Dáil Éireann Debate, Monday - 11 September 2023
1048. Deputy Jim O'Callaghan asked the Minister for Social Protection whether an individual in receipt of carer's allowance or carer's benefit can have them considered towards the contributions criteria for the State pension (contributory); and if she will make a statement on the matter. [38819/23]
View answerThis Government acknowledges the important contribution that carers provide and is fully committed to supporting them in that role. Accordingly, the current State Pension (Contributory) system gives significant recognition to those whose work history includes an extended period of time outside the paid workplace, often to raise families or to provide another full-time caring role. Homemaking Disregards and HomeCaring Periods recognise caring periods of up to 20 years outside of paid employment in the calculation of a payment rate. In addition, PRSI credits are awarded to those in receipt of Carer's Benefit and Carer's Allowance. These credits and other measures may be used to increase the rate of State Pension (Contributory) payment subject to certain conditions.
Despite these measures, some long-term carers of incapacitated dependents may still face barriers in accessing the State Pension (Contributory). They may for example have difficulty establishing the minimum number of 10 years' paid contributions.
In September 2022 I announced a series of landmark reforms to the State Pension system. The measures are in response to the Pensions Commission’s recommendations and represent the biggest ever structural reform of the Irish State Pension system.
One of the most important reforms agreed by Government is enhanced State Pension provision for people who have been caring for incapacitated dependents for over 20 years. It will do this by attributing the equivalent of paid contributions to long-term carers to cover gaps in their contribution record.
The Long-Term Carer's Contributions (LTCC) will be available to those who provided full time care for 20 years (1040 weeks) or more to an incapacitated dependent. The periods of care-giving do not need to be consecutive. I expect to bring the legislation required to introduce the LTCC before the Oireachtas soon, with the scheme being fully implemented from January 2024. This month, my Department launched an online system for people to register for LTCC. This will facilitate the expeditious processing of LTCC upon enactment of the legislation.
I hope this clarifies the matter for the Deputy.
