Vol. 575 No. 1
233 Mr. R. Bruton asked the Minister for Social and Family Affairs the changes she is making in the terms of eligibility for supplementary allowance in the Estimates for 2004; and the details of the main supports which will apply. [27957/03]
The Abridged Estimates volume for 2004 reflect eight policy measures, which I have outlined below, in the supplementary welfare allowance scheme which is administered on behalf of my Department by the health boards.
The main supports under the supplementary welfare allowance scheme will continue to apply in 2004, subject to these measures. A total of more than €637 million is provided in the estimates for SWA in 2004, an increase of more than €72 million or 11% on the 2003 provision.
The main supports under the supplementary allowance scheme are basic supplementary welfare allowance, rent supplements, mortgage interest supplement, diet or heating supplement.
The first measure relates to the contribution to rent to be made by recipients of rent supplement from their own resources. The rate of the minimum contribution is to be increased from €12 to €13 per week. This will maintain the rate of the minimum contribution at approximately 10% of the basic personal rate of supplementary welfare allowance.
The second measure relates to people in full-time employment. With the exception of those participating in approved employment schemes people engaged in full-time employment are excluded from receiving supplementary welfare allowance. This has been a feature of the scheme since it was established in 1977.
Explicit provision will be made to exclude the spouse or partner of a person in full-time employment from receipt of supplementary welfare allowance. This measure will give effect to the original intention that supplementary welfare allowance should not be paid in households with full-time open market employment.
The third measure relates to people wishing to become tenants with the support of rent supplement. In general, with provisions for exceptions for the homeless, people who are at risk of becoming homeless and other vulnerable people, such as the elderly and people with disabilities, rent supplement will no longer be payable in cases where the applicant has not been residing in rented accommodation for a period of a least six months. The purpose of SWA rent supplement, like other social welfare programmes, is to meet income maintenance needs where people are unable to meet their accommodation costs. Meeting the housing needs more generally is a matter for the housing authorities through various social housing programmes and otherwise.
The fourth measure relates to ensuring that people on rent supplement are assessed for housing by the local authority. Currently a health board may, at its discretion, refer an applicant for rent supplement to the local authority for an assessment of his or her housing needs. In future, applicants for rent supplement will be referred to the local authority on a more systematic basis for an assessment of his or her housing needs. My intention is that, ultimately, local authorities will determine in all cases whether the "in need of accommodation" condition is met.
234 Mr. R. Bruton asked the Minister for Social and Family Affairs the changes she is proposing in the terms of the back to education allowance and in the back to work allowance; and the details of the schemes which will apply in 2004. [27958/03]
The back to education allowance is a second chance education opportunities programme designed to encourage and facilitate certain groups who are receiving social welfare payments to improve their skills and qualifications and, therefore, their prospects of returning to the active work force.
At present, to qualify for participation an applicant must be, inter alia, in receipt of a relevant social welfare payment for at least six months – 156 days. The qualifying period will be increased from six months – 156 days – to 15 months – 390 days – for new applicants intending to commence third level courses of study, with effect from September 2004. The qualifying condition will remain at six months – 156 days – for people who wish to pursue a second level qualification. Time spent pursuing a second level course with the assistance of the back to education scheme will count towards meeting the 15-months qualification condition for the third level option.
I have decided to restructure the back to education allowance in this way to ensure that this support retains its focus on the more vulnerable groups in our community, particularly people who do not have a second level education qualification and who are at risk of becoming dependent on social welfare payments on a long-term basis. I want to ensure that available resources are aimed at those in greatest need of an intervention to prevent them from drifting into long-term unemployment. This change recognises the more urgent need for intervention in the case of people who have not completed formal second level education.
It is vital that my Department's employment support services retain their relevance to current employment and economic conditions and continue to focus on the most vulnerable groups.
235 Mr. R. Bruton asked the Minister for Social and Family Affairs the extra benefits which she makes available to carers over and above the basic income allowance. [27972/03]
236 Mr. R. Bruton asked the Minister for Social and Family Affairs the terms of the means test for carers; and if she has made provision for changes in this means test in 2004. [27973/03]
I propose to take Questions Nos. 235 and 236 together.
The carer's allowance is a social assistance payment which provides income support to people who are providing certain elderly and incapacitated persons with full-time care and attention and whose incomes fall below a certain limit.
Provision has been made in successive budgets for substantial increases in the means disregards for this scheme. In April 2003, the weekly income disregards increased to €210 for a single carer and to €420 for a couple. The effect of this increase is that a couple with two children, earning a joint income of up to €24,150, can qualify for the maximum rate of carer's allowance. The same couple, if they had an income of €39,750, could still qualify for partial carer's allowance.
On other benefits available to carers, the carer's benefit scheme was introduced in October 2000. This scheme provides financial support based on a person's PRSI contributions. It is not means-tested. Carer's leave, which was introduced in July 2001, allows carers to avail of a job-protected leave of absence for a period of up to 15 months. Carer's allowance recipients who are caring for more than one incapacitated person are entitled to an additional 50% of their rate of payment.
An annual respite grant was introduced in 1999. It is payable to recipients of carer's allowance and carer's benefit. The grant is a contribution towards respite care to be used as the recipients wish. The grant increased to €735 in 2003 and carers caring for more than one person receive a double respite care grant of €1,470.
Carer's allowance recipients also qualify for the free schemes. This is a major additional benefit covering free travel and the household benefits package. The back to work allowance, back to education allowance and community employment schemes are available to carers when they cease caring. The question of any further change in provision for carers would be a matter for consideration in a budgetary context.
237 Mr. R. Bruton asked the Minister for Social and Family Affairs the ceilings on supplementary welfare allowances for rent or mortgage interest for different family units which apply in the different health boards; if she has made provision in her Estimates to allow these limits to be increased in 2004; and if so the increase which has been provided for. [27975/03]
Under the terms of the supplementary welfare allowance scheme, which is administered on behalf of my Department by the health boards, payment of a weekly or monthly supplement may be made in respect of rent or mortgage interest to eligible people in the State whose means are insufficient to meet their accommodation needs.
One of the conditions for receipt of rent supplement relates to the amount of rent a person may incur. Each health board sets a limit on the amount of rent that an applicant for rent supplement may incur, taking the household size and other relevant circumstances into account. This is to ensure that the rent is reasonable and that the health board is not subsidising the cost of overly large or overly expensive accommodation.
As the Deputy will be aware, I introduced regulations in 2002 which provided for holding the maximum rent levels until the end of December 2003 at the values set by the health boards at that time. I will arrange for a copy of this regulation which outlines the individual limits that currently apply in each health board to be forwarded to the Deputy.
The legislation governing the payment of rent supplements continues to provide the health boards with discretion to deal with exceptional cases. To date my Department has been notified of some 900 instances where the health board availed of this discretion in dealing with cases involving rents which exceed the prescribed limits.
The issue of the maximum rent levels that will apply in 2004 is still under consideration. A decision will be taken in the near future following consideration of the exceptional cases as notified by the health boards, updated information from the Central Statistics Office on rent levels in the private rented sector and submissions which have been received from the health boards.
More than €637 million has been provided in the 2004 Estimates for total expenditure on SWA, including rent supplements. This is more than 11% higher than the current year's budget to cater for increased numbers of recipients and other factors that affect total expenditure. No specific provision was made in the Estimates for any increase in the existing maximum rent levels.
238 Mr. R. Bruton asked the Minister for Social and Family Affairs if she has made provision for changes in the savings disregards and thresholds in calculating means or in the value of house disposal disregarded in calculating eligibility for non-contributory old age pension; and the values that apply in each case. [27976/03]
In assessing means for social assistance purposes, account is taken of any cash income the person may have, together with the value of capital and property. For the purposes of assessing the value of capital and property a notional assessment method is used. The use of the notional method avoids the necessity of frequent reviews of the entitlements of a significant number of recipients whenever interest rates fluctuate or whenever the capital is moved from one investment option into another.
The Social Welfare Act 2000 provided for the introduction of a new assessment method for capital and property for social assistance schemes including old age non-contributory pension. Under these arrangements, the first €12,697.38 of capital is disregarded and the assessment is on a sliding scale for amounts above this. At present a single pensioner with capital of up to €20,315.80 qualifies for a full pension while a single pensioner with capital of up to €66,026.37 qualifies for a minimum pension. These amounts are doubled for pensioner couples.
On the assessment of means from the sale of a residence, there are provisions to enable a person aged 66 or over who is in receipt of a means-tested payment from the Department to sell his/her principal residence and either buy or rent alternative accommodation or move into a private nursing home. Under these provisions, the balance of the gross proceeds from the sale of the principal residence is exempted from the means test, subject to a ceiling of €190,461. These provisions were extended in recent years to include pensioners who sell their principal residence to move in with a person who is receiving carer's allowance or benefit for providing full-time care for them and also to those who move into sheltered or special housing in the voluntary, co-operative, statutory or private sectors following the sale of their principal residence.
Any changes to the current method of assessment of capital and property would have financial implications and could only be considered in a budgetary context.
239 Mr. R. Bruton asked the Minister for Social and Family Affairs the secondary benefits available to families who qualify for family income supplement. [27978/03]
Family income supplement, FIS, is designed to provide income support for employees with families on low earnings and thereby protect the incentive to remain in employment in circumstances where the employee might only be marginally better off than if s/he were claiming other social welfare payments.
240 Mr. Morgan asked the Minister for Social and Family Affairs if rent supplement is a housing support measure for those who have difficulty accessing housing within their means in the private rented sector; if not, the purpose thereof; and if she will make a statement on the matter. [28001/03]
Under the terms of the supplementary welfare allowance scheme, which is administered on behalf of my Department by the health boards, payment of a weekly or monthly supplement may be made in respect of rent to eligible people in the State whose means are insufficient to meet their needs, after they have paid for the accommodation.
