John Deasy (Waterford, Fine Gael)
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Question 301: To ask the Minister for Social and Family Affairs if he will increase the income limits for recipients of the deserted wife's benefit who applied for this payment after the introduction of an earnings limit on or after 31 August 1992; the gross annual earnings allowable for receipt of the maximum rate; if this limit has been increased in line with inflation since its inception; and if he will make a statement on the matter. [39261/05]

Séamus Brennan (Dublin South, Fianna Fail)
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Deserted wife's benefit is a payment made to a woman deserted by her husband. Entitlement to payment is based on social insurance contributions paid by the wife or her husband. An earnings limit was introduced for deserted wife's benefit in 1992. The limit, which applied only to new claims after August 1992, was set at €12,697.38 a year, gross earnings. Where earnings are in excess of €12,697.38 a year, there may be entitlement to a reduced rate of payment of deserted wife's benefit, provided gross earnings do not exceed €17,776.33 a year.

Following the introduction of the one parent family payment in 1997, the deserted wife's benefit scheme was discontinued with effect from 2 January in that year. The scheme for deserted wives under social insurance has been retained to the extent that existing entitlements already acquired in August 1992, when the earnings limit was introduced for new claimants, and in 1997, when the one parent family payment scheme was introduced have been preserved.

I have, in the budget, increased the upper earnings limit for the one parent family payment to €19,500 a year, gross earnings. Recipients of deserted wife's benefit with dependent children may transfer to the one parent family payment if it is beneficial for them to do so.