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Social Welfare Benefits

Dáil Éireann Debate, Tuesday - 27 June 2023

Tuesday, 27 June 2023

Questions (426)

Paul McAuliffe

Question:

426. Deputy Paul McAuliffe asked the Minister for Social Protection the changes introduced to the fuel allowance since 27 June 2020; and if she will detail the number of recipients, by county, benefitting from these changes, in tabular form. [31139/23]

View answer

Written answers

Fuel Allowance is a means tested payment to assist pensioners and other longer-term social welfare dependent households with their winter heating costs. The payment is a contribution towards heating costs; it is not intended to meet these costs in full. The payment is made over the winter season at the weekly rate of €33.00 or, if preferred, by way of two instalment payments. Only one Fuel Allowance is payable per household. Those who qualify for the payment do not need to reapply annually.

At the time of my appointment, on 27 June 2020, as Minister for Social Protection, the rate of Fuel Allowance was €24.50 weekly, payable over a 28-week season. From 4 January 2021, I increased the weekly rate to €28.00. From 11 October 2021, I further increased the rate by €5, bringing the weekly rate up to €33.00, which is the current rate.

In addition, during my time as Minister for Social Protection, and in recognition of the increasing energy costs for households, I secured a number of one-off payments for those in receipt of Fuel Allowance. In March 2022, an extra €125 was paid to all Fuel Allowance recipients; a further additional payment of €100 was made in May 2022; and, another significant additional payment of €400 was made to these households in November 2022.

As well as the rate changes and the additional support payments issued, there were also changes introduced to the qualifying conditions for the Fuel Allowance scheme.

Changes announced in Budget 2022 included:

• an increase in the weekly means threshold by €20 to €120 above the appropriate rate of state pension (contributory), enabling more people to qualify for the support; and,

• a reduction in the qualifying period for Jobseeker’s and Supplementary Welfare Allowance recipients from 15 months to 12 months with effect from September 2022, again enabling more people to qualify for the support.

In Budget 2023, Government announced the largest ever expansion of the Fuel Allowance Scheme. The changes introduced were:

• from January 2023, the introduction of a new means threshold for people aged 70 years and over, of €500 for a single person and €1,000 for a couple;

• in addition, for applicants aged 70 or over, the amount of capital (savings and investments) disregarded in the means test for Fuel Allowance was increased from €20,000 to €50,000. (Savings over €50,000 are assessed on a proportionate basis only); and,

• from January 2023, Disablement Benefit and Half-rate Carer’s Allowance payments were disregarded when assessing means for Fuel Allowance purposes. Disablement Benefit also no longer debars a household from receiving the Fuel Allowance payment.

There were some other changes also made to the Fuel Allowance qualifying criteria as follows:

• From September 2020, although the Pandemic Unemployment Payment is not a qualifying payment for Fuel Allowance purposes, it did not prevent an otherwise qualified household from receiving Fuel Allowance. For the purposes of deciding Fuel Allowance entitlement, PUP was disregarded for means testing purposes.

• From September 2021, where an increase in respect of a qualified child on a fuel allowance recipient’s claim ceases because the child reached 22 years, Fuel Allowance can remain in payment where the previously qualified child remains in full-time education and is not in receipt of any disqualifying social welfare payments or is in employment. This saver clause is subject to all other qualifying conditions for Fuel Allowance being met.

• As the Pandemic Unemployment Payment is a statutory benefit, periods spent in receipt of this payment immediately before a Jobseeker’s Allowance claim can be considered towards the 390 days necessary to qualify for Fuel Allowance.

• A person who transfers from the long-term disability related schemes of Disability Allowance, Invalidity Pension, or Blind Pension to a recognised training or educational course can qualify for Fuel Allowance while participating on the course. Qualification for Fuel Allowance will be subject to satisfying all the relevant qualifying conditions.

• From September 2022, a Rent-A-Room means disregard applies to Fuel Allowance applicants who rent a room in their own home. This allows income of up to a limit of €269.23 weekly in respect of renting a room in their own home to be disregarded for the purposes of the Fuel Allowance means test.

• Payments received under the Accommodation Recognition Payment Scheme are disregarded when assessing means for Fuel Allowance purposes.

It is not possible to quantify the number of recipients who have benefitted from each of the above mentioned measures.

By the end of the 2022/23 Fuel Allowance season, in April 2023, the total number of households supported had increased to over 404,000. It should be remembered that the number of qualified households continuously fluctuates, as recipients join and exit the scheme as their circumstances change.

The number of Fuel Allowance recipients, by county, at end April 2023 were as follows:

County

Recipients

Cork

42,953

Clare

10,778

Cavan

7,334

Carlow

6,714

Dublin

86,222

Donegal

20,167

Galway

21,454

Kildare

13,782

Kilkenny

7,811

Kerry

15,332

Limerick

18,716

Longford

5,273

Louth

13,451

Leitrim

4,096

Laois

6,750

Meath

12,364

Monaghan

5,819

Mayo

15,658

Offaly

7,583

Roscommon

6,485

Sligo

7,015

Tipperary

17,884

Waterford

13,238

Westmeath

8,408

Wicklow

11,290

Wexford

17,554

I trust this clarifies the matter for the Deputy.

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