Dáil Éireann díospóireacht -
Wednesday, 3 Apr 1996

Vol. 463 No. 7

Written Answers. - Departmental Funding.

Ivor Callely

Ceist:

78 Mr. Callely asked the Minister for Social Welfare whether his Department receives sufficient funding; whether the level of funding has an adverse impact on the quality of life of social welfare recipients; and if he will make a statement on the matter. [6974/96]

Minister for Social Welfare (Proinsias De Rossa)

The funding required by my Department is mainly determined by the rates of social welfare payments.

The impact of the current rates of payment on the quality of life of social welfare recipients and the extent to which these rates may not be adequate cannot be properly assessed in the absence of up to date research in this area. For this reason, the Government's policy agreement of December 1994,A Government of Renewal, included a commitment to commission the Economic and Social Research Institute to review the minimum adequate income rates recommended by the Commission on Social Welfare in 1985.

The review is under way and will put forward new rates in the light of improvements in social welfare programmes and other changes since the report of the commission was published, taking into account changes set out in the policy agreement. It will provide an objective basis for assessing the adequacy or otherwise of the current rates of social welfare entitlements. The review is expected to be completed by mid-1996 and, along with other reviews of the social welfare systems, such as that of the Expert Working Group on the Integration of Tax and Social Welfare, will form the basis for the formulation of proposals for improvements in the social welfare system in the years ahead and for assessing my Department's funding requirements.

In the meantime, further progress is being made this year towards implementing the rates recommended by the Commission on Social Welfare. The commission estimated that the minimum adequate income required by a single adult was £50 per week. This was termed the main rate and is equivalent to £68.10 in 1996 terms.

In 1985, the only social welfare schemes that provided rates of payment at or above the main rate were the old age contributory pension, retirement pension and some occupational injury schemes. The increases in this year's budget will bring the survivor's contributory pension and deserted wife's benefit to the main rate in June 1996. The increases will bring all the remaining social welfare payments to at least 92 per cent of the main rate, after compensating for inflation, and most of them will be at least 95 per cent of the main rate, details of which are set out in the following table:

Social Welfare Rates as a Proportion of the Commission on Social Welfare Main Rate

Main £50 Rate (£68.10 in 1996 terms)

Payment	1985	1995	1996
	%	%	%
Old Age (Contributory) Pension/Retirement Pension	103	109	110
Widow's/Widower's Pension/Deserted Wife's Benefit	93	99	100
Invalidity Pension	91	96	97
Old Age (Non-Contributory) Pension	88	94	95
Widow's (Non-Contributory) Pension/Deserted Wife's Allowance	86	94	95
Lone Parent's allowance	86	94	95
Disability/Unemployment Benefit	79	94	95
Long-Term Unemployment Assistance	70	94	95
Pre-Retirement Allowance	70	94	95
Short-Term Unemployment Assistance	66	91	92
Supplementary Welfare Allowance	64	91	92
Carer's Allowance		94	99