Vol. 427 No. 7
78 Dr. Upton asked the Minister for Social Welfare the number of people who have more than ten years full PRSI contributions and who are not entitled to a contributory pension because certain of the contributions were made prior to 1953; and the cost of providing these people with a pension.
To qualify for an Old Age Contributory Pension a person must have entered insurance at least 10 years before reaching pension age, have at least 156 contributions paid and have a yearly average of at least 20 contributions registered since January 1953 when the unified system of social insurance came into effect or the time they started insurable employment, if later.
Contributions paid prior to 1953 count for the purposes of the first two conditions but not the third. Because the contributions average is calculated by reference to post-1953 contributions only, a person could have a substantial record of pre-1953 contributions and still not qualify for pension. Payment of contributions prior to 1953 could not in itself, however, result in a person not qualifying for contributory pension.
In this regard it is relevant to point out that the Old Age Contributory Pension scheme was introduced only in 1961 and contributions paid by insured persons prior to 1961 did not contain an element in respect of that pension. Contributions paid prior to 1953 gave specific entitlement only to the benefits of the schemes under which they were paid.
The whole issue of contribution conditions for social insurance pensions is among the issues being addressed by the National Pensions Board in its final report on a new national pensions system. I expect to receive the Board's report later this year and the matter will be considered further in that context.
79 Ms F. Fitzgerald asked the Minister for Social Welfare if he will review the Carer's Allowance; and, if the allowance has to be means-tested, he will consider doing so based on the means of the person being cared for.
The Carer's Allowance, which I introduced in 1990, provided for the first time for the payment of a weekly allowance directly to a person providing full-time care and attention to an elderly or incapacitated person. Some 4,400 carers are in receipt of the allowance.
Since it's introduction, the Carer's Allowance has been increased and improved each year. With effect from July next, the rate is being increased by £6.50 to £59.20 a week. This substantial increase of 11.7 per cent will bring the rate into line with the rate of long term social assistance payments.
I am reviewing the application of the Carer's Allowance and the means-testing arrangements will be considered in the context. Any change in the present means-testing arrangements would have financial implications which could only be considered in the light of available resources.
