The Deputy will be aware that regulations were introduced in November 1997 to provide for the tapered withdrawal of the qualified adult allowance for people claiming unemployment benefit, unemployment assistance, disability benefit, disability allowance, pre-retirement allowance, injury benefit and unemployability supplement. Prior to the introduction of those regulations, the qualified adult allowance was withdrawn completely once the income of the spouse or partner of the social welfare claimant exceeded £60 per week. This measure represented the first step towards alleviating the poverty trap associated with the previous arrangements.
Under the revised arrangements, where the spouse or partner is earning between £60 and £90, a reduced rate qualified adult allowance continues to be payable. In the 1999 budget, provision has been made to extend the upper limit of the income range from £90 to £105, in order to further enhance the incentive for people to avail of employment opportunities. Notwithstanding these improvements, I am aware that in some very unusual cases, such as that described by the Deputy, the poverty trap still exists. I will be considering the scope for introducing further improvements to the tapering arrangements in the context of the next budget, having regard to the resources available and in the light of other priorities.