Seán Power (Kildare South, Fianna Fail)

I thank Senators for their contributions since Second Stage, the interest they have shown in issues concerning the elderly and the help they have given in promoting that cause, which is a priority of the House and is debated regularly.

The Bill was designed to put the current subvention arrangements on a sound legal footing. The bulk of the amendments made in the Seanad relate to a range of interim measures put in place in respect of 2007 that will benefit many of those in private nursing terms in the immediate term prior to the introduction of the new nursing home care support scheme in 2008. The interim measures have been in force since 1 January and are being transposed into primary legislation via this Bill.

A single maximum subvention rate of €300 has replaced the previous three levels of dependency and the property threshold has increased from €300,000 to €365,000 in respect of houses outside Dublin when combined with an income of at least €10,400. A person's residence will only be taken into account for a maximum of three years. A number of other changes have been made. For example, the net effect of another provision is to enable private home care providers to be exempted from VAT, which is in line with the Government's policy focus on home care and will encourage more growth. It will reduce the cost of home care, which will be welcome news for those availing of it or who wish to avail of it.

The House will agree that amendments tabled on Committee and Report Stages relate to positive changes that will make the subvention scheme fairer and more equitable, thus contributing to the well-being of our elderly citizens. More changes will follow in the form of the new nursing home care support scheme. Senators would acknowledge that the current scheme is far from perfect. We have made a number of changes to improve the lot of an additional 2,000 people who would not have been eligible for subventions previously.

The new scheme, entitled A Fair Deal, has been well publicised and will take effect on 1 January 2008. After extensive analysis, it is viewed as the fairest and most equitable means of supporting elderly people in residential care. It will create an equitable scheme for those in public and private care and will bed down the concept of co-payment between the individual and the State for the cost of long-term care.

Legislation is expected before the Houses in autumn. Regardless of who is in charge of the ship at that time, we will have ample opportunity to examine and debate the legislation. I hope that we will all be present to do so.