Mary Hanafin (Dún Laoghaire, Fianna Fail)

The budget in 2007 provided for new arrangements whereby people can receive a maximum payment equivalent to a half-rate carer's allowance while receiving another social welfare payment, other than jobseeker's benefit or allowance. These measures came into effect in September 2008 and there are currently just over 16,100 people in receipt of half rate carer's allowance and another social welfare payment.

The introduction of the half-rate carer's allowance is only one of a number of improvements to payments to carers in recent years. Since 1997, weekly payment rates to carers have greatly increased, qualifying conditions for carer's allowance have significantly eased, coverage of the scheme has been extended and new schemes such as carer's benefit and the respite care grant have been introduced and extended.

The means test for carer's allowance has been significantly eased over the years, most notably with regard to a spouse's earnings. Since April 2008, the income disregard has been €332.50 per week for a single person and €665 per week for a couple. These levels surpass the commitment in Towards 2016 to ensure those on average industrial earnings continue to qualify for a full carer's allowance.

From June 2005, the annual respite care grant was extended to all carers who are providing full time care to a person who needs such care, regardless of their income. The rate of the respite care grant has also been increased to €1,700 per year in respect of each care recipient since June 2008. In June 2006, the number of hours for which a person can engage in employment, self-employment, education or training and still be considered to be providing full time care for the purposes of carer's allowance, carer's benefit and the respite care grant was increased from 10 to 15 hours per week.

In budget 2009, I increased the rate of carer's allowance for those aged 66 or over by €7 to €239 per week and for those aged under 66 by €6.50 to €220.50 per week. These increases took effect from January 2009. Recipients of carer's allowance are also eligible for household benefits, free travel and the respite care grant. It is estimated that combined expenditure on carer's allowance, carer's benefit, the respite care grant and half rate carers will be €650 million in 2009. I have no plans to change the conditions associated with half rate carer's allowance.

See this speech in context