Written answers

Tuesday, 7 December 2010

Department of Social and Family Affairs

Social Welfare Benefits

11:00 am

Photo of Charlie O'ConnorCharlie O'Connor (Dublin South West, Fianna Fail)
Link to this: Individually | In context

Question 229: To ask the Minister for Social Protection the reason payment of rent supplement direct to landlords has been refused by particular community welfare officers; his views on the related circular issued by him on 10 August 2010; his views on the unanimous view of organisations representing both tenants and property owners, and the Private Residential Tenancies Board that rent supplement be paid direct to landlords; if he will accept that direct payment, not withstanding the Department's direct relationship with the tenant, is a better way to assist those in need as well as safeguarding public money; his plans to amend the legislative provisions under which rent supplement is paid in order to reflect the efficiencies of direct payment; and if he will make a statement on the matter. [45868/10]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
Link to this: Individually | In context

The purpose of rent supplement is to provide short-term support to eligible people living in private rented accommodation, whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source. The scheme is intended as a temporary income support payment and is not designed to be a medium to long term housing support or a permanent solution to a person's housing needs.

Current legislation provides for the making of a rent supplement payment to another person (e.g. a relative, a landlord or landlord's agent) on behalf of the recipient, at the tenant's request and is subject to the consent of the HSE. Approximately 20% of rent supplement payments are currently paid to a person other than the tenant.

Under the current arrangements, even with direct payment, landlords still have to collect the tenant contribution towards their rent (a minimum of €104 per month). The amount of rent supplement payable depends on the tenant's income; in some cases tenants pay only the minimum contribution while for others the tenant makes an additional contribution to their rent based on their financial circumstances. For example, where a person is in part-time income and receives just 10% of his or her rent directly from the State, the landlord would receive the 10% directly whilst still having to collect the 90% from the tenant.

The efficiency of the scheme would be significantly affected if this arrangement were to be changed for all cases, for example CWO's would potentially have to create a formal relationship with some 96,500 additional clients, the landlords. This would involve greater complexity and significant resources to deal with a new set of third parties. In particular, it would also result in CWOs being drawn into disputes between both landlords and tenants.

Where a landlord has a grievance in relation to the non-payment of rent by a tenant, s/he may apply to the Private Residential Tenancies Board to have the dispute resolved through the Board's dispute resolution process. It is also open to the landlord to bring to the attention of the HSE any instance where a tenant is receiving rent supplement but is not paying their rent. Where a Community Welfare Officer becomes aware that a person receiving rent supplement is not using that supplement for the purpose for which it was intended the matter is fully investigated.

The purpose of the departmental circular issued to Community Welfare Services in August 2010 was to remind HSE staff of the payment options under the supplementary welfare allowance scheme, including payments directly to landlords. I agree that making the payment to a person other than the tenant in certain circumstances is appropriate and in the best interests of all parties. However, I do not consider it appropriate to remove the right of the tenant to receive this payment by making it payable only to the landlord and have no plans to amend legislation to provide for this.

The current arrangements provide tenants with flexibility in terms of location, the freedom to move to a different location whilst allowing recipients time to seek alternative long-term housing solution provided by their local authority. The tailoring of additional payments, such as rent supplement, to meet the specific needs of individuals and making the payment direct to the tenant is regarded as an effective way of helping individuals realise their potential and take individual responsibility.

Photo of Jack WallJack Wall (Kildare South, Labour)
Link to this: Individually | In context

Question 230: To ask the Minister for Social Protection when rent supplement will be re-instated in respect of a person (details supplied) in County Kildare; and if he will make a statement on the matter. [45880/10]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
Link to this: Individually | In context

The Health Service Executive (HSE) has advised that it suspended payment of a rent supplement in this case on the grounds that the person concerned has returned to work.

The Executive has further advised that it has since requested documentation clarifying the employment status of the person concerned and that it will be in a position to make a final decision on entitlement once the documentation requested has been provided.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
Link to this: Individually | In context

Question 231: To ask the Minister for Social Protection the number and percentage of claimants of jobseeker's benefit that are required to pick up their payment in person; the number and percentage of claimants that have money automatically transferred to their bank account; and if he will make a statement on the matter. [45901/10]

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
Link to this: Individually | In context

Question 232: To ask the Minister for Social Protection the number and percentage of claimants of jobseeker's allowance that are required to pick up their payment in person; the number and percentage of claimants that have money automatically transferred to their bank account; and if he will make a statement on the matter. [45902/10]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
Link to this: Individually | In context

I propose to take Questions Nos. 231 and 232 together.

I have provided two tables which show the methods of payment on both jobseeker's allowance and jobseeker's benefit.

Postdraft payments are collected in person at the post office while electronic fund transfer payments are paid directly into a bank account.

Table: Jobseeker's Benefit by Method of Payment, October 2010

Method of PaymentNumber of Recipients% of Total
Cheque45,30638.6
Electronic Fund Transfer3,0082.6
Postdraft69,00658.8
Total117,320100.0

Deputies:

Jobseeker's Allowance by Method of Payment, October 2010

Method of PaymentNumber of Recipients% of Total
Cheque23,7389.4
Electronic Fund Transfer30,51812.1
Postdraft198,58078.5
Total252,836100.0

Comments

No comments

Log in or join to post a public comment.