Written answers

Thursday, 27 October 2005

Department of Social and Family Affairs

Social Welfare Benefits

5:00 pm

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 11: To ask the Minister for Social and Family Affairs the number of persons who have been availing of the rent supplement for 18 months or more; and if he will make a statement on the matter. [30862/05]

Gay Mitchell (Dublin South Central, Fine Gael)
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Question 29: To ask the Minister for Social and Family Affairs the progress which has been made on the long-term initiative for rent supplement tenants as announced on 4 July 2004; and if he will make a statement on the matter. [30861/05]

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 53: To ask the Minister for Social and Family Affairs the number of persons receiving the rent supplement for 18 months or more who have been passed on to a local authority for a housing assessment; and if he will make a statement on the matter. [30863/05]

Photo of Gerard MurphyGerard Murphy (Cork North West, Fine Gael)
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Question 63: To ask the Minister for Social and Family Affairs the number of persons who were in receipt of the rent supplement for 18 months or more and who were passed on to the local authority for a housing assessment who have had their housing needs met. [30864/05]

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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Question 68: To ask the Minister for Social and Family Affairs the measures he will introduce to alleviate hardship caused to those persons who are ineligible for the new rental accommodation scheme after 18 months on rent supplement; and if he will make a statement on the matter. [30940/05]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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I propose to take Questions Nos. 11, 29, 53, 63 and 68 together.

Under the supplementary welfare allowance scheme administered on my behalf by the community welfare division of the Health Service Executive, a weekly or monthly rent or mortgage interest supplement is available to assist eligible people who are unable to meet their immediate accommodation needs through their own resources.

In recent years, a significant number of people have come to rely on rent supplements for extended periods. In response to this situation, the Government introduced a new initiative in July 2004 aimed at meeting the longer-term housing needs of these people.

These new rental assistance arrangements give local authorities responsibility for meeting long-term housing assistance needs, including the needs of those people on rent supplements for 18 months or longer. Local authorities will meet the housing needs of these individuals through a range of approaches including the traditional range of social housing options, the voluntary housing sector and, in particular, a new public-private partnership type rental accommodation scheme. Some €19 million has been transferred from my Department's Vote to that of the Department of the Environment, Heritage and Local Government this year to help finance this initiative and similar arrangements will apply in successive years as the new arrangements develop.

The new arrangements are being implemented currently in 11 local authority areas. These are the lead authority areas of Dublin, Galway and Limerick City Councils and South Dublin County Council which encompass the most extensive urban areas in the State. Drogheda Town Council, Donegal County Council and counties Offaly and Westmeath are also participating in the first phase. In addition, Cork City and County Councils and South Tipperary County Council are also now implementing the arrangements. These new arrangements will be initiated in all local authority areas by the end of 2005.

The Department of the Environment, Heritage and Local Government has appointed programme managers to assist the lead authorities with the implementation of the new arrangements. These managers are also available to support other authorities over the implementation period. Implementation groups are in place in the lead authority areas to ensure effective ongoing liaison and co-operation locally between housing authorities, Health Service Executive area managements and other agencies.

The aim of the new system is to minimise ongoing dependence on rent supplement by progressing to a situation where local authority accommodation is available for all of those with a long term housing need. The plan is that this situation will be achieved within a period of 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 to those who have a short-term housing need.

In October 2005, there are 59,141 households in receipt of assistance under the rent supplement scheme. Over half of these, almost 33,000 tenants, have been on the scheme for 18 months or more. My Department and the Health Service Executive are actively assisting the local authorities and the Department of the Environment, Heritage and Local Government in implementing the new arrangements.

For example, that Department has been supplied with detailed information in relation to the 33,000 people who have been on rent supplement for 18 months or more. My Department has also provided these details to each of the local authority appointed programme managers. The Department of Environment, Heritage and Local Government has indicated that 31 tenants had transferred to the rental accommodation scheme by September of this year.

The scheme involves structured arrangements to secure long-term availability of privately rented accommodation, particularly accommodation currently occupied by tenants in receipt of rent supplement under the supplementary welfare allowance scheme, and to encourage the supply of additional accommodation.

Implementation of the new arrangements are being closely monitored by both Departments on an ongoing basis. Progress reports are to be submitted to Government at intervals during the implementation phase. The first such report was made in June 2005. An independent initial evaluation of the implementation process will also be undertaken. This evaluation will consider any further measures required to ensure that local authorities are making sufficient progress on the action plan. A further independent post-implementation review will be carried out in October 2008 to evaluate the effectiveness of the action plan in achieving its objectives and to make recommendations to secure these objectives into the future.

When fully operational, the rental accommodation scheme will cater for people with a longer-term accommodation need that they are unable to meet from their own resources. Everyone in this category will be eligible for some form of assistance from their local authority under the scheme, whether that is contracted rental accommodation, voluntary housing or a local authority house. Local authorities are in the process of negotiating with landlords to form a stock of contracted accommodation, as well as negotiating with the existing landlords of tenants on rent supplement.

In this interim phase while they are doing so, it is possible that local authorities may not be able to provide a suitable accommodation arrangement in particular cases, either through lack of immediate availability, or due to some problem with the person's existing accommodation. It is expected that local authorities will deal with any such situation, and provide a suitable solution under the scheme. If they cannot do so immediately for some reason, there is no question of the persons concerned being left without housing support, as rent supplement will continued to be provided by my Department in their existing accommodation on a pro tem basis until the situation is resolved.

The new rental assistance arrangements represent a major step forward in supporting people with longer-term housing needs. There will undoubtedly be problems in developing a comprehensive range of options under the scheme to match demand. Nonetheless, I am satisfied that all of the relevant agencies are co-operating actively to make the system work successfully.

Photo of Ciarán CuffeCiarán Cuffe (Dún Laoghaire, Green Party)
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Question 12: To ask the Minister for Social and Family Affairs if he will increase the fuel allowance for social welfare recipients in view of rising fuel costs; and if such an increase will become effective before the announcement of budget 2006 in December 2005. [30970/05]

Photo of John DeasyJohn Deasy (Waterford, Fine Gael)
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Question 22: To ask the Minister for Social and Family Affairs his plans to extend the period for which the free fuel scheme operates; and if he will make a statement on the matter. [30843/05]

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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Question 79: To ask the Minister for Social and Family Affairs his plans to protect the most vulnerable in society from recent and impending sustained energy price increases; if he has made representations to other Departments on the matter; and if he will make a statement on the matter. [30978/05]

Photo of Willie PenroseWillie Penrose (Westmeath, Labour)
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Question 86: To ask the Minister for Social and Family Affairs if his attention has been drawn to the severe hardship facing many persons on low incomes due to the massive increase in fuel costs, over the past 12 months; if, in view of the fact that the fuel allowance has not been increased since 2002 and remains at just €9 per week, he will agree to a substantial increase in the allowance before winter sets in; and if he will make a statement on the matter. [30941/05]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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I propose to take Questions Nos. 12, 22, 79 and 86 together.

The aim of the national fuel scheme is to assist householders who are in receipt of long-term social welfare or Health Service Executive payments towards the cost of their additional heating needs during the winter season. Fuel allowances are paid currently for 29 weeks from end-September to mid-April each year. Some 274,000 households benefit under the scheme at a cost of €85.4 million in 2005. An allowance of €9 per week is paid to eligible households during this 29-week winter heating period. An additional €3.90 per week is paid to about 123,000 clients living in the designated urban smokeless fuel zones, bringing the amount payable in those areas to €12.90 per week.

In addition to fuel allowance, over 300,000 pensioner and other households qualify for electricity or gas allowances through the household benefits package, payable towards their heating, light and cooking costs throughout the year, at an overall cost of €108.8 million in 2005. As structured, these allowances are linked to unit energy consumption, so that these people are protected against unit price increases in electricity or gas.

It is worth noting that according to my Department's computer records, there is a total of 140,000 people in receipt of both the fuel allowance and the household benefits package. There is also a facility available through the supplementary welfare allowance scheme to assist people in certain circumstances who have special heating needs. An application for a heating supplement may be made by contacting a community welfare officer at any local health centre.

Fuel allowances are a supplementary entitlement payable for part of the year, over the winter heating season. The Government has concentrated budget resources on providing significant real increases each year in all primary social welfare pension, benefit and assistance rates. This is a more costly approach than increasing fuel allowances but it delivers a better outcome for pensioners and others by substantially increasing their income in real terms over the whole year, to better assist them in meeting their normal basic living costs.

Increases in the rate or duration of the fuel allowance would have significant cost implications. For example, increasing the duration of the fuel allowance by one week would cost just under €3 million per annum. Increasing the fuel allowance by €1 per week would cost €8 million per annum. Given these significant potential extra scheme costs involved, any increases in fuel allowance rates or scheme duration would be matters to be considered in the context of the budget, and in the light of my plans for increases in social welfare rates generally. I am keeping the fuel allowance scheme under close review and I will consult as necessary with my cabinet colleagues in this regard.

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