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Dáil Éireann díospóireacht -
Thursday, 1 Jul 1999

Vol. 507 No. 4

Written Answers. - Social Welfare Benefits.

John V. Farrelly

Ceist:

187 Mr. Farrelly asked the Minister for Social, Community and Family Affairs when he will increase the rate of £5 per week free fuel allowance in view of the fact that this has never been increased and taking into consideration the cost of fuel; and if he will make a statement on the matter. [16990/99]

The aim of the national fuel scheme is to assist householders who are on long-term social welfare or health board payments and who are unable to provide for their own heating needs. A payment of £5 per week, £8 per week in smokeless zones, is paid to eligible households for 26 weeks from mid-October to mid-April.

The standard rate of fuel allowance was last increased in 1985. However, fuel price inflation has been much lower than general price inflation at approximately 7 per cent in total over the 12 years between 1985 and 1998. Increasing the basic fuel allowance by this amount would cost £2.6 million.

Expenditure on the national fuel scheme has increased by approximately 20 per cent in the last five years from £37.5 million in 1993 to £44.9 mill ion in 1998. This year a sum of £46.4 million has been provided in the Estimates for the scheme. It is estimated that increasing the basic allowance by £1 per week would cost an additional £7.6 million.
Any change in the rate of payment would have significant cost implications and could only be considered in a budgetary context, taking increases in primary weekly payment rates into account. In that regard, substantial increases in all the social welfare primary payments ranging from £3 to £6 per week for a single person and from £5 to £9 for a couple became effective from last month.
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