Dáil Éireann Debate, Wednesday - 25 May 2022
134. Deputy Gary Gannon asked the Minister for Social Protection the estimated cost of increasing the working family payment by €20, €30 and €40 per week for all recipients; and if she will make a statement on the matter. [26955/22]
View answerThe Working Family Payment (WFP) is an in-work support which provides an income top-up for employees, with children, on low earnings. The scheme is designed to prevent in-work poverty for low paid workers with child dependents, and to offer a financial incentive to take-up employment.
There are currently approximately 46,000 families in receipt of Working Family Payment, in respect of 103,000 children. The estimated expenditure on the scheme in 2022 is €349 million. The payment a person receives is 60% of the difference between their average weekly family income and the income limit that applies to their family size.
In Budget 2022 I provided for a €10 increase in the weekly income limits for all families. This change was due to come into effect from June 2022, but I am pleased to confirm that implementation was brought forward to April 2022 as part of the package of measures the Government announced in February to assist families with cost-of-living increases.
The full year cost of increasing the Working Family Payment income limits for all families by €20 per week is estimated at €46.2 million. A €30 increase is estimated to cost €69.3 million and a €40 increase is estimated to cost €92.4 million in a full year. It should be noted that these estimates are based on current numbers of recipients.
I trust that this clarifies the matter for the Deputy.
