Oireachtas Joint and Select Committees

Tuesday, 18 November 2025

Select Committee on Social Protection, Rural and Community Development

Social Welfare and Automatic Enrolment Retirement Savings System (Amendment) Bill 2025: Committee Stage

2:00 am

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail)

We have a timeline. It is very clear in the programme for Government that we will do it over the lifetime of the Government. The removal of the means test is a very significant shift in policy but we are determined to do it. I have made clear in the House on many occasions that I am determined to make that change. We will do through a prudent and sustainable approach.

We are in the process of starting that. In July this year, the weekly income disregard for carer's allowance increased from €450 to €625 for a single person and from €900 to €1,250 for carers with a partner or spouse. As part of budget 2026, we have announced further improvements to that. For carers who work, the weekly income disregard will increase from next July by 60% from €625 to €1,000 for a single person and from €1,250 to €2,000 for carers who are part of a couple. Those particular increases are the largest ever in income disregards for the carer's allowance.

Since June 2022, the cumulative increases in the disregard have amounted to €670.50 and €1,335, respectively, an increase of just over 200%. The income disregards are currently the highest in the social protection system. They are higher than those of any other payment and we intend to go further with that.

A carer in a two-adult household with an income of approximately €110,000, which is a large income, will from next July receive a full carer's payment. A carer with an income of €138,000 will receive a partial payment. They are large incomes. We intend to go further on that. The income disregards were €37,000 and €60,000 before we began this journey. We are very much focused on that.

I am also focused on increasing payments for existing carers. In the past five budgets, weekly carer's payments have increased by more than €2,650 per annum. We are determined to abolish the means test. It is demand-led and we will deal with this tomorrow in the context of the Revised Estimates. We are going through all of the existing data.

Existing carers who are on a minimum or partial payment will get a higher payment because of the change to the income disregard. There are carers who are not currently in the social protection system and have never previously engaged with the Department of Social Protection who, because of the level of income disregard, will now engage with us. It as very difficult to estimate those numbers. I was very clear when I took questions last Thursday and will be very clear again today. We will ensure, over the lifetime of the Government, that this is abolished and there will not be a means test for carers.

Comments

No comments

Log in or join to post a public comment.