Disability Allowance (DA) is a weekly allowance paid to people with a specified disability who are aged 16 or over and under the age of 66. This disability must be expected to last for at least one year and the allowance is subject to a medical assessment, means test and Habitual Residency conditions. There are currently in excess of 160,000 persons in receipt of means-tested Disability Allowance from the Department.
The means assessment of DA reflects the fact that there is an expectation that people with reasonable amounts of income or capital are in a position to use these resources to support themselves, so that social welfare expenditure can be directed towards those who need it most.
In the means test, cash income that is assessed includes any income from employment or self-employment (and spouse/partner, if applicable), income from a social security pension from another country and maintenance payments.
Capital assessed as part of the means test includes all monies held in financial institutions or otherwise, the market value of shares, as well as houses and premises owned by a claimant which may or may not be put to commercial use. The family home is never assessed as part of the means test, regardless of who is the legal owner.
The DA scheme is designed to support people to enter or return to employment, be that self-employment or insurable employment, for example: When an individual commences employment, an income disregard of €165 per week is applied. In addition, 50% of earnings between €165 and €375 is also disregarded for the purpose of the means test. Earnings from employment over €375 per week are assessed on a euro for euro basis.
The disregard is not applied to non-employment income. All other income streams assessable as means are assessed on a euro for euro basis.
The conditions attached to payment of DA are consistent with the overall conditions that apply to social assistance payments generally. This system of social assistance supports provides payments based on an income need with the means test playing the critical role in determining whether or not an income need arises as a consequence of a particular contingency – be that illness, disability, unemployment or caring.
The Department continues to keep its range of income supports, including disregards, under review and any change proposed would have to be considered in an overall policy and budgetary context.
All bonuses, additional payments and Fuel Allowance will be payable to recipients of DA who are awarded/in payment at the date that these bonuses are due to be paid.
On 22 November 2023, €400 was paid to recipients that were in receipt of Disability Allowance.
On 22 November 2023, €300 was paid to recipients that were in receipt of Fuel Allowance.
On 29 November 2023, €100 per child was paid to recipients in receipt of an Increase for a Qualified Child and €200 was paid to recipients in receipt of Living Alone allowance.
If the person was not awarded DA until after these dates, then they would not be entitled to receive the above cost of living payments.
I trust this clarifies the matter for the Deputy.
