Seanad debates

Tuesday, 13 December 2022

Social Welfare Bill 2022: Committee and Remaining Stages

 

11:00 am

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

I will speak to amendments Nos. 5, 6 and 12, which have been grouped together. The Department partly funds the excellent, detailed work of the Vincentian MESL Research Centre and has used this research as a key input into consideration of budget options in recent years. I value the insights this research provides. The Vincentian MESL Research Centre at the Society of St. Vincent de Paul publishes an annual update which already examines the issues raised by the Senator, namely, income adequacy for various household types, including those receiving a contributory or non-contributory State pension, in urban and rural areas. It should be noted that, based on the most recent MESL annual update, older people living alone in an urban area have an income above the cost of MESL. The House will be aware that the Department uses this research, alongside other research from, for example, the CSO and the ESRI, to inform policymaking in a few areas. Indeed, on foot of this research, we have significantly increased the living alone allowance in recent years. In addition, the Government has responded to the report of the Commission on Pensions on a benchmarking and indexation approach to the rate of payment for State pensions. The introduction of the smoothed earnings approach, as recommended by the commission, as a key input to the budgetary process will begin next year. On this basis, I will not accept amendment No. 5.

I also do not propose to accept amendment No. 6 as the rate change in the non-contributory State pension is a matter for consideration in the overall context of the budget. In budget 2023, the largest social welfare package in the history of the State, I announced that all primary social welfare rates would increase by €12, including the non-contributory State pension. Consequently, the maximum weekly rate from January 2023 will be €254. Many of those in receipt of the non-contributory State pension will have received the double weekly payments in October and December. In addition, many will have received the three fuel allowance lump sums this year and the living alone lump sum paid in November.

With regard to amendment No. 12, the review will cover the treatment of income and disregards across schemes generally and will, therefore, include examination of thresholds and their impact for the non-contributory State pension.

Victims of domestic violence automatically get rent supplement. I introduced this measure last year to ensure anybody in this awful position will get the support of rent supplement to enable him or her to acquire other accommodation.

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