I propose to take Questions Nos. 82, 108, 204 and 205 together.
Supporting carers in our society has been a priority of the Government since 1997. Over that period weekly payment rates to carers have been greatly increased, qualifying conditions for carer's allowance have been significantly eased, coverage of the scheme has been extended and new schemes such as carer's benefit and the respite care grant have been introduced. The 2004 Estimates provide for expenditure of over €203.8 million on the carer's allowance scheme and €8.5 million on the carer's benefit scheme. This represents a combined increase of over 11.6% on last year's expenditure on carer's payments.
The primary objective of the carer's allowance is to provide income support to low income carers. In line with other social assistance schemes, the means test is applied to the carer's allowance so as to ensure that limited resources are directed to those in greatest need. The means test applied to the allowance has been eased significantly in the past few years, most notably with the introduction of disregards of spouse's earnings. In April 2004 the weekly income disregards increased to €250 for a single carer and to €500 for a couple.
The effect of this increase, for example, ensures that a couple with two children, earning a joint annual income of up to €29,328 can qualify for the maximum rate of carer's allowance, while the same couple, if they had an income of €46,384 could still qualify for the minimum carer's allowance, the free schemes and the respite care grant. As average industrial earnings in December 2003 were approximately €29,100 per annum, good progress is being made towards the commitment in the programme for Government that all persons on average industrial earnings will be able to qualify for the carer's allowance.
The complete abolition of the means test would have substantial cost implications. It is estimated, based on available data, that abolition of the means test could cost in the region of €160 million per annum. This estimate should be taken as an order of magnitude given the difficulties in costing such a proposal. It is debatable whether this proposal could be considered to be the best use of resources. The views of some support and health organisations, for example, is that if resources of this scale were available, it would be more beneficial to carers to invest in the type of community care services which would support them in their caring role, such as additional respite care facilities.
Government policy is strongly in favour of supporting care in the community and enabling people to remain in their own homes for as long as possible. The development of the range of supports for carers will continue to be a priority for this 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 the people involved.
Proposals involving additional expenditure will be considered in the context of the forthcoming budget. As part of this process my Department is currently undertaking an internal review of the carer's allowance and carer's benefit schemes, taking account of the issues that have been raised in many fora. In addition to examining all the pre-budget submissions sent to me, including that of Caring for Carers Ireland, I am also engaged in meeting a wide variety of community and voluntary groups, including carers' representative groups, to hear their concerns.