputy.

Social Welfare Code

Questions (131)

Bernard Durkan

Question:

131. Deputy Bernard J. Durkan asked the Minister for Social Protection the steps taken by her Department to ensure equity and fairness for all social welfare applicants with particular reference to applications for illness-related payments; if account is taken of the fact that whilst rules and regulations are important in creating fairness, that they should not be applied in such a strict and inflexible manner so as to create inequity to social welfare applicants; the steps taken by her Department to address any unfairness in this regard with particular reference to illness-related payments; and if she will make a statement on the matter. [15387/22]

View answer

Written answers

Decisions in relation to entitlement to social welfare payments are bound by the relevant provisions of the Social Welfare Consolidation Act, 2005 (as amended) and associated regulations. The legislation provides for an equitable, fair and transparent decision-making process in conjunction with the control of social welfare schemes. Every claimant is entitled to have their claim considered in accordance with the principles of natural justice and in the context of determinations of entitlement under social welfare legislation. A number of conditions must be satisfied in order to qualify for any payment – these vary according to the payment.

In the case of illness benefit, customers must provide a Certificate of Incapacity for Work in addition to having the required social insurance contributions. If people continue to be ill beyond their entitlement to illness benefit, they can apply for Disability Allowance or Invalidity Pension. Disability Allowance is subject to means testing and the habitual residence condition in addition to meeting the medical criteria for the payment. In the case of Invalidity Pension, customers must meet the medical criteria and the social insurance requirements for the scheme.

Any unfavourable decision of a Deciding Officer must be communicated in writing to the claimant setting out the reasons for the decision. It is open to any person to request a review of any statutory decision made by the Department and any new evidence or information provided to the Department will be considered as part of this review. It is important to note that any decision of a deciding officer can be revised in light of additional evidence without it ever being in the appeal process.

Under the provisions of Section 311 of the Social Welfare Consolidation Act 2005, if a person is dissatisfied with a statutory decision of the Department including the outcome of a review, they can submit a request for an independent appeal of the decision to the Social Welfare Appeals Office.

I trust this clarifies the matter.

Social Welfare Code

Questions (132)

Bernard Durkan

Question:

132. Deputy Bernard J. Durkan asked the Minister for Social Protection the standard procedure, regulations and guidance followed by deciding officers and appeals officers when ensuring full disclosure of the reasons and justification for refusal of an application for illness-related payments is communicated to the applicants to enable due process including preparation for any further appeal may take place; if an internal Departmental guidance exists as to the level of detail required in such disclosures with particular reference to medical evidence; and if she will make a statement on the matter. [15388/22]

View answer

Written answers

Deciding officers and appeals officers are independent in their decision making and are required to apply the law on a case-by-case basis. All statutory decisions are bound by the relevant provisions of the Social Welfare Consolidation Act 2005 and associated regulations. The legislation provides for a transparent and fair decision-making process in conjunction with the control of social welfare schemes. Every claimant is entitled to have their claim considered in the context of determinations of entitlement under the relevant social welfare legislation and in accordance with the principles of natural justice.

A deciding officer may at any time revise any decision of a deciding officer by reason of an error having been made in relation to the law or facts or in light of new evidence or facts brought to his or her attention since the date on which the original decision was made. The Social Welfare Appeals Office functions independently of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.

The legislation provides that any unfavourable statutory decision made by a deciding officer or an appeals officer must be communicated in writing to the claimant outlining the reasons for the decision. The Department’s Decisions Advisory Office has published guidelines for Deciding Officers and Designated Persons on the legal requirements for reasoned statutory decisions. The guidelines include ‘Decision Making and Natural Justice’; Reasons for Decisions’ and ‘Revised Decisions and their Date of Effect’.

The natural justice principle of ensuring that the reasoning underpinning a decision is clearly set out is included as standard in all guidelines and applies to decisions made on all schemes including illness-related schemes. The guidelines are updated continuously and concurrently with any relevant legislative changes or principles emerging from relevant case law of the Courts. The guidelines were recently reviewed and will be re-issued to all staff of my Department in the coming days and will be re-published on the Department’s website.

Training is provided to all decision makers and emphasises the importance of ensuring that the grounds, reasons and rationale for an unfavourable decision are clearly communicated to the customer. My Department and the Social Welfare Appeals Office consult with each other on issues related to decision letters to ensure consistency of decisions made by both deciding officers and appeals officers.

I trust this clarifies the matter for the Deputy.

Social Welfare Payments

Questions (133)

Bernard Durkan

Question:

133. Deputy Bernard J. Durkan asked the Minister for Social Protection the number of invalidity pension applications received by her Department since 2012 to date; the number of applications granted and refused in each year; the number of applications granted after review following initial refusal in each year; the number of applications allowed and disallowed following appeal in each year; and if she will make a statement on the matter. [15389/22]

View answer

Written answers

The information requested by the Deputy for Invalidity Pension between 2012 and 2021 is shown in tabular form below.

Invalidity Pension Appls.

State Pensions

Questions (134)

Bernard Durkan

Question:

134. Deputy Bernard J. Durkan asked the Minister for Social Protection the total number of persons currently in receipt of the State (contributory) pension; the extent to which this number is likely to fluctuate in the future; and if she will make a statement on the matter. [15390/22]

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Written answers

The Statistical Information on Social Welfare Services Annual Report 2020 was published by my Department on the 9th August 2021. This report stated that there were 449,442 recipients of the State Pension (Contributory) at the end of 2020, a rise of 18,218 (or 4.2%) compared to the previous year. It also showed an increase of 152,447 (51.3%) in State Pension (Contributory) recipients in the 9 years since 2011. Please see the table below for more information on the number of State Pension (Contributory) recipients and beneficiaries for 2011 to 2020.

State (Contributory) Pension

The number of State Pension (Contributory) recipients continued to increase during 2021. My Department’s administrative records indicate that there were 468,734 recipients at the end of 2021. It is clear from my Department’s statistics and records that the number of State Pension (Contributory) recipients has increased significantly over the past decade.

The Deputy will be aware that the Pensions Commission’s report was published on the 7th October 2021. The Commission’s Report established that the current State Pension system is not sustainable into the future and that changes are needed. It set out a wide range of recommendations including enhanced pension provision for long-term carers, gradual increases to the State Pension Age, aligning retirement ages in employment contracts with the State Pension Age, PRSI base broadening measures, and allowing a person to continue paying PRSI contributions past State Pension Age to improve their social insurance record for State Pension (Contributory) purposes.

The Commission’s Report is a comprehensive report that takes account of an assessment of various analyses of population, labour force and expenditure projections; an examination of international approaches; and responses to an extensive consultation process. The report, Technical Sub-Committee's working papers, infographics and submissions made to the Pensions Commission are available on the website, pensionscommission.gov.ie.

The Commission carefully considered the scale of the fiscal sustainability challenge facing the State Pension system and the Social Insurance Fund, based on analysis from a range of sources, including the Department of Finance and the Irish Fiscal Advisory Council, demographic projections from the Central Statistics Office, and material from the Commission’s public consultation process. KPMG updated the most recent Actuarial Review of the Social Insurance Fund (published in 2017) in order to have up-to-date projections of shortfalls in the Social Insurance Fund.

The Commission and its Technical Sub-Committee analyses indicate that:

- The number of working age people is projected to increase by 9% from 2021 to 2051 – increasing from 3,243,500 to 3,549,700. The number of people aged 65+ is projected to double from 2021 to 2051 – from 743,100 to 1,562,500 (CSO). Demographic projections show that the coming decades will be marked by a transition towards a much older population structure. Accordingly, Ireland’s population is ageing.

- Thankfully, people are living for longer and are healthier than previous generations. A man aged 65 has a life expectancy of 18.3 years, while a woman aged 65 has a life expectancy of 21 years (CSO figures for 2016). Life expectancy has increased by approximately 5 years in the last two decades and is expected to increase by a further 3 years in the next two decades to 21.9 years for a man aged 65 and 24 years for a woman aged 65 by 2041. This shows that the duration of State Pension payments has been increasing steadily over time and is projected to increase further.

- The ratio of the working age population to the older population is also projected to change. In 1991, there were 5 working age people for every pensioner. At the moment, this ratio is about 4.5 working age people to every pensioner. By 2031, this is projected to fall to 3.5 working age people to every pensioner and by 2051, to 2.3 working age people to every pensioner. The projections show that there will be a relatively smaller proportion of working age people in the coming decades financing State Pension payments for an increasing number of pensioners.

These projected demographic changes indicate significant increases in the number of future State Pension (Contributory) recipients which will impact on State Pension related expenditure. Analysis carried out by KPMG for the Pensions Commission projected that, on a no policy change basis, the Social Insurance Fund will have an annual deficit of €2.3 billion by 2030. This will increase to reach €13.4 billion annually by 2050 and €21.1 billion by 2071. KPMG also found that by 2045, expenditure on the State Pension (Contributory) alone will exceed projected Social Insurance Fund income.

In the interests both of older people and future generations of older people, this Government intends to consider the comprehensive and far reaching recommendations in the Pensions Commission’s Report very carefully and holistically. The views of the Joint Oireachtas Committee on Social Protection, Community and Rural Development and the Islands and the Commission on Taxation and Welfare will be considered as part of the Government’s deliberations over the coming weeks. My officials are also examining each of the recommendations and consulting across Government through the Cabinet Committee system. I think it is really important that we complete that work before reaching conclusions on any recommendations. I will be bringing a recommended response and implementation plan to Government in April.

It would be a strategic risk not to plan and provide for projected demographic changes, not least in terms of income adequacy for older people. The State Pension is the bedrock of the pension system in Ireland. It is very effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers including those who are only starting their careers.

I hope this clarifies the matter for the Deputy.

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