Séamus Brennan (Dublin South, Fianna Fail)

I thank Deputy Seán Ryan for moving this amendment. Almost every Deputy has made representations to me on this issue and I have taken the opportunity presented by the budget to address it. In case Deputy Seán Ryan is no longer in this House next year, I acknowledge his efforts in pressing the Select Committee on Social and Family Affairs to make these amendments. He repeatedly pointed out the anomalies in the deserted wife benefit at meetings of the committee and, along with Deputy Carey, played a direct role in having these changes introduced. At one stage, I tried my best to avoid meeting either Deputy in the corridors of Leinster House because I was aware they wanted to hold long discussions with me on the issue.

While I am not entirely satisfied that we have fully addressed the problems, substantial progress has been made. From May 2007, a new single earnings limit of €20,000 gross will be introduced. In addition, if a claimant's earnings go above that limit, she will be entitled to a new half rate transitional payment for six months to ease the impact of losing entitlement to the payment. More than 2,300 claimants will benefit from these provisions at an estimated cost of €1.3 million in a full year. The budget provided that, from May 2007, the four income bands will be abolished and an upper income limit set at €20,000. Deserted wife benefit recipients will be able to receive a full payment in accordance with their contributions, up to that upper income limit. The scheme remains closed and recipients will no longer qualify for payment when their earnings increase above the upper limit, as is the case for all social welfare schemes. Currently, some 300 recipients are earning in excess of the current lower income limit of €12,667.

See this speech in context