Dáil debates

Thursday, 14 December 2006

Other Questions

Social Welfare Benefits.

6:00 pm

Photo of Paul GogartyPaul Gogarty (Dublin Mid West, Green Party)
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Question 6: To ask the Minister for Social and Family Affairs if he will verify that there is a backlog of 15,000 claims for child benefit on behalf of non-resident children; and the reasons for such a backlog. [43246/06]

Photo of Jan O'SullivanJan O'Sullivan (Limerick East, Labour)
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Question 15: To ask the Minister for Social and Family Affairs the estimated increase in the cost of welfare claims in 2007 arising from the entitlement of EU migrant workers to the new child care supplement and child benefit; the level of increase in applications for such benefits that has been evident since the beginning of 2006; his views on these increases; and if he will make a statement on the matter. [43137/06]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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I propose to take Questions Nos. 6 and 15 together.

Child benefit and early child care supplement are regarded as family benefits under EU Regulation 1408/71. Consequently, EU migrant workers have an entitlement to these payments in respect of their children even if the children are resident in the workers' home countries. There are just more than 32,000 EU nationals in receipt of child benefit for 57,000 children who are resident with them in Ireland. Of these, some 16,500 are UK nationals and a further 11,500 are nationals of the ten states that joined the EU in 2004.

In the case of EU nationals who work in Ireland, but whose families remain in their home countries, it is necessary in determining any entitlement to child benefit or early child care supplement to contact the authorities in the country of residence of the children to confirm details and establish what, if any, family benefits are payable there. This process can take a number of months to complete.

In 2005, the number of claims in respect of non-resident children of EU nationals was 30 per week. Since the start of 2006, the number of claims has averaged close to 300 per week. At the start of 2006, child benefit was in payment under EU regulations for 650 families in respect of 1,320 children resident abroad. There are 599 families receiving child benefit in respect of 1,444 children resident outside Ireland. Some 90% of these children are resident in the UK.

There is a total of some 14,000 child benefit claims awaiting finalisation under EU regulations. As mentioned earlier, these claims generally take longer to process than domestic claims due to the need to communicate with the authorities in the claimant's home country.

Additional information not given on the floor of the House.

The rules of entitlement for benefits in other EU countries can be different to those in Ireland. For example, in the case of Poland, administration of social security schemes is regionalised. This involves my Department determining which regional authority needs to be contacted to process the claim and, as the claimants may not be certain as to which regional centre is responsible for handling their claims, this can result in delays.

In addition to establishing the facts, an additional level of control and accuracy is required. The fact that foreign workers may spend a relatively short time in Ireland before returning to their home countries means it is necessary to establish in all cases that the claimants are still living and working in Ireland before making any payments.

Given these factors and combined with the surge in claims during 2006, my Department is understandably having difficulty in processing these claims as quickly as we would like. Measures that are being taken include the use of overtime to process these cases and the deployment of some additional staff on a temporary basis in the sections concerned. I am having the overall level of resources in the area examined by my Department's management services unit.

My Department has also engaged, on a trial basis, a small number of Polish-speaking clerical staff, as the majority of claims under EU regulations are in respect of Polish workers. The trial has been successful to date and my Department is considering how a more permanent arrangement might be put in place.

The total child benefit expenditure for EU migrants with non-resident children in respect of 2006 is estimated at €36 million or 1.8% of overall child benefit expenditure of €2.04 billion. The total cost in 2007 is difficult to estimate, but by current trends, the potential accrued cost could be of the order of €85 million. The corresponding figures for early child care supplement are €9 million in respect of 2006 and €17 million in respect of 2007.

Jim Glennon (Dublin North, Fianna Fail)
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There will be no time for supplementary questions.