Joan Burton (Dublin West, Labour) | Oireachtas source

I propose to take Questions Nos. 53, 55 and 56together.

Creating jobs and tackling poverty are two of the key challenges that Ireland faces and it is essential our tax and social protection systems play their part in addressing these issues. To this end, and in line with commitments contained in the programme for Government, I established last year the advisory group on tax and social welfare, with the aim of harnessing expert opinion and experience to examine a number of specific issues and make cost-effective proposals for improving employment incentives and achieving better poverty outcomes, particularly child poverty outcomes. Total social welfare expenditure on children is some €3 billion this year.

The group’s overall method of working is based on producing modular reports on the priority areas identified in the terms of reference. The group commenced its work programme by prioritising the area of family and child income supports. I am currently considering the findings of the group’s report on this issue and I intend to publish this report in due course. The report is therefore not yet in the public domain and I do not propose to comment on it at this time. With regard to the budgetary proposals relating to disability allowance and domiciliary care allowance, I understand the group’s report on this issue is being finalised and therefore has not yet been submitted to me.

I am conscious that the budget 2012 measures concerning disability allowance and domiciliary care allowance gave rise to concerns about the impact on families of people with disabilities, most notably in the case of families of children and young adults with profound disabilities. When the group reverts to me, I and my Government colleagues will reflect carefully on its report.

Finally, it should be noted that the previous Government, in its budget for 2009, announced that the qualifying age for receipt of the disability allowance should be raised to 18 years of age and that domiciliary care allowance would continue to be paid from the age of 16 to 18 years in its place. While this decision was deferred, the Department of Social Protection value for money review of the disability allowance scheme, published in 2010, found that the case for increasing the minimum age for disability allowance from 16 to 18 years was compelling. In this regard, it was determined that the payment of disability allowance to 16 year olds may also give rise to issues within families as to the control and use of the payment. The view expressed in much commentary and numerous reports on this is that when a child is 16 years old it would be better if the payment went to the child's parent. The view is that it is appropriate and proper that income in respect of a child goes to the parent rather than the child getting a social welfare payment at 16 years old.

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