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Dáil Éireann díospóireacht -
Tuesday, 26 Feb 2002

Vol. 549 No. 3

Written Answers. - Social Welfare Benefits.

Nora Owen

Ceist:

52 Mrs. Owen asked the Minister for Social, Community and Family Affairs his views on the current application of the cohabitation rule to lone parents in view of the recent recommendations made by the NESF's report No. 20; and if he will make a statement on the matter. [6309/02]

The one parent family payment is my Department's main income support payment for lone parents. It is designed to provide income maintenance to those parents who are bringing up their children without the support of a partner. Clearly, a payment which is based on the contingency of lone parenthood cannot continue where the person marries or cohabits.

The social welfare system, in general, is contingency based and also assumes that there are economies of scale where two people are married or cohabiting. In the circumstances, under the current system a reduction in income may occur where a person changes status from being a lone parent to one where he or she marries or cohabits. Where both of a couple are welfare recipients the losses are, to some extent, eased by the payment of the qualified adult allowance.

This issue was examined in detail in a number of reports in recent years including the report of the working group examining the treatment of married, cohabiting and one-parent families under the tax and social welfare codes, 1999, and the review of the one-parent family payment, 2000. In neither case was a solution to the problem put forward with the contingency nature of the social welfare system as a whole identified as one of the major obstacles to a resolution.

The National Economic and Social Forum in its recent report on lone parents also examined the issue and, while it made no definite recommendations, it has put forward some suggestions for further consideration. Generally speaking, its main suggestion revolves around giving lone parents who marry or cohabit access to the unemployment assistance scheme so that they may retain a full personal payment. A household means test would still apply and the unemployment assistance scheme would be amended to exempt parents from the requirement to actively seek work until their youngest child was five years of age, with a part-time work requirement applying until the child was 12 years of age.
The view of the National Economic and Social Forum is that the system should have a much broader application with all qualified adults opting for this conditionally if they wish to receive a full personal rate and work tests also applying to those who remain as lone parents.
Another suggestion made involves transitional arrangements whereby one-parent family payment recipients could retain a full payment for a period after they marry or commence cohabiting. The option of paying a lump sum is also explored. The National Economic and Social Forum acknowledges that such arrangements would be difficult to administer, may also create other disincentives and may place other couples at a disadvantage compared to those couples who would benefit from such arrangements.
The National Economic and Social Forum suggestions are welcome as a contribution to policy discussion in this area. However, because of the fundamental changes envisaged for the social welfare system and the general principle underlying the changes, I consider it is appropriate that the recommendations should be examined further before any decision is made in regard to implementation.

Liz McManus

Ceist:

53 Ms McManus asked the Minister for Social, Community and Family Affairs when he expects to receive a report from the consultants (details supplied) on the strategic issues involved in the financing of long-term care; and if he will make a statement on the matter. [6607/02]

Bernard J. Durkan

Ceist:

56 Mr. Durkan asked the Minister for Social, Community and Family Affairs if he will review the carer's allowance to evaluate its impact in a changing society and to cater for a much wider customer base; and if he will make a statement on the matter. [6633/02]

Seán Ryan

Ceist:

76 Mr. S. Ryan asked the Minister for Social, Community and Family Affairs the number of recipients of carer's allowance; and the numbers of applicants in 2001 who were successful and the number who were unsuccessful. [6621/02]

Seán Ryan

Ceist:

85 Mr. S. Ryan asked the Minister for Social, Community and Family Affairs his plans to introduce a cost of caring benefit. [6622/02]

Jim O'Keeffe

Ceist:

86 Mr. J. O'Keeffe asked the Minister for Social, Community and Family Affairs his views on the fact that most carers receive little or no support under the carer's allowance scheme; and his proposals in this regard. [6652/02]

Bernard J. Durkan

Ceist:

329 Mr. Durkan asked the Minister for Social, Community and Family Affairs the number of carers in receipt of a carer's allowance; the number of applications for payment which have been refused; the number of carers as identified by the voluntary agencies; and if he will make a statement on the matter. [6894/02]

I propose to take Questions Nos. 53, 56, 76, 85, 86 and 329 together.

The most recent estimate of the number of full-time carers is available from the results of the census pilot survey carried out by the Central Statistics Office. This survey was carried out in September 1999 and is based on a sample of 8,000 households in which persons aged 15 years or over were asked if they provided unpaid personal help for someone with a long-term illness, health problem or disability, including problems due to old age.

The detailed results are as follows: 35,000 people provide more than 50 hours unpaid personal help per week, or seven hours per day; 17,000 people provide 20-49 hours unpaid personal help per week, or between three and seven hours per day; and 79,000 people provide one to 19 hours unpaid personal help per week, or between nine minutes and 2.5 hours per day.

These results are consistent with the conclusions of the review of the carer's allowance and it also explains the estimate of 120,000 carers used by the carer organisations. I have asked the Central Statistics Office to consider undertaking a detailed analysis of hours spent caring when conducting the census this year.

There are currently over 19,000 carers in receipt of carer's allowance which means that over 36 % of the 52,000 carers, as estimated by the CSO to be caring for more than three hours per day, are in receipt of carer's allowance. This is an increase of over 106% in the number of carers in receipt of the allowance since the Government took office and it should also be noted that the expected increase of another 3,400 carers following the increases in income disregards, which will become effective from this April, will increase this percentage to over 42% of all carers who are providing more than three hours care per day.

The level of payment for these carers has increased by €48.28, 54%, for those over 66 and by €33.08, 37%, for those under 66 over the last five budgets. In addition, people on carer's allowance now qualify for the full range of free schemes in addition to the annual respite care grant which will increase to €635 from June this year. Carers caring for more than one person will receive a double respite care grant of €1,270.

With regard to last year's figures, carer's allowances were awarded to 5,186 carers and 4,171 applications were unsuccessful. In addition, 254 people who applied for a carer's allowance during 2001 subsequently withdrew their applications.
In relation to reviewing the carer's allowance scheme further, the review of the carer's allowance, which I have already mentioned, was undertaken as part of the Government's commitment to carers, as set out in its Action Programme for the Millennium. The review was completed by an inter-departmental committee, chaired by my Department and published in October 1998. Arising from proposals in the review, a range of measures has been introduced over the last five budgets to improve and develop the position of carers.
The recently published health strategy proposes to reform existing arrangements, including the carer's allowance, in order to introduce an integrated care subvention scheme which maximises support for home care. The Department of Health and Children has begun to work with my own Department to develop proposals in this area. In addition, the strategy proposes that a co-ordinated action plan to meet the needs of ageing and older people be developed by the Department of Health and Children in conjunction with my Department, the Department of Public Enterprise and the Department of the Environment and Local Government. This wider approach is the most appropriate way to proceed.
In addition, I expect that the study examining issues relating to the financing of long-term care, which is being carried out by Mercer Limited, will be published shortly after Easter. As the Deputies are aware, the study is being undertaken in consultation with the Department of Health and Children and the Department of Finance and any policy proposals arising from the report will be developed in conjunction with these Departments as part of the Government's cross-cutting approach to care issues. Publication of the report has been delayed due to the extensive consultation which has taken place with these Departments. This has taken longer than originally anticipated as did the comprehensive level of research undertaken by the consultants for the report.
In relation to the cost of caring benefit mentioned by the Deputy, the review of the carer's allowance examined the issue of a cost of care allowance and considered it to be within the remit of the Department of Health and Children. The estimated cost of introducing a weekly universal cost of care allowance of €50 would be in the region of €135 million annually, based on the current estimate of full-time carers – 52,000.
The development of the range of supports for carers will continue to be a priority for the Government and, building on the foundations now in place, we will continue to develop the types of services which recognise the value of the caring ethos and which provide real support and practical assistance to people who devote their time to improving the quality of life for others.
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