Seymour Crawford (Cavan-Monaghan, Fine Gael)
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Question 170: To ask the Tánaiste and Minister for Health and Children her plans to re-examine the grant available through subvention for nursing homes in view of the serious increase in energy and other running costs of the nursing homes, which are now being passed on to individuals and families; if she has satisfied herself that the present rate of subvention is sufficient; and if she will make a statement on the matter. [18999/05]

Seán Power (Kildare South, Fianna Fail)
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The Health (Nursing Homes) Act 1990 allows for the payment of a subvention towards the cost of nursing home care based on medical and means assessments. The process used in determining a person's eligibility for subvention is set out in the Nursing Homes (Subvention) Regulations 1993.

As the Deputy will be aware, the placing of a person in a private nursing home is a private matter between the person or his or her representatives and the nursing home proprietor, as are the fees charged by a nursing home. The subvention scheme was introduced to assist with the cost of private nursing home care and it was never intended that a subvention payment would meet the full costs of private nursing home care.

The Government is conscious of the changing demographic profile of our population, with more people living longer lives and the consequential greater demand for services, both community based and residential. The Mercer report on the future financing of long-term care in Ireland, which was commissioned by the Department of Social and Family Affairs, examined issues surrounding the financing of long-term care. Following on the publication of this report, a working group chaired by the Department of the Taoiseach and comprising senior officials from the Departments of Finance, Health and Children and Social and Family Affairs has been established.

The objective of this group is to identify the policy options for a financially sustainable system of long-term care, taking account of the Mercer report, the views of the consultation that was undertaken on that report and the review of the nursing home subvention scheme by Professor Eamon O'Shea. This group has been requested to report to both the Tánaiste and Minister for Social and Family Affairs by mid-2005.