Written answers

Thursday, 6 October 2005

Department of Social and Family Affairs

Social Welfare Code

5:00 pm

Paddy McHugh (Galway East, Independent)
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Question 179: To ask the Minister for Social and Family Affairs if he will increase the amount allowed to be earned by a person of an old age contributory pensioner from the current amount of €88.88; if same will be increased in budget 2006; and if he will make a statement on the matter. [27187/05]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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For the purposes of most other social welfare payments, entitlement to an increase for a qualified adult is based on the income of the spouse or partner. A qualified adult increase at the maximum rate is payable where the spouse/partner's income is €88.88 per week or less and tapered reduced rates are payable where income is less than €220 per week. The lower threshold was last increased in budget 2000 while the upper threshold has been increased in each successive budget since then, from £135 in 2000 to €220 in budget 2005.

The position is being reviewed but any change in the current arrangements relating to entitlement to qualified adult allowances would have to be considered in a budgetary context and in the light of available resources.

Photo of John CreganJohn Cregan (Limerick West, Fianna Fail)
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Question 180: To ask the Minister for Social and Family Affairs the situation in relation to a person (details supplied); the actual and percentage increase in adult dependant allowances in the past five years and ten years; the increase in threshold for claiming adult dependant allowance in relation to spouses in part-time work and still qualifying for adult dependant allowance; and if it has kept pace with rise in minimum wage rates; if a part-time working spouse works less hours than those worked ten years ago in order to qualify for the adult dependant allowances; and the old age entitlements for a person when they are 65 or 66 years of age. [27176/05]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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The person concerned is an adult dependant on her husband's retirement pension. A reduced rate of increase for an adult dependant, IQA, is payable as the person is engaged in part-time work with a weekly income in excess of €88.88 per week, but less than €220.

One of the key objectives of the 2005 social welfare budget package was to protect and enhance the real value of all rates of payment. Budget 2005 provided for increases in the main personal rates of weekly payments ranging from 8.4% to 13.1% with the same percentage IQA increases. Similarly, the main rates of IQA were also increased by the same percentages thereby ensuring that they did not fall as a proportion of the associated personal rate.

Since the year 2000 the rate of IQA on retirement pension has increased by 53.6% or €43.06, while the consumer price index has risen by 18.8%. Similarly, since 1995, the rate of IQA has increased by 108.2% or €62.11 while the consumer price index has risen by 31.5%. This has given real increases of 29.3% and 8.2%, respectively.

For the purposes of most social welfare payments, entitlement to an increase for a qualified adult is based on the income of the spouse or partner, An increase at the maximum rate is payable where the spouse-partner's income is €88.88 per week or less and tapered reduced rates are payable where income is between €88.88 and €220 per week. The lower threshold was last increased in budget 2000 while the upper threshold has been increased in each successive budget since then from €171.41 or £135 in 2000 to €220 in budget 2005.

When an adult dependant reaches age 65 or 66 he or she may qualify, respectively, for retirement pension or old age contributory pension in his or her own right, provided the contribution conditions are satisfied. If there is no entitlement to a pension or only a reduced entitlement which is lower than the adult dependant increase, the claimant can continue to claim the higher adult dependant increase.

Any change in the current arrangement relating to entitlement to an increase for a qualified adult would have to be considered in a budgetary context and in the light of available resources.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 181: To ask the Minister for Social and Family Affairs the reason persons who are on the rural social scheme cannot get the fuel allowance if they were in receipt of a short-term payment prior to commencing the scheme; the number of persons affected by this ruling on a county basis; and his plans to include these persons for the fuel allowance. [27198/05]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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The rural social scheme was introduced in May 2004 by my colleague, the Minister for Community, Rural and Gaeltacht Affairs, to provide income support to low-income farmers and fishermen and their dependent spouses. The scheme is payable, subject to certain conditions, to people who have been in receipt of a qualifying social welfare payment or who had participated in community employment. The specified qualifying social welfare payment types are farm assist, unemployment assistance, unemployment benefit, disability allowance and the FÁS community employment scheme.

The Department of Community, Rural and Gaeltacht Affairs has advised that fuel allowance payments will be made through the rural social scheme for participants who had an entitlement to fuel allowance previously under their relevant social welfare or employment scheme.

In general, people in receipt of short-term payments such as unemployment benefit-assistance or disability benefit do not qualify for a fuel allowance under the social welfare code. Any change in current arrangements would be a matter for consideration in a budgetary context.

Information on the numbers of persons in receipt of the rural social scheme who are ineligible for fuel allowance is not readily available in my Department. Any issues specific to entitlement or qualifying criteria under the rural social scheme are a matter for consideration by the Minister for Community, Rural and Gaeltacht Affairs in the first instance.

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