Written Answers Nos. 539-557
539. Deputy Thomas Pringle asked the Minister for Children and Youth Affairs when the Adoption (Information and Tracing) Bill 2016 will progress; and when it is likely to reach Dáil Éireann; and if she will make a statement on the matter. [48970/17]
Amharc ar fhreagraThe Adoption (Information and Tracing) Bill 2016 provides for the first time a statutory entitlement to identity information for adopted persons. It provides for a structured and regulated access to information and tracing services for those affected by adoption. It sets out the information that can be provided and the circumstances in which it can be provided to adopted persons. A key provision in the Bill provides that an adopted person aged 18 years or over who was adopted prior to commencement of the Bill will be provided with the information required to apply for his or her birth certificate, subject to certain conditions. The Bill also provides for access to relevant records containing the information concerned that are held by the Authority. The Bill passed Second Stage in Seanad Eireann in May 2017. The Bill is a priority and will proceed to Committee Stage in the Seanad as soon as possible.
540. Deputy Anne Rabbitte asked the Minister for Children and Youth Affairs the budget allocated to the access and inclusion model of early education and child care provision under each of the levels four to seven of this scheme annually since its introduction to date in 2017; the amounts allocated under these levels, in tabular form; the amounts drawn down for 2016 and 2017 on a quarterly basis respectively; the number of children in each county who have benefitted from funding under each of these four levels to date in 2017; the areas of support in which this funding under each of the four headings has been applied; and if she will make a statement on the matter. [49045/17]
Amharc ar fhreagraAIM supports children with disabilities to reap the full benefits of free pre-school education. Its goal is to empower pre-school providers to deliver an inclusive pre-school experience. AIM is a child-centred and evidence-based model, involving seven levels of progressive support, moving from the universal to the targeted, based on the needs of the child and the pre-school setting.
Where a pre-school provider, in conjunction with a parent, considers that some additional support is needed in order to meet the needs of a child with a disability in an inclusive way, an application can be made for a suite of targeted supports, namely:
Level 4: Expert Early Years Educational Advice and Support
This level provides access to mentoring for early years practitioners from a team of dedicated Early Years Specialists. To avail of this support, pre-school providers and parents are requested to complete an online Access and Inclusion Profile. This looks at the strengths, abilities and needs of the child, as well as the strengths and needs of the pre-school setting.
Level 5: Equipment, Appliances and Minor Alterations Capital Grants
This level provides for access to specialised equipment, appliances, assistive technology and/or minor alterations capital grants for early years settings to ensure children with a disability can participate in the ECCE programme. A short report from a designated professional is required confirming that the specialised equipment or minor building alterations are necessary.
Level 6: Therapeutic Intervention
This level provides access to therapeutic services where they are critical to enable the child to be enrolled and to fully participate in the ECCE Programme. To avail of this support, pre-school providers and parents are requested to complete the online Access and Inclusion Profile. The Early Years Specialist will review the profile and, where therapeutic input is likely to be required; the Specialist will initiate contact with the HSE. The HSE decides on the appropriate level of therapeutic intervention.
Level 7: Additional Assistance in the Pre-School Room
This level provides additional assistance in the pre-school room where this is critical to ensuring a child’s participation in the ECCE Programme. It is estimated that pre-school providers may need Level 7 in the case of approximately 1% to 1.5% of all children. In line with emerging best practice to support the integration and independence of children with a disability, AIM does not fund Special Needs Assistants (SNAs). Rather, it provides financial support to the pre-school provider, which can be used either to reduce the adult to child ratio in the pre-school room or to buy in additional assistance to the pre-school room. Accordingly, Level 7 assistance is a shared resource for the pre-school setting.
AIM was launched in June 2016. The total funding allocated and outturn in 2016 and 2017 to levels 4, 5 and 7 of AIM by my Department is set out in the table. Funding for AIM Level 6 comes from the Department of Health Vote.
The Inter-Department Group, which developed AIM, recognised that it would take approximately three years to fully develop and implement the Model. It is expected that demand for all levels of support under AIM will increase in years 2 and 3 and the budget available for AIM makes provision for this.
|
Level |
Element of Model |
Allocation 2016 (m*) |
Outturn 2016 (m*) |
Allocation 2017(m*) |
Outturn (to date) 2017(m*) |
|
4. |
Expert Early Years Educational Advice and Support |
5.40 |
10.10 |
||
|
First Quarter |
1.028 |
2.8 |
|||
|
Second Quarter |
1.028 |
1.617 |
|||
|
Third Quarter |
0.914 |
Nil |
|||
|
Fourth Quarter |
1.26 |
Nil |
|||
|
5. |
Equipment, Appliances and Minor Alterations Grants and application process |
1.61 |
2.50 |
||
|
First Quarter |
Nil |
0.1 |
|||
|
Second Quarter |
Nil |
0.2 |
|||
|
Third Quarter |
0.120 |
0.21 |
|||
|
Fourth Quarter |
Nil |
0.1 |
|||
|
6. |
Therapeutic Intervention |
- |
- |
- |
- |
|
7. |
Additional Assistance in the Pre-School Room and Application Process |
5.43 |
14.10 |
||
|
First Quarter |
Nil |
2.973 |
|||
|
Second Quarter |
Nil |
Nil |
|||
|
Third Quarter |
0.546 |
1.829 |
|||
|
Fourth Quarter |
1.279 |
2.9 |
*Figures rounded to the nearest thousand.
The number of children in each county who have benefitted from supports under AIM Levels 4, 5 and 7 for the 2016 and 2017 ECCE programme years is shown in the following tables.
Number of Children receiving AIM support in ECCE 2016
|
County |
Level 4 |
Level 5 equipment |
Level 5 alterations |
Level 7 |
|
Carlow |
31 |
3 |
14 |
|
|
Cavan |
54 |
12 |
31 |
|
|
Clare |
104 |
7 |
1 |
71 |
|
Cork |
343 |
36 |
2 |
217 |
|
Donegal |
113 |
12 |
6 |
71 |
|
Dublin |
505 |
33 |
5 |
246 |
|
Galway |
121 |
13 |
2 |
82 |
|
Kerry |
93 |
19 |
7 |
63 |
|
Kildare |
111 |
14 |
2 |
59 |
|
Kilkenny |
35 |
7 |
1 |
20 |
|
Laois |
59 |
9 |
1 |
36 |
|
Leitrim |
15 |
4 |
2 |
8 |
|
Limerick |
134 |
10 |
3 |
91 |
|
Longford |
29 |
2 |
13 |
|
|
Louth |
79 |
9 |
1 |
41 |
|
Mayo |
53 |
7 |
31 |
|
|
Meath |
96 |
17 |
2 |
46 |
|
Monaghan |
28 |
5 |
23 |
|
|
Offaly |
41 |
7 |
31 |
|
|
Roscommon |
32 |
2 |
18 |
|
|
Sligo |
21 |
8 |
16 |
|
|
Tipperary |
91 |
11 |
2 |
58 |
|
Waterford |
53 |
7 |
1 |
31 |
|
Westmeath |
44 |
5 |
19 |
|
|
Wexford |
88 |
2 |
1 |
51 |
|
Wicklow |
50 |
5 |
1 |
26 |
|
county not known |
18 |
Number of Children receiving AIM support in ECCE 2017 as at 14 November 2017
|
County |
level 4 |
level 5 equipment |
level 5 alterations |
level 7 |
|
Carlow |
19 |
16 |
||
|
Cavan |
22 |
3 |
1 |
24 |
|
Clare |
60 |
4 |
2 |
50 |
|
Cork |
183 |
24 |
6 |
170 |
|
Donegal |
54 |
8 |
1 |
47 |
|
Dublin |
260 |
13 |
200 |
|
|
Galway |
67 |
4 |
56 |
|
|
Kerry |
65 |
3 |
44 |
|
|
Kildare |
67 |
6 |
44 |
|
|
Kilkenny |
23 |
4 |
18 |
|
|
Laois |
36 |
5 |
1 |
22 |
|
Leitrim |
6 |
1 |
1 |
8 |
|
Limerick |
78 |
9 |
1 |
71 |
|
Longford |
10 |
9 |
||
|
Louth |
47 |
2 |
34 |
|
|
Mayo |
38 |
2 |
35 |
|
|
Meath |
75 |
11 |
3 |
61 |
|
Monaghan |
15 |
1 |
17 |
|
|
Offaly |
25 |
2 |
24 |
|
|
Roscommon |
28 |
2 |
17 |
|
|
Sligo |
16 |
5 |
1 |
14 |
|
Tipperary |
54 |
1 |
1 |
47 |
|
Waterford |
32 |
1 |
27 |
|
|
Westmeath |
21 |
14 |
||
|
Wexford |
52 |
1 |
1 |
32 |
|
Wicklow |
32 |
4 |
29 |
541. Deputy Richard Boyd Barrett asked the Minister for Children and Youth Affairs the way in which a court order relating to psychological assessments will be carried out in respect of a person (details supplied); and if she will make a statement on the matter. [49057/17]
Amharc ar fhreagraAs this is an operational matter for Tusla, I have asked that they respond directly to the Deputy on this matter.
542. Deputy Jonathan O'Brien asked the Minister for Children and Youth Affairs the domain names registered to or owned by her department or through a third party company. [49065/17]
Amharc ar fhreagraThe following is the list of domain names registered to the Department of Children and Youth Affairs.
|
www.dcya.ie |
www.ministerforchildren.ie |
www.officeoftheministerforchildren.ie |
|
www.hubnanog.ie |
www.hubnanóg.ie |
www.dailnanog.ie |
|
www.childrenyouth.ie |
www.omcya.ie |
www.specialneedspreschool.ie |
|
www.comhairlenanog.ie |
www.equalstart.ie |
www.childrensdatabase.ie |
|
www.preschoolaccess.ie |
www.freepreschooldisabilitysupports.gov.ie |
www.childlawproject.ie |
|
www.affordablechildcare.ie |
www.growingup.ie |
www.esri.ie/growing-up-in-ireland |
543. Deputy Mattie McGrath asked the Minister for Children and Youth Affairs the average costs associated with processing and answering written and oral parliamentary questions; and if she will make a statement on the matter. [49118/17]
Amharc ar fhreagraThe time and effort involved answering Parliamentary Questions can vary considerably according to the nature of the question asked. No staff in my Department are assigned full time to dealing with Parliamentary Questions. The number and level of staff, and the time spent on individual replies, depends on the complexity and urgency of the issues raised, the ease of access to the required information, and the degree of cross-Divisional co-ordination required in preparing the reply.
I have responded to 1,674 Parliamentary Questions to date for 2017. Undoubtedly, a considerable amount of time is spent answering these questions. However, it is not possible to quantify the cost for the reasons outlined above.
544. Deputy Jonathan O'Brien asked the Minister for Children and Youth Affairs if her attention has been drawn to a premises owned and operated by Tusla or planned by Tusla in the Seanacloc Tower area of County Cork; the type of unit this will be; the number of children or young persons who will reside there; the age category of persons who are due to reside there; the number of staff that will be employed there; the number of social workers that will work there; and if she will make a statement on the matter. [49261/17]
Amharc ar fhreagraTusla, the Child and Family Agency, has advised that a well established existing children residential centre is being refurbished and this has required the temporary relocation of the children living in the centre for a period of time, estimated to be about 2 to 3 months. The refurbishment is part of the agreed actions following a HIQA inspection in 2016.
Tusla has stated that appropriate processes are followed when using alternative premises during refurbishments and every effort is made to avoid effects on the local community and minimise the disruption for the children involved. The children's residential centre is staffed by a manager, deputy manager and social care staff team. Social workers are not part of the staffing structure of a residential centre.
From time to time, renovations are required at children’s residential centres to maintain a comfortable and safe environment for the children or young people living there. If needed, suitable temporary accommodation is arranged to minimise any disruption to their lives while building works are completed. The necessary building works will improve the existing living arrangements for the young people living at the centre.
It is important to note that under the Child Care Act 1991, children in care, including those in residential care, must not be identified.
545. Deputy Margaret Murphy O'Mahony asked the Minister for Children and Youth Affairs the role her Department will play in the implementation of the access and inclusion model of supports for children with disabilities; the funding her Department is providing for this in 2018; and if she will make a statement on the matter. [49356/17]
Amharc ar fhreagraAIM supports children with disabilities to reap the full benefits of free pre-school education. Its goal is to empower pre-school providers to deliver an inclusive pre-school experience. AIM is a child-centred and evidence-based model, involving seven levels of progressive support, moving from the universal to the targeted, based on the needs of the child and the pre-school setting. These include:
Level 1: An Inclusive Culture - This level is the critical foundation for the model. This sets out that a strong culture of inclusion must be fostered and embedded to support all children’s maximum participation in the ECCE Programme. Under this level, a new Inclusion Charter has been developed. Updated Diversity, Equality and Inclusion Guidelines have been published and a nationwide training programme on these Guidelines is currently being rolled out. By mid-October, almost 1,900 pre-school practitioners completed this training. A new higher education programme, Leadership for Inclusion for Early Years (LINC), has also been developed and up to 900 pre-school practitioners are expected to graduate from this Programme every year for the next 4 years. These graduates will work as Inclusion Co-ordinators in their pre-school setting attracting an increase of €2 per child per week in the rate of ECCE capitation payable to that setting.
Level 2: Information for Parents and Practitioners - This level recognises the requirement of parents and pre-school practitioners to have clear, consistent and up to date information accessible to them regarding early years services and supports. A dedicated website (www.aim.gov.ie) has been launched under this level and a communications strategy is currently being developed by my Department.
Level 3: A Qualified and Confident Workforce - This level, in recognising the requirement to continue to develop a qualified workforce that can confidently meet the needs of all children wishing to participate in the ECCE Programme, provides for a multi-annual training programme for pre-school practitioners. In May 2017, my Department established a Training Working Group to develop and support the delivery of a suite of training courses for pre-school practitioners under AIM Level 3. These courses, which will be funded by my Department, will be available from 2018.
Where a pre-school provider, in conjunction with a parent, considers that some additional support is needed in order to meet the needs of a child with a disability in an inclusive way, an application can be made for a suite of targeted supports, namely:
Level 4: Expert Educational Advice and Support - This level provides access to mentoring for pre-school practitioners from a team of dedicated AIM Early Years Specialists. To avail of this support, pre-school providers and parents are requested to complete an online Access and Inclusion Profile. This looks at the strengths, abilities and needs of the child, as well as the strengths and needs of the pre-school setting.
Level 5: Equipment, Appliances and Minor Alterations Capital Grant - This level provides for access to specialised equipment, appliances, assistive technology and/or minor alterations capital grants for pre-school settings to ensure children with a disability can participate in the ECCE programme. A short report from a designated professional is required confirming that the specialised equipment or minor building alterations are necessary.
Level 6: Therapeutic Intervention - This level provides access to therapeutic services where they are critical to enable the child to be enrolled and to fully participate in the ECCE Programme. To avail of this support, pre-school providers and parents are requested to complete the online Access and Inclusion Profile. The Early Years Specialist will review the profile and, where therapeutic input is likely to be required; the Specialist will initiate contact with the HSE. The HSE decides on the appropriate level of therapeutic intervention.
Level 7: Additional Assistance in the Pre-School Room - This level provides additional assistance in the pre-school room where this is critical to ensuring a child’s participation in the ECCE Programme. In line with emerging best practice to support the integration and independence of children with a disability, AIM does not fund Special Needs Assistants (SNAs). Rather, it provides additional capitation to the early years setting, which can be used to:
a. reduce the adult to child ratio in the pre-school room by enrolling less children without financial loss or
b. increase the adult ratio in the pre-school room by buying in additional assistance.
Accordingly, Level 7 assistance is a shared resource for the early year setting.
The total funding allocated to AIM for 2018 by my Department is €32.42m.
My Department has lead responsibility for AIM and works with the Departments of Education and Skills and Health, and a range of agencies and organisations, (i.e. City and County Childcare Committees, the Early Years Specialist Service, the Health Service Executive, the National Council for Special Education, the National Disability Authorities and Pobal) on AIM implementation.
546. Deputy Stephen S. Donnelly asked the Minister for Rural and Community Development the preparations made in his Department in the event of no agreement being reached between the United Kingdom and the European Union on the terms of the UK's exit from the EU; if such preparations involve the drawing up of detailed and specific contingency plans in the event of a hard Brexit and a trade regime based on WTO tariffs; and if he will make a statement on the matter. [48783/17]
Amharc ar fhreagraThe Minister for Foreign Affairs and Trade has special responsibility for Brexit and for coordinating a whole-of-Government response to Brexit. In this capacity, the Minister is working closely with his colleagues across Government to address the many challenges resulting from Brexit. This cooperation also involves the relevant State agencies.
Work at Government level is being prepared through cross-Departmental co-ordination structures. These represent a frequent and active channel through which all relevant Departments are providing their research, analysis and overall policy input to the Government’s wider response to Brexit, including its priorities for the ongoing Article 50 negotiations between the EU and the UK.
As the outcome of the negotiations is not yet known, an important focus of the planning and preparation being undertaken through these cross-Departmental structures is on deepening the Government’s analysis and understanding of the potential consequences of different possible scenarios. My Department will engage in, and contribute to, this analysis.
547. Deputy Catherine Murphy asked the Minister for Rural and Community Development the cost of providing external coaching and-or training services for staff development in his Department over the past five years and to date in 2017, by cost per year, in tabular form; the company that delivered the training courses; and if he will make a statement on the matter. [48812/17]
Amharc ar fhreagraThe Department of Rural and Community Development was established on 19 July 2017. Learning and development services are currently being provided by the Department of Culture, Heritage and the Gaeltacht and the Department of Housing, Planning and Local Government on behalf of my Department while we recruit staff to fill our remaining vacancies. As a consequence, it is not possible to provide the information requested by the Deputy within the time specified. I will revert to the Deputy when I have collected the requisite information in respect of the period 19 July to date.
548. Deputy Marc MacSharry asked the Minister for Rural and Community Development if he is will request Pobal to run at least one of the upcoming information events regarding the operation of the new seniors alerts scheme for community groups in counties Sligo and Mayo outside of normal working hours in order to facilitate persons who run this scheme (details supplied); and if he will make a statement on the matter. [48816/17]
Amharc ar fhreagraI am pleased to advise that Pobal have organised an evening information session on the new Seniors Alert Scheme in the Knockranny House hotel, Westport, Co. Mayo on 29 November. I understand that Pobal have notified all community groups operating in the area in relation to this event.
549. Deputy Catherine Murphy asked the Minister for Rural and Community Development the names of the companies renting a fixing and-or space on telecommunications and-or communications masts from his Department; the income received for each of the past five years for same, in tabular form; and if he will make a statement on the matter. [48846/17]
Amharc ar fhreagraMy Department has not received any rental income for telecommunications equipment since its formation in July 2017.
550. Deputy Catherine Murphy asked the Minister for Rural and Community Development the income received by his Department from the renting to companies of space to use and-or take fixings from telecommunications and-or communications masts on site or on the roof of his Department, in each of the past five years, by location; and if he will make a statement on the matter. [48884/17]
Amharc ar fhreagraMy Department has not received any rental income from telecommunication equipment since its formation in July 2017.
551. Deputy Denise Mitchell asked the Minister for Rural and Community Development if there is provision for the building of a new community centre in Kilbarrack in north Dublin; the sites that have been identified for the proposed new community centre; the funding that has been made available for the project; and if he will make a statement on the matter. [49031/17]
Amharc ar fhreagraMy Department does not currently operate any scheme or programme which would fully fund the construction of a community centre or similar facilities.
However, the provision of community facilities and amenities is addressed within the local authority planning and development process by co-ordinating the functions of various statutory bodies, local and voluntary groups, local authority own resources and proposals for local development.
Earlier this year my Department launched the national €2 million Communities Facilities Scheme. The Communities Facilities Scheme is targeted at both urban and rural areas and funds projects that seek to enhance communities, address disadvantage and improve social cohesion at a local level. The 2017 round of applications is closed since June last but another round of funding will be launched for 2018 and funding is being maintained at 2017 levels.
A recast RAPID programme launched on 2 November this year and provides €2 million nationally in capital funding, for projects which aim to improve the lives of residents in disadvantaged urban areas and provincial towns.
Both programmes are being managed at a local level by the Local Community Development Committees in conjunction with the Municipal Districts, under the remit of the local authorities.
Information on both programmes can be accessed on my Department's website at www.drcd.gov.ie.
552. Deputy Jonathan O'Brien asked the Minister for Rural and Community Development the domain names registered to or owned by his Department or through a third party company. [49070/17]
Amharc ar fhreagraMy Department does not currently have any domain names registered to it. However, three domain names are in the process of transferring to it from the Department of Culture, Heritage and the Gaeltacht, www.tidytowns.ie, www.ruralireland.ie and www.bailteslactmhara.ie.
553. Deputy Mattie McGrath asked the Minister for Rural and Community Development the average costs associated with processing and answering written and oral parliamentary questions; and if he will make a statement on the matter. [49130/17]
Amharc ar fhreagraThe undertaking of parliamentary work is an in-built aspect of the work of almost all of the teams across the Department. Since establishment in July 2017, the Minister has responded to 160 written parliamentary questions. It is not possible to quantify the precise costs involved.
554. Deputy Dara Calleary asked the Minister for Rural and Community Development the surcharge applied by each local authority in respect of the LIS scheme, in tabular form; and if he will make a statement on the matter. [49205/17]
Amharc ar fhreagraThe Local Improvement Scheme (LIS) provides funding for works to improve private/non-public roads, many of which are in rural areas. In September this year I allocated €10 million to Local Authorities to deliver the scheme, following consultation with the Authorities on the level of demand for such a scheme.
The 2017 scheme required a contribution from local residents/landholders of 10% of the total cost of works for eligible roads with up to and including 5 residents, and 15% of the total cost for roads with 6 or more residents. Local Authorities were also permitted to include LIS roads that lead to important community amenities such as graveyards, beaches, piers or other tourist/heritage sites and in this instance, the local contribution is provided by the Local Authority itself.
In addition to the specific criteria set out in the 2017 scheme, the LIS was also subject to the criteria set out in the 2002 memorandum published by the then Department of the Environment and Local Government, which allowed administrative expenses of up to 15% of the net cost to be recouped by Local Authorities.
As the LIS roads projects are expected to continue until the end of 2017, it is not possible at this stage to identify the administration costs attributable to LIS roads.
555. Deputy Éamon Ó Cuív asked the Minister for Rural and Community Development the amount of uncommitted funds held under the dormant accounts legislation; the amount of these that form part of the statutory reserve; and if he will make a statement on the matter. [49386/17]
Amharc ar fhreagraThe Dormant Accounts Act 2001, together with the Unclaimed Life Assurance Policies Act 2003 and the Dormant Accounts (Amendment) Acts 2005-2012, provide a framework for the administration of unclaimed accounts in credit institutions (i.e. banks, building societies and An Post) and unclaimed life assurance policies in insurance undertakings. The Dormant Accounts Fund is managed by the National Treasury Management Agency (NTMA).
The legislation governing the Fund provides for a scheme for the disbursement of funds that are unlikely to be reclaimed by account holders, for the purposes of supporting programmes or projects to assist specified disadvantaged groups. My Department coordinates these disbursement schemes.
Since its establishment in April 2003 to the end of September 2017 inflows to the Dormant Accounts fund have totalled €941.5 million, including interest earned of approximately €41 million. Outflows from the Fund amounted to €649.6 million, including €357.9 million which has been reclaimed by account holders. At the end of September 2017, therefore, the value of the Fund stood at €291.9 million.
Of this, the reserve for future reclaims by account holders stood at €80.6 million. Provision is also made for €86.5 million which remains to be disbursed by the NTMA on foot of approvals already made through the disbursement schemes.
The net value of uncommitted Dormant Accounts Funds stood at €124.8 million at the end of September 2017.
556. Deputy Richard Boyd Barrett asked the Minister for Employment Affairs and Social Protection the reason a person (details supplied) has had their invalidity pension ceased, in view of the fact that their inability to work has not changed; and if she will make a statement on the matter. [48903/17]
Amharc ar fhreagraInvalidity pension (IP) is a payment for people who are permanently incapable of work because of illness or incapacity and who satisfy the pay related social insurance (PRSI) contribution conditions.
Following an in-person medical assessment as part of a review of their continued entitlement to Invalidity Pension, it has been decided that the person concerned no longer satisfies the medical conditions for the scheme. She was notified on 28 September 2017 of this decision, the reasons for it and of her rights of review and appeal.
She requested a review and appeal of this decision. Following a review of all the information available it has been decided that there is no change to the original decision. She was notified on 09 November 2017 of the outcome of the review.
As she has appealed the decision to the independent Social Welfare Appeals Office (SWAO), a submission was prepared by the Department and forwarded to the SWAO on 13 November 2017 for determination.
The SWAO will be in touch with the her in due course in relation to the progress of the appeal.
I hope this clarifies the matter for the Deputy.
557. Deputy Michael Healy-Rae asked the Minister for Employment Affairs and Social Protection if she will address a matter (details supplied) regarding self-employment; and if she will make a statement on the matter. [48928/17]
Amharc ar fhreagraThe Government is committed to supporting entrepreneurship and self-employment. Self-employed workers who earn €5,000 or more in a contribution year, are liable for PRSI at the Class S rate of 4%, subject to a minimum annual payment of €500. This provides them with access to the following benefits: State pension (contributory) and widow’s, widower’s or surviving civil partner’s pension (contributory), guardian’s payment (contributory), maternity benefit, adoptive benefit, paternity benefit, treatment benefit (from March 2017). Entitlement to invalidity pension will be extended to the self-employed from 1 December 2017.
This compares favourably with employees who, in general, are liable to the Class A rate of 4%. In addition their employers are liable to PRSI at the rate of 8.5% on weekly earnings up to and including €376 or at the rate of 10.75% where weekly earnings exceed €376. Accordingly the combined rate of PRSI rate paid in respect of Class A employees is 12.5% or 14.75%, depending on the level of weekly earnings. These Class A employees are entitled to the full range of social insurance benefits.
I understand the Deputy is also seeking information on access to jobseeker payments for the self-employed. Jobseeker’s allowance, which is means tested and jobseeker’s benefit which is a contributory scheme provide income support to people who have lost work and who satisfy the qualifying conditions including being available for and genuinely seeking full-time work.
As stated above self-employed people pay PRSI at Class S which does not cover them for jobseeker’s benefit. However, a self-employed person who has sufficient social insurance contributions as an employee could qualify for jobseeker’s benefit provided they either give up their self-employment or if their self-employment is considered to be “subsidiary employment” i.e. undertaken in addition to and outside of the ordinary working hours of his/her usual employment. In addition, the person must have paid at least 117 employment contributions during the three years preceding the date of their claim or have earnings from the occupation of less than €12.70 per day.
Furthermore, a self-employed person may qualify 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 demand for their services. If the person were engaged in farming they may qualify for the means-tested farm assist payment.
The issue of extending additional social insurance benefits to the self-employed paying Class S PRSI was considered in the Actuarial Review of the Social Insurance fund (SIF) as at 31 December, 2015, which I published on 18 October 2017. The review, required by legislation, was carried out by independent consultants, KPMG. It examines the projected income and expenditure of the SIF over the course of the 55 year period from 2016 to 2071.
The review found that the fund currently has a modest surplus of income over expenditure. In 2016 there was a surplus of €0.4 billion on expenditure of €8.8 billion and receipts of €9.2 billion. However, this will reduce over the next two years and will return to a small shortfall in 2020. The annual shortfalls are projected to increase from 2021 onwards as the ageing of the population impacts. Projections indicate that, in the absence of further action to tackle the shortfall, the excess of expenditure over income of the fund will increase significantly over the medium to long term. The shortfall in expenditure over income is projected to increase from €0.2 billion in 2020 to €3.3 billion by 2030 and to €22.2 billion by 2071. It should be noted that as self-employed workers will be eligible to apply for invalidity pension from December 2017, the cost of this introduction has been factored into the actuarial review.
As part of the review the independent consultants were required to project the additional PRSI expenditure if invalidity pension and illness, jobseeker’s and carer’s benefits were extended to Class S self-employed workers and the PRSI contribution rates required to provide these benefits on a revenue neutral basis.
The review found that the combined cost of introducing invalidity, illness, jobseeker’s and carer’s benefits for class S contributions is estimated to be €118 million in 2018, rising steadily to €223 million in 2020. By 2025 the projected cost is €413 million and, over the period of the review the cost would rise to €1.3 billion in 2071. These costs assume that the cost of extending invalidity pension to the self-employed builds up steeply for the first 10 years after introduction after which time the scheme is almost at maturity or a steady state.
For the shorter term schemes, illness and jobseeker’s benefits, it is estimated that they will reach maturity after 2 years. Projected expenditure on jobseeker’s benefit assumes the same incidence rate as prevail in the employed (PRSI Class A) population.
The review indicates that, where these benefits are extended to the self-employed, the class S rate of PRSI contribution would need to increase substantially in order to ensure that the benefits are delivered in a revenue neutral manner. It estimates that when expenditure on the additional benefits is considered over the entire projection period, PRSI rates would need to increase by 94% under a scenario of no subvention from the exchequer. This is equivalent to an increase of the Class S contribution rate from the current 4% rate to 7.8%.
This increased contribution is attributable to the costs of extending these additional benefits to PRSI Class S contributors. It does not take account of the value to PRSI Class S contributors of access to the range of existing benefits, and in particular state pension contributory.
The consultants estimated that the typical cost of state pension (contributory) on its own is of the order of 10% to 15%, depending on other factors including rate of average earnings and date of commencing paying PRSI. Adding in the other benefits referenced, the total Class S rate of contribution to ensure revenue neutrality would be of the order of 20% per annum.
I trust this clarifies the matter for the Deputy.
