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Dáil Éireann díospóireacht -
Tuesday, 6 Mar 2001

Vol. 532 No. 1

Written Answers. - Family Support Services.

John Perry

Ceist:

269 Mr. Perry asked the Minister for Social, Community and Family Affairs if a register is available of all married women who work full-time in the home and applied for a social welfare payment; the considerations he has given to ensuring that a direct payment is made to the woman in the home; the progress which has been made on the PRSI contributions for women who work full time in the home; when these changes will be implemented; and if he will make a statement on the matter. [6827/01]

There is no register available which details the number of married women who work full time in the home and have applied for a social welfare payment. Existing supports under the social welfare system for those who work full-time in the home are as follows. Child benefit generally is payable to the mother, recognising the important value of the work done by the primary carer, who is usually the mother. With effect from next June, a full three months earlier than usual, child benefit rates for first and second children will increase by £25 to £67.50 per month and by £30 to £86 per month for third and subsequent children. That constitutes a full year investment of £330 million and marks the first step in a three year programme of increases which will see Government investment in the child benefit scheme rise by an additional £1 billion by 2003.

This three year investment package will strengthen the position of those who choose to work in the home and care for their children in that way, while simultaneously easing the burden for those who opt to go out to work and utilise childcare facilities. The dedication of substantial resources to child benefit in budget 2001 reflects the serious commitment this Government has made to supporting those who are responsible for raising our children.

In relation to pensions, I am also strongly committed to improving the position of people who take time out of the paid workforce to care for children or sick relatives. Measures already introduced, including the reduction in the average number of PRSI contributions required for pension purposes to ten and the extra recognition afforded to pre-1953 contributions, are making it easier for people with reduced or broken insurance records to receive a pension. In addition, under the homemaker's scheme, years spent out of the workforce caring for children or incapacitated people may be disregarded when calculating entitlement to old age – contributory – or retirement pension. The scheme is currently effective from 1994 and a maximum of 20 years may be disregarded in this way.

In budget 2001, I announced improvements in the qualified adult allowance for those over 66 years of age which will see this increasing to the full old age pension rate over a number of budgets. A major step towards this objective was taken in budget 2001 by providing an increase of £15 per week in the full rate QAA. Following on the report of the PPF working group, which is currently examining the issues surrounding administrative individualisation, arrangements will be put in place so that part of the pension can be paid directly to the qualified adult.

While recognising that the social insurance sys tem cannot cover all gaps in pension coverage, nevertheless, as I indicated in budget 2001 speech, more needs to be done in this area. In particular I am committed in principle to making the existing homemaker's scheme effective from an earlier date than 1994 and replacing the disregards system with actual credits. These and other issues, including the cost and administrative implications involved, will be considered in the context of the second phase of the review of the qualifying conditions for old age contributory and retirement pensions which commenced recently.
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