Robert Troy
Question:637. Deputy Robert Troy asked the Minister for Social Protection if she will review the means test for carers allowance to take into account certain expenses such as rent or mortgage payments. [40216/23]
View answerWednesday, 20 September 2023
Questions (637)
Written answers
The system of social assistance supports provides payments based on an income need. The means test plays a critical role in determining whether or not an income need arises as a consequence of a particular contingency – such as disability, unemployment or caring. This ensures that the recipient has a verifiable income need and that resources are targeted to those who need them most.
By its nature, the means test takes account of the income a person or couple has in terms of cash, property - other than the family home - and capital. It does not take account of a person’s expenditure.
As part of Budget 2022, the weekly income disregard was increased from €332.50 to €350 for a single person, and from €665 to €750 for carers with a spouse/partner. As a result, Carer's Allowance disregards are the highest income disregards in the entire social welfare system.
The capital disregard for Carer’s Allowance was also increased in 2022 from €20,000 to €50,000. This allows carers who have accumulated savings, often to provide care for a loved one, to retain an entitlement to Carer's Allowance.
Introducing a rent or mortgage disregard for Carer's Allowance would have significant budgetary implications and would give rise to inconsistencies in how means tests are applied across schemes. It would also significantly increase the complexity of the means assessment. Any changes in this regard would have to be considered in the overall policy context.
I trust this clarifies the matter for the Deputy.