Social Welfare Benefits.

Dáil Éireann Debate, Wednesday - 7 October 2009

Wednesday, 7 October 2009

Ceisteanna (230, 231, 232, 233, 234, 235, 236, 237, 238, 239)

Seymour Crawford

Ceist:

320 Deputy Seymour Crawford asked the Minister for Social and Family Affairs the number of farming families that have applied for farm assist to date in 2009; the number of which have been finalised; the average allocation per family, specifically in the case of an individual, a couple and a family where children are involved; if she is satisfied that the present serious collapse in farm income is being taken into account by all of her personnel; and if she will make a statement on the matter. [34934/09]

Freagraí scríofa

Minister for Social and Family Affairs (Deputy Mary Hanafin)

Since 1 January 2009 a total of 1,986 applications for farm assist have been received in the Department. Of these 1,191 have been awarded and are in payment. Fifty nine claims were disallowed and 736 are awaiting a decision on their application. Of the 1,191 claimants who were awarded farm assist this year, 522 have one or more children.

The total number of farm assist claims in payment at present is 8,383 and of these, 2,891 have children. The average weekly payment is €221.07.

The investigation of claims for farm assist is undertaken by Social Welfare Inspectors who are very experienced in relation to the assessment of farming means. They take into account the present downturn in the economy in estimating a farmer's likely income from farming in the coming year.

Any farmer who is dissatisfied with a decision given on their claim may appeal that decision to the independent Social Welfare Appeal Office.

In recent years changes have been made to farm assist which means that it is now easier for low income farmers to qualify for support under the scheme. For instance, in January of this year the rates of payment for the scheme were increased. Improvements in the method of assessing earnings from insurable employment were also introduced in September 2007 which provides further gains for families claiming farm assist, where either spouse is also in insurable employment.

Farm assist has brought about significant worthwhile improvements for low income farmers, particularly for those with children, making a valuable contribution to supporting those who are at the lower end of the farm income spectrum.

Bernard J. Durkan

Ceist:

321 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs if she will ease means testing criteria for applicants for social welfare payments who were previously self-employed but who now find themselves with no income and are being assessed on their previous employment; and if she will make a statement on the matter. [34942/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

The range of benefits and pensions to which different groups of workers may establish entitlement reflects the risks associated with the nature of their work. This in turn reflects the rate of contribution payable. Self-employed people are liable for PRSI at the Class S rate of 3% and are consequently eligible for a narrower range of benefits than general employees who, together with their employers, pay a total social insurance contribution of 14.05%, excluding levies, under the full-rate PRSI Class A. A system of separate arrangements for employed and self-employed workers within a social insurance context is common in other European social protection systems.

Self-employed workers who do not qualify for an insurance-based benefit may apply for the means-tested Jobseeker's Allowance if their business ceases or if they are on low income as a result of a downturn in the demand for their services. Generally, in assessing the means of a self-employed person, a Social Welfare Inspector will take into account the level of earnings in the preceding 12 months to determine their expected income in the following year. However, with the general downturn in the economy at present, it is accepted that earnings in the previous 12 months may not be representative of expected earnings in the coming year. The Social Welfare Inspector will take account of this fact in projecting future earnings.

There are no immediate plans to review the criteria for Jobseekers Allowance. Any such measure would have to be considered within a budgetary context.

Bernard J. Durkan

Ceist:

322 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs if it is intended to ease means testing criteria for rent allowance having particular regard to current economic climate; and if she will make a statement on the matter. [34943/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

Rent supplement is payable to people who are unable to meet the cost of renting private accommodation. The supplement is intended as a short-term income support to eligible tenants whose means are insufficient to meet their accommodation costs. There are currently nearly 90,800 people in receipt of rent supplement, an increase of 23% since the end of December 2008.

Rent supplement is subject to a means test which is normally calculated to ensure that, after payment of rent, an eligible person has income equal to the rate of basic supplementary welfare allowance appropriate to their family circumstances, less a minimum contribution, currently €24, which each recipient is required to pay from his or her own resources.

The assessment for the existing rent interest supplement provides for a gradual withdrawal of payment as hours of employment or earnings increase. Where a person, working up to 30 hours per week, has additional income in excess of the standard weekly rate of supplementary welfare allowance, the first €75 of such additional income together with 25% of any additional income above €75 is disregarded for means assessment purposes. This ensures that those returning to work or participating in training schemes are better off as a result of taking up such an opportunity. A person accepted as having a long term housing need under the Rental Accommodation Scheme (RAS) may engage in full time employment and still qualify for rent supplement, subject to standard means assessment rules.

In recent years, a significant number of people have come to rely on rent supplement for extended periods. Over 32,600 people are getting a supplement for 18 months or more. For this reason, the rent supplement scheme has to be viewed in the context of overall housing policy, particularly in the case of long-term recipients.

The Rental Accommodation Scheme (RAS), which was introduced in 2004, gives local authorities specific responsibility for meeting the longer term housing needs of people receiving rent supplement for 18 months or more. Details of these cases are notified regularly by the Department to the local authorities. Latest figures from the Department of the Environment, Heritage and Local Government (DoEHLG) indicate that to date, local authorities have transferred 22,400 people from rent supplement to RAS or social housing since 2005.

The fact that there almost 90,800 people are receiving rent supplement indicates that the scheme is meeting need to a significant extent. However, the rent supplement scheme, including the means testing criteria, will be kept under review. The Department will continue to work closely with the Department of the Environment, Heritage and Local Government in ensuring that RAS meets its objective of catering for those on long term rent supplementation while enabling rent supplement to return to its original role of a short-term income support and that local authorities are supported in providing a wide range of social housing supports for those with a long-term housing need.

Bernard J. Durkan

Ceist:

323 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs if her attention has been drawn to the concern expressed by parents here at the prospect of a reduction in child benefit payments; if she will give an assurance that no such proposal is in mind; and if she will make a statement on the matter. [34944/09]

Bernard J. Durkan

Ceist:

324 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs the steps she proposes to take to prevent hardship to families in the event of reduction of child benefit payments; and if she will make a statement on the matter. [34945/09]

Bernard J. Durkan

Ceist:

325 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs if her attention has been drawn to the potential hardship to families in the event of a reduction of child benefit; and if she will make a statement on the matter. [34946/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

I propose to take Questions Nos. 323 to 325, inclusive, together.

As the Deputy will be aware, the rates of child benefit have increased significantly since 2001 having trebled for the first two children and increased by over 185% for the third and subsequent children. Partly as a result of this and partly as a result of an increase in the number of eligible children, overall expenditure on child benefit grew from just under €965 million in 2001 to nearly €2.5 billion in 2008. The Government is proud to have been able to direct such substantial increases in financial support to all Irish families in recent years. However, given the scale of the current economic crisis, it is necessary to address all aspects of the public finances so as to ensure that they are sustainable and to ensure that fairness exists in the allocation of resources.

It is in this context that the Minister for Finance announced at the time of the Supplementary Budget in April 09 that the Government's intention to either subject child benefit to income tax or means-test it from 2010. To this end, the Minister asked the Commission on Taxation to consider the implications of taxing Child Benefit.

In their respective reports, both the Commission on Taxation and The Special Group on Public Service Numbers and Expenditure Programmes have put forward a wide range of proposals relating to my Department's schemes and services, including the child benefit scheme. While it is possible to achieve a more targeted approach through either the taxation or means testing of Child Benefit, these approaches have significantly differing implications for the practical implementation and the families involved. In their respective reports, both the Commission on Taxation and The Special Group on Public Service Numbers and Expenditure Programmes have put forward a wide range of proposals relating to my Department's schemes and services, including the child benefit scheme. While it is possible to achieve a more targeted approach through either the taxation or means testing of Child Benefit, these approaches have significantly differing implications for the practical implementation and the families involved. Issues regarding the definition of income, the implications for low income families and the impact on poverty traps need to be examined. The Government is now considering these proposals and implications will be mindful of the needs of families, particularly those on lower incomes when deciding on the various options in the forthcoming Budget.

Bernard J. Durkan

Ceist:

326 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs the average time taken to process applications for retirement, old age and widowers pensions; the way this compares with the past five years; and if she will make a statement on the matter. [34947/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

The Department is committed to ensuring that claims are processed as expeditiously as possible having regard to the eligibility conditions that apply to each scheme. Over the past number of years a range of initiatives aimed at streamlining the processing of claims, supported by modern technology, have been implemented in the pension scheme area in Sligo. Significant improvements have been achieved in claim processing times and backlogs have been eliminated. Operational processes and procedures and the organisation of work are continually reviewed to ensure that processing capability is maximised.

From January 2009, new processing targets, based on processing 90% of claims, were introduced for all schemes. The processing targets and average performance achieved to August 2009 for State Pension Contributory (SPC), State Pension Non Contributory (SPNC), State Pension Transition (SPT), Widow(er)'s Contributory Pensions (WCP) and Widow(er)'s Non Contributory Pension (WNCP) schemes are given in the following table.

While direct comparisons with previous years is not possible due to the new processing targets introduced by my Department, I can assure the Deputy that pension entitlements are being delivered promptly to customers.

Scheme	Processing Target	Performance (average monthly) to August 2009
State Pension Contributory	90% by entitlement date	91% achieved
State Pension Non Contributory	90% within 10 weeks	73% achieved
State Pension Transition	90% within 6 weeks	87% achieved
Widow(er)’s Contributory Pension	90% within 6 weeks	89% achieved
Widow(er)’s Non Contributory Pension	90% within 10 weeks	66% achieved

Bernard J. Durkan

Ceist:

327 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs the number of applications for jobseeker’s allowance or unemployment benefit received on a monthly basis in the past 24 months to date in 2009; the number approved, rejected or pending monthly throughout the period to date; and if she will make a statement on the matter. [34948/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

The information requested by the deputy is attached in tabular format at Appendix A for jobseekers benefit and Appendix B for jobseekers allowance. Details regarding the numbers of JA and JB claims rejected and pending can only be provided from January 2008 onwards, as data for periods prior to this date is not available.

I assure the Deputy that every effort is being made to process claims as quickly as possible.

Appendix A

JB 2009	Total Registered	Total Awarded	Total Rejected	Pending Month End
Jan	45,779	32,329	688	29,639
Feb	37,278	29,427	607	31,296
Mar	34,733	32,130	714	27,683
Apr	33,205	27,959	649	27,819
May	27,771	26,047	622	24,700
Jun	34,724	25,623	578	29,526
Jul	30,531	29,834	553	25,350
Aug	22,801	23,062	527	21,539
Sep	25,187	25,745	680	16,644
Totals	292,009	252,156	5,618

JB 2008	Total Registered	Total Awarded	Total Rejected	Pending Month End
Jan	25,685	20,707	578	12,292
Feb	20,469	17,851	592	11,470
Mar	20,502	13,549	540	15,797
Apr	18,275	19,272	622	11,244
May	19,084	15,275	510	12,106
Jun	27,200	17,426	476	18,776
Jul	27,413	24,772	590	17584
Aug	20,310	18,014	470	16941
Sep	24,441	20,776	573	16,910
Oct	29,899	22,217	1,050	19,602
Nov	29,911	28,025	667	16,525
Dec	31,691	23,587	465	21,071
Totals	294,880	24,1471	7,133

JB 2007	Total Registered	Total Awarded	Rejected	Pending Month End
Oct	12,608	11,927	N/Avail	N/Avail
Nov	18,340	15,543	N/Avail	N/Avail
Dec	13,549	10,067	N/Avail	N/Avail

Appendix B

JA 2009	Total Registered	Total Awarded	Total Rejected	Pending Month End
Jan	23,101	9,932	1,215	32,611
Feb	20,184	9,684	1,611	37,788
Mar	20,290	12,516	1,891	38,810
Apr	18,830	11,625	1,648	40,005
May	22,723	13,014	1,581	43,140
Jun	28,205	15,779	1,862	48,953
Jul	26,543	17,973	2,243	49,155
Aug	20,815	15,590	2,031	47,471
Sep	24,566	17,922	2,373	45,337
Totals	20,5257	12,4035	16,455

JA 2008	Total Registered	Total Awarded	Total Rejected	Pending Month End
Jan	13,398	6,950	966	12,656
Feb	11,770	7,161	1,181	13,005
Mar	10,042	5,263	958	14,332
Apr	11,339	7,140	1,382	13,863
May	12,253	6,662	1,244	15,087
Jun	15,279	7,898	979	18,444
Jul	16,771	9,953	1,396	20,151
Aug	13,037	7,898	1,061	20,982
Sep	16,252	9,390	1,417	22,162
Oct	17,453	10,100	1,339	23,632
Nov	17,578	10,721	1,339	24,903
Dec	14,707	10,386	1,299	24,529
Totals	169,879	99,522	14,561

JA 2007	Total Registered	Total Awarded	Rejected	Pending Month End
Oct	9,266	7,253	N/Avail	N/Avail
Nov	11,932	7,991	N/Avail	N/Avail
Dec	6,938	5,238	N/Avail	N/Avail

Bernard J. Durkan

Ceist:

328 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs the number of application for carer’s allowance refused in the past six months; the way this compares with the previous two year period; and if she will make a statement on the matter. [34949/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

Entitlement to carer's allowance is based on an applicant satisfying medical, means and residency conditions.

A total of 13,090 new applications for Carer's Allowance have been received this year to date (week end 2 October 2009). A total of 18,097 claims were received in 2007. 1,603 claims were refused in 2007. A total of 18, 928 claims were received in 2008. 2,895 claims were refused in 2008.

The information requested by the Deputy is in tabular format as follows:

No. of claims received and refused April – Sept during the years 2007-2009

Period	Carer’s Allowance claims received	Carer’s Allowance claims refused
April 07 – Sept 07	7,688	907
April 08 – Sept 08	10,286	1,465
April 09 – Sept 09	8,218	2,773

Bernard J. Durkan

Ceist:

329 Deputy Bernard J. Durkan asked the Minister for Social and Family Affairs the number of carer’s allowance or part carer’s allowance currently under review; and if she will make a statement on the matter. [34950/09]

Minister for Social and Family Affairs (Deputy Mary Hanafin)

Entitlement to carer's allowance is based on an applicant satisfying medical, means and residency conditions.

A total of 13,090 new applications for Carer's Allowance have been received this year to date (week end 2 October 2009). There are currently 2,175 applications for Carer's Allowance waiting decision. It is at decision stage when the Deciding Officer decides whether a person will be awarded full rate Carer's Allowance or half rate Carer's Allowance depending on their circumstances at that time. The average time to decide a claim for carer's allowance is currently 9.4 weeks. The processing target for Carer's Allowance is 90% of claims decided within 12 weeks. The figure achieved for the month of September 2009 was 80% of claims decided within 12 weeks. In determining entitlement to the allowance there are, in certain cases, unavoidable time lags involved in making the necessary investigations and enquiries to enable accurate decisions to be made. Delays can also arise if people applying for the allowance are not in a position to supply all the necessary information in support of their claim. Many applicants for carer's allowance are already in receipt of another social welfare payment while their claim is being processed.

The staff and other resources available to the Department are regularly reviewed having regard to the workload arising and other competing demands. The Department monitors available resources against workload on an ongoing basis with a view to ensuring optimum processing times for claims.