Trevor Sargent (Dublin North, Green Party)
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Question 88: To ask the Minister for Social and Family Affairs if he has progressed his plan for part of the rent supplement budget to be used for the purchase of housing. [6080/05]

Séamus Brennan (Dublin South, Fianna Fail)
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The supplementary welfare allowance scheme provides for the payment of a weekly or monthly supplement in respect of rent or mortgage interest. This is available to assist eligible people who are unable to provide for their accommodation costs from their own resources and who do not have accommodation available to them from any other source. The scheme is administered, on behalf of my Department, by the community welfare division of the Health Services Executive.

The plan to which the Deputy refers arose from a Government decision in July 2004 to introduce new rental assistance arrangements. These arrangements are being implemented by local authorities on a phased basis over three years under the direction of the Department of the Environment, Heritage and Local Government.

The Government believes that the new arrangements will provide the best solution for disadvantaged people with ongoing housing needs, rather than extended reliance on rent supplements. In this regard an initial sum of €19 million has been transferred from my Department's Vote to that of the Department of the Environment, Heritage and Local Government in 2005 to cover the first year costs of developing and administering the new arrangements. Additional funding will be transferred to the Department of the Environment, Heritage and Local Government over the next three years.

Under the plan, local authorities will develop a range of accommodation solutions for people with long term housing needs who would otherwise rely on rent supplement. This includes people who have been receiving rent supplement for 18 months or longer. The measures involved include the existing range of social housing options, further encouragement of voluntary housing schemes and procurement of a range of suitable rental accommodation units in conjunction with private landlords.

The objective of the new arrangements is to minimise the need for longer-term dependence on social welfare rent supplement by providing an appropriate range of housing options for rent supplement clients in each local authority area. Arrangements are in place to facilitate local authorities to provide these additional options within three years from commencement of the new arrangements in each local authority and in any event no later than September 2008. The rent supplement scheme will continue to provide support for people who have accommodation needs in the short term.

The new arrangements are currently being implemented in seven local authority areas throughout the country. My Department and the Health Service Executive are actively assisting the Department of the Environment, Heritage and Local Government in this process. The new arrangements will have started in all local authority areas by the end of 2005.

This new role for housing authorities enhances their involvement in meeting long-term housing needs generally. It also integrates rent supplement services more closely with overall social housing policy.

I want to emphasise that the rent supplement scheme will continue to be available through the community welfare service for all eligible people who have an immediate accommodation need and who are unable to provide for that themselves.

Denis Naughten (Longford-Roscommon, Fine Gael)
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Question 89: To ask the Minister for Social and Family Affairs the action he is taking to increase the uptake of the FIS scheme; if he will report on the uptake and estimated eligibility under the scheme; and if he will make a statement on the matter. [5859/05]

Dan Neville (Limerick West, Fine Gael)
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Question 106: To ask the Minister for Social and Family Affairs if his Department has ever calculated the number of persons who would be eligible for the family income supplement scheme; and if he will make a statement on the matter. [6093/05]

Michael Noonan (Limerick East, Fine Gael)
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Question 110: To ask the Minister for Social and Family Affairs the number of persons who are eligible for the family income supplement but are not availing of the scheme; the number of persons who avail of the scheme; and if he will make a statement on the matter. [6040/05]

Bernard Durkan (Kildare North, Fine Gael)
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Question 114: To ask the Minister for Social and Family Affairs the number of persons who have applied for family income supplement in the past 12 months; if this represents an increase or decrease on previous years; and if he will make a statement on the matter. [6001/05]

Bernard Durkan (Kildare North, Fine Gael)
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Question 189: To ask the Minister for Social and Family Affairs the number of applications for family income supplement received in the past 12 months; the number refused, approved or pending; the way in which this figure compares with the previous year; and if he will make a statement on the matter. [6268/05]

Mary Upton (Dublin South Central, Labour)
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Question 199: To ask the Minister for Social and Family Affairs the current number of claimants for family income supplement; his estimate of the number of households which might be entitled to claim this payment; and the steps he will take to improve take-up of this supplement. [6336/05]

Séamus Brennan (Dublin South, Fianna Fail)
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I propose to take Questions Nos. 89, 106, 110, 114, 189 and 199 together.

Family income supplement is designed to provide cash support for people with families on low earnings. This preserves the incentive to remain in employment in circumstances where the employee might only be marginally better off than if he or she were claiming other social welfare payments. The number of persons who applied for family income supplement in the year to December 2004 was 21,020, which represents a substantial increase on 2003 when the numbers of applications received was 18,164. Similarly, the current level of applications represents a significant increase over previous years.

In 2004, there were 17,979 applications approved compared with 13,868 in 2003 while the number of applications refused was 3,507 in 2004 compared with 3,230 in 2003.

The number of claims pending at end of 2004 was 1,175, which was substantially less than at end 2003 when there were 2,582 claims pending.

The number of persons in receipt of family income supplement, FIS, at 31 December 2004 was 14,727, which shows an increase on previous years. The average value of FIS payments that week was €69.68. The numbers of persons who were in receipt of FIS in recent years were as follows: 2000, 13,181; 2001, 11,840; 2002, 12,043; and 2003, 12,317.

Improvements to the family income supplement scheme, including the assessment of FIS on the basis of net rather than gross income and the progressive increases in the income limits, have made it easier for lower income households to qualify under the scheme.

In addition, the increase in the minimum FIS payment to €20 has made it more attractive to those with only a marginal entitlement.

In this year's budget, I provided for further increases in the FIS income limits with effect from January 2005.

These unprecedented increases raised the weekly income limits by €39 at each point, adding an extra €23.40 to the payments of most existing FIS recipients. As a result, an estimated 2,600 additional families should qualify for payment.

It is difficult to ascertain with any precision the rate of FIS take up. Research undertaken by the Economic and Social Research Institute in 1997, which was based on the Living In Ireland Survey 1994, suggested that fewer than one in three eligible claimants were actually in receipt of the payment. However, since then labour market conditions and wages have changed significantly. Rising levels of remuneration, including the impact of the national minimum wage, will mean some applicants are above the income thresholds for their family size. Changes in taxation and PRSI have improved take-home pay for the lower paid. Also, the numbers of families where both parties are in employment have increased.

On this question of take-up a working group, chaired by the Department of Finance, was established to examine the role which refundable tax credits could play in the tax and welfare system, with a specific brief to examine the possible payment of FIS through the tax system.

While the group's final report is awaited, I understand that the principal recommendation regarding FIS is likely to be to continue payment through the social welfare system while maximising effects to increase take-up.

My Department undertakes a number of pro-active measures to ensure that people are aware of possible entitlement to FIS, which include advising all newly awarded one parent family payment recipients, advising all employers annually in PRSI mailshots and examining entitlement in all awarded back to work allowance cases. Information on FIS is contained in all child benefit books and can be accessed on the Department's website. In addition, the scheme has been extensively advertised through local and national media outlets, including newspapers and radio, as well as through poster campaigns and targeted mailshots.

Every effort will continue to be made to publicise family income supplement and to increase people's awareness of their social welfare entitlements generally.