Joe O'Brien (Dublin Fingal, Green Party) | Oireachtas source

At the outset, I would like to offer my condolences to the Chair. I did not know John Naughten, but from everything I have heard in recent days, it is obvious that his parting will not only be a huge loss to his friends and his family but to the wider community as well.

I thank the committee for its invitation to discuss the review of the rural social scheme. I am accompanied by Mr. Tony Kieran, principal officer in the Department. I know from the committee's invitation that it is interested in discussing the review of the RSS and I hope that members have found the information that was provided in advance helpful.

I will start by providing some general information on the scheme. The rural social scheme, RSS, was established in 2004 as an income support initiative to provide part-time employment in community and voluntary organisations for farmers or fishers in receipt of certain social welfare payments who were underemployed in their primary occupations. The work undertaken is primarily to support local service provision via community, voluntary and not-for-profit organisations, provided that this does not displace existing service provision or employment. In turn, communities benefit from the skills and talents of local farmers and fishers, given that these are readily adaptable to most tasks.

The RSS is delivered at local level by 36 local development companies and Údarás na Gaeltachta, which act as implementing bodies. The scheme is delivered in accordance with the eligibility criteria, policy and guidelines laid down by the Department. The places are allocated to each local area covered by the RSS implementing body based, in the main, on the proportion of persons in receipt of farm assist in that area. There are 3,350 participant places and 139 supervisor places available on the scheme. At the end of September, there were 2,699 participants and 126 supervisors on the scheme nationwide. A budget of €52 million is available this year.

Participants on RSS are contracted to work 19.5 hours per week and their rates of pay are based on their underlying social welfare payments plus an additional €27.50 per week, subject to a minimum payment of €259.50 per week. Participants may also receive increases in respect of qualified adult and child dependants. Following the budget 2025 announcement last week, I can confirm that RSS participants will see an increase to their weekly payment by €12 from 1 January next, which will see the weekly minimum payment on RSS rise to €271.50. RSS participants are subject to normal tax and PRSI deductions, including paying a class A PRSI contribution, which can help to establish entitlement to the full range of short-term and long-term benefits, including the contributory State pension at age 66.

I will now turn to the recently launched review of the RSS, the main subject of interest to the committee today. The purpose of the review was to examine the role of the RSS, its ongoing relevance to the changing landscape, the funding and resourcing required, and the appropriate governance and management arrangements. The review was wide ranging and examined all aspects of the scheme, including its rationale, societal impact and sustainability. It should be noted that the rate of payment for participants on the scheme was outside the remit of the review, as this is a budgetary issue.

A steering group was set up in February 2023 to oversee the review of the scheme. All key stakeholders were represented on the steering group, including different Departments, farming and fishing representatives, rural NGOs and the Irish Local Development Network. Representatives from the RSS supervisors national committee also participated.

The development of the RSS review and the final report were informed by an extensive consultation process that included the views of participants, supervisors, implementing bodies and project sponsors as well as Departments and industry representative bodies. This review utilised trend analysis, a wide-ranging survey, public consultation and two in-person workshop events to gain the perspective of all stakeholders.

The review arrived at a number of key findings, including: the RSS provided an important social inclusion and income support function for low-income farmers and fishers; the RSS delivered key community services, including the maintenance of sporting facilities, community recreation areas and waymarked walking routes to rural communities; and declining participation since 2019 was causing a concern that rural communities may be left without key community services.

As a response to these key findings, the final report includes 19 recommendations to address the sustainability of the RSS to continue providing income support, social inclusion and service delivery in rural communities. Officials in my Department are actively exploring the recommendations from the RSS review with a view to taking action as quickly as possible. Understandably, while the report makes 19 recommendations, I have prioritised some for immediate attention. Work is under way in the Department on six of the recommendations, focusing initially on eligibility and contracts. Work is well advanced on the proposed pilot scheme targeted at customers who are over 50 years of age, on a social welfare payment and living in a rural area. This rural dweller pilot will see 250 places ring-fenced from within the overall existing number of places on RSS. Changes to facilitate both members of a couple engaged in farming or fishing in accessing RSS are also being worked on. This will see two people being able to use the same herd number or fishing licence simultaneously. Arrangements are being made to issue three-year contracts to participants and the contract renewal process will be adjusted to be undertaken in three-year intervals. Participants who are over 60 years of age will be permitted to remain on RSS until they reach 66 without the requirement to undergo any further means test or renewal process. Promotional activity to highlight the important work on the scheme is also to be undertaken.

Departmental officials are actively engaging with the implementing bodies, Pobal and the Department of Public Expenditure, NDP Delivery and Reform to get the required processes in place to commence the rural dweller pilot and also to allow a couple engaged in farming or fishing to both access RSS. It is expected that this work can be completed within the coming month. Officials will continue to examine the remaining recommendations. The actions recommended in the review will make a significant contribution to ensuring the sustainability of the RSS and that services can continue to be provided in our communities. The review recommends that the scheme be reviewed every five years to ensure it continues to meet its remit. This will also ensure that required changes are made in a timely manner.

I acknowledge yet again the contribution that the RSS continues to make to rural communities and to the lives of participants on the scheme. I have witnessed at first hand the commitment and dedication of supervisors and participants and the impact their work has on communities across the country.

I am conscious that my opening remarks have been brief, but I am happy to answer any questions that members may have and to provide any further detail that may be required.