Dáil debates
Tuesday, 14 October 2025
Cost of Disability: Motion [Private Members]
7:45 pm
Dara Calleary (Mayo, Fianna Fail)
Gabhaim buíochas le Sinn Féin as ucht an seans cúrsaí míchumais a phlé anocht. I am not opposing the motion put forward by Sinn Féin this evening, but we will take the opportunity to discuss these important issues and lay out much of the work we are doing. We recognise, and it is not exclusive to the Opposition, the additional cost that disabled people face in their daily lives. We are committed to addressing the cost of disability in a comprehensive, but also permanent and sustainable, way. Our determination to address this issue is reflected in the programme for Government commitment to introduce a permanent annual cost-of-disability support payment, with a view to incrementally increasing it. Delivering on this commitment is a core objective of the National Human Rights Strategy for Disabled People 2025-2030, which we published in mid-September. We know that addressing the cost of disability is not just a question of income support. The delivery of services is also key.
The motion and a number of speakers have referred to the Indecon report on the cost of disability, which was commissioned by the Department of Social Protection. That report sets out how addressing the additional cost of disability requires a much broader approach than simply increasing existing payments or introducing new ones. We need all of the Departments and agencies of government to work together to address the issue in a comprehensive and permanent way. A dedicated disability unit has been established in the Department of An Taoiseach to drive progress on enhancing supports for people with disabilities across every sector of government. Progress will also be led and monitored by the Cabinet committee on children, disability and education.
It is because of the need for a cross-government approach that the strategic focus network on the cost of disability is being established. This is an important commitment under the national human rights strategy for disabled people. This strategic focus network will be led by the Department of Social Protection, but it is a cross-government exercise. It will also include people with disabilities and their advocates. Work is already under way to establish and define the remit of the strategic focus network. The remit of the network and the timeline for its work will be discussed at the December meeting of the disability consultative forum, which I attend. The members of the forum have already been asked to think about how they would like to see the process operating and their ideas and suggestions will be central to this. The work will also be discussed with a number of key disability advocacy groups bilaterally. The first of these bilateral meetings will be held at the end of this month. I will be asking my officials to reach out to the spokespeople of all the parties for their input into this process as well.
It is intended that the network will comprise a range of stakeholders, including disabled people and their advocates. It will consider and develop proposals on how best to help people with a disability to meet the additional costs. In addition to considering the appropriate level and eligibility conditions for a cost-of-disability payment, it is intended that the network will consider what other measures might be taken to reduce or mitigate these costs permanently.
This consultation with disabled people will ensure that their voices are central as we work on this issue together in a targeted and, most importantly, sustainable way. Our work will be informed by the relevant research, including the Indecon and ESRI reports referred to in the motion. I intend to ensure that we have this work completed and bring forward proposals to Government in the first half of next year.
A broad range of income supports are already available. They include the disability allowance, invalidity pension, blind pension and partial capacity benefit. There are almost 230,500 recipients of disability income support payments, with an estimated investment of €3.24 billion this year. Spending on disability payments has increased by €650 million in the past five years. The number of beneficiaries has increased by 4.7% in that time. This is permanent expenditure. It is not one-off expenditure that is judged on a year-to-year basis. There has been a €51 per week increase in the weekly disability income support payment since 2021.
Budget 2026 is the first of this Government's five budgets. We are at the start of a five-year programme for Government. Not everything can be done in year one, but the Government has put in place a significant investment in disability services in the budget. I am conscious of our commitments and my desire, and that of the Government, to support people with disabilities with the cost of disability. The Department of Social Protection package builds on the comprehensive level of support by targeting measures to support carers and recipients of domiciliary care allowance, and making it easier for people with disabilities to progress into and, importantly, stay in employment. We have provided for a €10 increase in the weekly rates of payments such as the disability allowance. That will bring the personal rate of payment to €254 per week from January. There will also be a bonus of a double week's payment in December.
Recipients of disability allowance who have children will see their weekly rates of child support payment increased by €16 to €78 for children aged 12 or over and by €8 to €58 for children under 12 from 1 January 2026. These are the largest ever increases in these payments, which have increased by €48.20 and €28.20, respectively, since 2017. The monthly rate of domiciliary care allowance will increase by €20 to €380 per month from January 2026. This represents an increase of over €700, or 23%, since 2022. The fuel allowance will increase by €5 to €38 per week from January 2026, providing recipients with an additional €140 during the annual fuel allowance season.
I am focused on encouraging people to take up work, and Deputy Kenny's suggestion is one on which I am working. Those moving from disability allowance or the blind pension to take up work will be able to retain their fuel allowance payment for up to five years as a result of the budget. That is important because I am aware that the fear of losing secondary benefits is a significant barrier to people taking up employment. We are making the back-to-work family dividend available to people with children who move off disability allowance or blind pension and into employment. Under this scheme, a person can retain the value of their child support payment for a year and half of its value in the second year in respect of up to four children. That is another important support to help people make the transition into employment.
The wage subsidy scheme referred to Deputy Ó Murchú is a key disability employment support provided by my Department. It aims to encourage employers to offer substantial and sustainable employment. Budget 2026 provides for reducing the number of bands in the wage subsidy scheme from five to three and increasing all the rates so that from April 2026, the base rate will be €7.50 per hour, up from €6.30. Where an employer employs between seven and 16 employees under the scheme, they will receive a new rate of €8.50 per hour. In the case of an employer who has more than 17 employees under the scheme, the new rate will be €10 per hour for each employee. I will revert to the Deputy on his specific query.
The budget also provides for the extension of the wage subsidy scheme to certain people already at work who acquire a disability or whose ability to work has reduced such that their job tasks or role has to be significantly adapted by their employer. These improvements build on other recent enhancements to the scheme. We have reduced the minimum requirement from 21 hours to 15 hours per week. We have modernised the language. We have increased the pool of potential employers by extending the scheme to the community and voluntary sector and to the non-commercial semi-State sector.
We also made significant changes to the carer's allowance means test. The weekly income disregard will be increased by 60% from €625 to €1,000 for a single person and from €1,250 to €2,000 for carers with a spouse, partner or cohabitant. Since June 2022, this will amount to cumulative increases to the disregards of €667.50 for a single carer and €1,335 for a carer who is part of couple, or an increase of just over 200%.
In budget 2026, the Government allocated €3.8 billion to the Department of Children, Disability and Equality for disability services in 2026. This includes funding for community-based specialist disability services to ensure that those with disabilities receive the right support at the right time in the right place. This represents a 20% increase, year on year, and an overall increase since 2020 of €1.8 billion. We have established a dedicated unit in the Department of Children, Disability and Equality to drive reform and to lead a full review of Ireland's disability service model. This unit will work hand in hand with disabled people, their families and representative organisations to shape a long-term vision for services to 2030.
We are not opposing this motion. I look forward to hearing the ideas that are shared. I am absolutely committed to introducing a permanent cost-of-disability payment that is not designed by the Government but that is designed by, and has the input of, those with disabilities and their advocates. There are many with a genuine interest in this area whose views we can capture.
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