During the debate in this House on the Social Welfare Bill, 1996, I made known that I was taking the opportunity of the introduction of the new one parent family payment and the new disability allowance to commence the process of standardising the provisions for the assessment of capital across all of the various social assistance payments, including old age non-contributory pension on a phased basis.
Under the new provisions, the first £2,000 of capital will be disregarded, the next £20,000 will be assessed at 7.5 per cent and capital in excess of £22,000, if any, will be assessed at 15 per cent. The extension of these provisions to the other social assistance payments will be done progressively over a period of time in view of the significant administrative implications involved. The means of all social assistance recipients with capital will have to be reviewed on the introduction of any changes in this area.