Séamus Kirk (Louth, Fianna Fail)
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Question 7: To ask the Minister for Social Protection the number of farmers that have been affected by the changes to farm assist announced in Budget 2012; the amount of savings she anticipates making on the changes; and if she will make a statement on the matter. [11724/12]

Joan Burton (Dublin West, Labour)
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The changes in the farm assist scheme referred to by the Deputy will result in estimated savings of €5 million in a full year and will affect approximately 10,000 recipients. Farm assist is a means-tested payment which is broadly similar to jobseeker's allowance. There are currently approximately 11,310 recipients on the scheme. It is expected to cost €115 million this year, slightly up from approximately €114 million in 2011.

The farm assist means assessment takes into account expenses incurred in relation to farming activities and also includes two sets of disregards that are unique to the farm assist scheme. In arriving at net income, gross income is first established and all expenses necessarily incurred in carrying out self-employment are deducted and then the two sets of disregards are applied. Income and expenditure figures for the preceding year are generally used as an indicator of the expected position in the current year. However, account can be taken of any exceptional circumstances so as to ensure that the assessment accurately reflects the current situation.

Budget 2012 contained two measures relating to farm assist, both of which affect the special disregards. The first measure increases the assessment of means from self-employment, including farming and any other self-employment, from 70% to 85% of net income. The second measure halves the deductions from net income in respect of children to €127 per year for each of the first two dependent children and €190.50 per year for each subsequent child. These measures align the farm assist scheme more closely with the jobseeker's allowance scheme on which it is based, but the means assessment for farm assist is still the more favourable of the two.

Additional information not provided on the floor of the House

Assessment of means from self-employment for jobseeker's allowance is currently 100% and there are no disregards for child dependants.

The measures apply to new claimants from 1 January 2012. For existing claimants, review forms together with an explanatory letter are currently issuing to all farm assist claimants. Claimants will be given two weeks to return the forms. Where this review results in entitlement to a lower rate of payment, each recipient will receive a letter detailing their revised payment levels. A revised decision will issue if the review results in a cessation of entitlement. If a farm assist customer's position changes after their payment rate has been revised, he or she can apply to have his or her means reviewed in light of his or her changed circumstances. In addition, it is open to the individual, if he or she is dissatisfied with the means assessed, to appeal the decision to the social welfare appeals office.

These measures increase equity in the social welfare system by bringing the conditions of the scheme closer to those of jobseeker's allowance and are fair and equitable in our current economic circumstances.

Barry Cowen (Laois-Offaly, Fianna Fail)
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Despite buoyant food prices and the upturn in the farm income in recent years, farmers have been greatly affected by recession and rising production costs. The average farm income remains below €20,000. Under the changes, farmers are finding it more difficult to access the €188 farm assist payment, although it remains a core income supplement for those farmers who seek it. The Minister said that the changes in the scheme will affect 10,000 recipients. Is she considering any other significant changes to farm assist and has the number of visits by welfare officers to farm assist recipients increased over the past 12 months? If so, has the Minister the figures available or will she make them available?

Joan Burton (Dublin West, Labour)
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As I said, the farm assist scheme currently benefits 11,311 farmers and farm families. Approximately 10% of them are not affected by this measure because they have little or no income from farming. As I indicated in my reply, the disregards that apply are significantly in excess of what is provided under jobseeker's allowance. In fact, farm assist will continue to constitute a significant support for people with a mixed income, some of which comes from farming and some of which comes from the social income support that is made available through farm assist. As I said, the total expenditure on the scheme is likely to be increased by €1 million this year, from €114 million to €115 million. Obviously, we have been obliged to make savings in the social welfare budget, as set out in the original agreement between the troika and the Deputy's party. We have attempted to do that in a way that keeps the core social welfare benefits intact, while targeting the available funds in the best way possible.

Barry Cowen (Laois-Offaly, Fianna Fail)
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The Minister mentioned that approximately 11,300 people are receiving this supplementary income. That represents an increase of 46% on the 2008 figure and shows how important this is. That is why I asked for a commitment that no further or additional changes are planned in this area. I would also like to ask about the welfare officers who visit recipients of farm assist payments. Can the Minister confirm on the record how many visits have taken place? Can she give information on the extent to which the number of visits by welfare officers to those who receive farm assist has increased? If the Minister does not have that information now, I will accept it at a later date.

Joan Burton (Dublin West, Labour)
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I do not have records with me on the number of visits by inspectors. I will ask officials in the Department to send that information to the Deputy. The changes took place in the context of budget 2012. There are no proposals for any further changes. As the Deputy will appreciate, I am not in a position to give undertakings about future budgets.