Dáil debates
Wednesday, 20 July 2011
Other Questions
Social Welfare Benefits
3:00 pm
Sandra McLellan (Cork East, Sinn Fein)
Link to this: Individually | In context
Question 20: To ask the Minister for Social Protection if she will offer a commitment that there will be no further cuts to the various social welfare payments for carers; and if she will make a statement on the matter. [21358/11]
Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
Link to this: Individually | In context
Question 25: To ask the Minister for Social Protection if she can reassure the 161,000 carers in the country that there will be no further cuts to their payments in Budget 2012; and if she will make a statement on the matter. [21409/11]
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
I propose to take Questions Nos. 20 and 25 together.
There will be an ongoing necessity to curtail overall expenditure in 2012 and in later years. The comprehensive review of expenditure currently under way in all Departments and agencies will form the basis for making the necessary decisions to achieve this. The outcome of the review will be considered by the Government in September.
There are not 161,000 carers in receipt of payments from my Department. That figure is the number of persons identified in the 2006 census as providing as little as one hour of care per week. There are currently just over 51,000 full-time carers in receipt of a carers allowance payment from the Department. This includes almost 22,000 who are receiving half-rate carers allowance in addition to another social welfare payment. There are just over 1,700 people in receipt of carer's benefit. In addition, more than 17,000 people who are not in receipt of a carers allowance or benefit payment received the annual respite care grant of €1,700 in June.
Since the introduction of the carer's allowance, payments to carers have been expanded greatly. Carers allowance was increased in 2007, 2008 and 2009 respectively and recipients are also eligible for household benefits, free travel and the respite care grant.
The rate of carers allowance for those over 66 was maintained at €239 in the budget for 2011. The current rate of carers allowance for those aged under 66 is €204 per week. The estimated expenditure for carers in 2011, including carer's allowance, carer's benefit and the respite care grant is approximately €658 million.
The means test for carers is one of the most liberal means tests in the social welfare system, most notably with regard to spouse's earnings. The income disregard is currently €332.50 per week for a single person and €665 per week for a couple. This means that a couple with two children can earn in the region of €35,400 and qualify for the maximum rate of carers allowance as well as the associated free travel and household benefits. A couple with an income in the region of €59,300 can still qualify for a minimum payment, as well as the associated free travel and household benefits package.
Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
Link to this: Individually | In context
Last week the Minister indicated her intention to do a U-turn on the commitment to maintain social welfare rates by introducing a cut in the household benefits package. That caused huge anxiety among carers and even the words she used in her answer about the means test, calling it one of the most liberal means tests, will cause further anxiety. Will the Minister commit today to not cut or restrict in any way the carer's allowance, half rate carer's allowance, carer's benefit, domiciliary care allowance or respite care grant in the budget in December?
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
A couple with an income of just under €60,000 can still qualify for a minimum payment in respect of carer's allowance while still getting the associated free travel and household benefits package. In anyone's language, that is a generous income disregard.
I have already said the comprehensive review of expenditure is under way and budgetary decisions will be made in the context of the budget in December. I am not in a position to indicate at this point what decisions will be made in the context of the comprehensive review of expenditure and in the context of the budget. I am simply not in a position to say anything; these are budgetary matters for the Minister for Finance and I am not in a position to give an undertaking on them at this point.
Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
Link to this: Individually | In context
When talking about the liberalism of the means test for the carers allowance, is it not the case that the real story is that carers save the State an estimated €2.5 billion euro per year, according to the Carers Association? The cost to the State would be massively higher if those being cared for had to be looked after fully by the State. Is it not also the case that what the Minister calls the generosity of the scheme results from the fact that carers have extra financial burdens, such as increased electricity costs, extra washing and lighting costs, extra heating costs and extra medical bills, along with many other extra burdens that other people do not have to face? That is why we need a carer's allowance. Carers are already shocked that the Minister has cut the home benefits package. All they want is an assurance that given the contribution they make to the State and the welfare of sick and vulnerable people, the Minister will not cut their allowances further.
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
I agree with the Deputy that carers do a very important job. Their contribution in looking after members of their own families with particular needs, who are ill or may have a disability is truly heroic in many cases. However, as I have said, I am not in a position at this time to make any commitments regarding the outcome of the comprehensive review of expenditure or budget 2012. During the years when the economy was doing well we perhaps lost an opportunity to develop services which were often as important to carers, if not more so, than cash amounts, although they are important also. In looking at the best way to assist carers in the important job they do within their own families I will certainly do everything I can to ensure carers are treated as fairly as possible within the system. Given their significance and importance, particularly those providing full-time care for people with various needs, including disabilities, their needs must be recognised.
Michael Kitt (Galway East, Fianna Fail)
Link to this: Individually | In context
I must interrupt the Minister and remind the House that there is one minute to ask a supplementary question and a maximum of one minute for the Minister to reply.
Derek Keating (Dublin Mid West, Fine Gael)
Link to this: Individually | In context
I will be very brief. I know the Minister fully appreciates the value of the role and task of carers, as well as their commitment to helping those most in need of care. Recently I have received a number of complaints from people who are experiencing delays in having their applications for carer's allowance processed. Is the Minister aware of this and does she have any suggestions to make or plans to help to fast-track applications for carer's allowances?
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
Receipt of carer's allowance is based on medical evidence. One of the difficulties with the system is that very often the initial application does not contain sufficient medical evidence of the quality required by deciding officers in the Department. There is scope to improve on this because when decisions on applications for carer's allowance are appealed, the successful appeal rate is over 50% which suggests the initial application submitted is often inadequate. There is something we can do in this regard. Shortly after becoming Minister, I appointed an extra nine appeals officers because I was conscious of how important this matter was. They will not just be deciding on appeals from carers, they will be working throughout the entire appeals structure. We are beginning to make progress in reducing the time taken to process appeals.
David Stanton (Cork East, Fine Gael)
Link to this: Individually | In context
To follow up on an issue raised by Deputy Boyd Barrett, has the Government carried out an objective economic impact assessment of carers' work to assess exactly how valuable their work is from an economic viewpoint? We already know how valuable it is from a human viewpoint. Has any proposal been examined to differentiate between the levels of care provided, for example, low, medium or high dependency? Does the Minister agree it would make sense for somebody who needs high dependency care who is bed-ridden to receive more assistance than someone who needs low dependency care?
Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
Link to this: Individually | In context
It is alarming that the Minister cannot confirm there will not be cuts in this area in the budget. The EU-IMF-ECB troika requires that there be "reforms" - as they are euphemistically called - in the social welfare system. Has the troika commented or made any specific demands concerning carer's allowance?
Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
Link to this: Individually | In context
I have a brief question about carers and the programme for Government. The Labour Party made a commitment in its election manifesto to abolish the habitual residency condition for family carers, in particular. Has there been any such move since the Minister has announced that she cannot stick to the commitment that there will be no social welfare cuts?
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
As regards Deputy Stanton's point on carers providing care for adults or children with a severe disability, I am not aware if such a study has been conducted. The previous Government made commitments in respect of a carers' strategy. From my own experience, the provision of services is as important as providing income. For instance, the provision of services for a child with a high level disability is absolutely critical. I will come back to the Deputy on the matter.
As regards the European Union and the IMF, I can only say to Deputy Boyd Barrett they have not mentioned the matter to me, but that is not to say they have not mentioned it, perhaps to officials, in their detailed discussions with the Department of Finance. What they said about budget 2012 concerned reductions of €3.6 billion, if I remember correctly. These included reductions in expenditure across the board. However, as far as I am aware, they did not specify any particular areas. As regards social protection, they did specify the need to activate people to move them from social welfare back into education, training and gaining work experience. Mr. Chopra was extremely keen on this, as were some of his associates.
As regards the habitual residency condition, I will have to revert to Deputy Ó Snodaigh in some detail.