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Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: As Senator Mooney noted, we had a detailed discussion on this yesterday. Since the bank crash in 2008 the Department has spent €319 million on the payment. Reference has been made to other solutions. I only wish that some of that had gone on mortgage-to-rent solutions. I gave some examples yesterday. Essentially, we have ended up in some cases paying between €50,000 to...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: Over four years.

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: Yes.

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: I emphasise again that in one case I drew to Members' attention yesterday, two loans were taken out on a house totalling €230,000. Mortgage interest supplement was paid for six years, while people's-----

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: ----- lives were put on hold, as the capacity to work and perhaps to start one's own business again is heavily restricted. Over that period, mortgage interest supplement of €46,000 was paid, at the end of which the loan outstanding actually had risen to €241,000, that is, by €11,000. My point to Members is this money is simply going straight to the banks and what is...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: More than €319 million has been spent in this regard since the bank crash. I often discussed this issue with Senator Byrne's colleague, the former Minister for Finance, the late Brian Lenihan, who incidentally was a friend of mine. Had a resolution process been put in place-----

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: I am aware of that and I also had the highest regard for him personally. However, we often discussed these issues privately and away from politics and to be perfectly honest, I must state bluntly that €319 million simply has been given to the banks, as opposed to seeking a resolution process. I acknowledge the resolution processes have been slow in getting under way but they are now...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: We have set up a resolution process which was the appropriate thing to do in respect of banks which have many mortgages that have fallen way below their value. People who have lost employment are finding it very difficult to pay off mortgages they may have taken out at the height of the boom. In essence, that is the problem. The Senator asked if there was a resolution process from the...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: The Department of Social Protection has set up with the banks an information and advice service on a telephone basis through the Citizens Information Bureau which is a well-respected source of information. In addition, we have offered a consultation, which is paid for by the banks but independent of the banks, for people who are being offered a resolution process where they can get a...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: I appreciate the sentiments expressed by Senator Cullinane but I do not propose to accept his amendment. There is no monetary value attached to a PRSI credit and, therefore, it is not relevant in terms of a recoverable benefit. The injured person will have received his or her entitlement to benefits and they will be refunded to the Department of Social Protection by the compensator, where...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: The proposals follow recommendations made by the Law Reform Commission and closely follow the scheme in the UK and Northern Ireland. I am not aware of the situation described by the Senator but we will keep the matter under review and examination. As Senator Moloney said yesterday, it is hard to credit that the Department of Social Protection in Ireland has forever failed to reclaim moneys...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: As I said, we have been heavily advised by the Personal Injuries Assessment Board, PIAB, the report of the Law Reform Commission and the scheme in the United Kingdom and in the North. The legislation closely mirrors the recommendations and the scheme operating in the UK but I am happy to discuss with the officials any difficulties Senators believe will arise. This is a standard recovery of...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: Regarding the recovery positions, the claimant will already have received their social welfare entitlements and the legislation is dealing with recovery of these benefits that have already been paid from compensation where appropriate. The appeal process covered in section 13(c) relates specifically to questions as to whether the benefits the Department is seeking to recover are covered by...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: As we build up experience of this we will be constantly reviewing it because it is a first for Ireland, and it is probably something that should apply in the medical area as well. The notion is that if people are paid compensation by compensators and they have already had some or all of their costs covered by the public purse, they should not in effect be paid twice and that the public purse...

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: The matters of recovery are recovery from the compensator. The intention is not that the person who has been in an accident and is making a compensation claim should be at a loss. Instead, the intention is that they should not be doubly paid but that the State should recover the money it has outlaid in terms of the injured party for the period before compensation is made.

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: No, it lasts for a full year after a person's 65th birthday.

Seanad: Social Welfare and Pensions Bill 2013: Committee Stage (6 Nov 2013)

Joan Burton: I refer first to the important issue raised by Senator Cullinane. The State pension transition facility was abolished and changes were made to jobseeker's benefit. I would like to clarify that somebody who seeks this benefit at the age of 65 or later will be paid until his or her 66th birthday when he or she qualifies for the State pension. In 2021 and 2028, further proposed changes to the...

Written Answers — Department of Social Protection: Free Travel Scheme Applications (7 Nov 2013)

Joan Burton: The Companion Travel Pass for the person named above was medically assessed by a Medical Assessor on 5 November 2013. The medical opinion has been conveyed to Household Benefits Section, Sligo and the applicant will be contacted shortly regarding the decision on her application.

Written Answers — Department of Social Protection: Domiciliary Care Allowance Applications (7 Nov 2013)

Joan Burton: An application for domiciliary care allowance was received on the 28th August 2013. The application was disallowed as the child was not considered to satisfy the qualifying conditions for the allowance and a letter issued on the 23rd September 2013 advising of the decision. A review of this decision has been requested and additional information on this child’s condition/care needs...

Written Answers — Department of Social Protection: Invalidity Pension Appeals (7 Nov 2013)

Joan Burton: The Social Welfare Appeals Office has advised me that an invalidity pension appeal by the person concerned was registered in that office on 21 October 2013. It is a statutory requirement of the appeals process that the relevant Departmental papers and comments by the Deciding Officer on the grounds of appeal be sought. When these have been received from the Department, the case in question...

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