Tommy Broughan (Dublin North East, Labour)
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Question 78: To ask the Minister for Social and Family Affairs if his attention has been drawn to concerns expressed by organisations offering support for lone parents regarding the decision to include training allowance payments in assessment for rent supplements; if, in view of the importance of facilitating lone parents who wish to avail of training opportunities, he will reconsider the decision; and if he will make a statement on the matter. [4700/06]

Séamus Brennan (Dublin South, Fianna Fail)
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The supplementary welfare allowance scheme, which includes rent supplement, is administered on my behalf by the community welfare division of the Health Service Executive. The purpose of the scheme is to provide short-term income support to eligible people living in private rented accommodation whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source. Neither I nor my Department has any function regarding decisions on individual claims.

Under the rules of the scheme, rent supplements are calculated to ensure that an eligible person after the payment of rent has an income equal to the rate of supplementary welfare allowance appropriate to his or her family circumstances, less a minimum contribution of €13 which each recipient is required to pay from his or her own resources.

The regulations governing rent supplement stipulate that, in addition to the minimum contribution, recipients are also required to contribute towards their rent any additional assessable means that they have over and above the appropriate basic supplementary welfare allowance rate. The assessment of additional income of participants on a training course has always been a feature of the SWA scheme. However, the fact that income is assessed does not mean that the amount of rent supplement is reduced because significant income disregards are applied.

The Department is very conscious of the need to facilitate persons in receipt of social welfare payments to take up employment and training opportunities and to ensure that the social welfare supports are structured to support this objective. A number of measures have been introduced in recent years to remove disincentives to taking up employment and training opportunities and to assist in the transition from welfare to work. These measures include easing of means tests through income disregards and the tapered withdrawal of benefits as earnings increase.

Where a person has an additional income as a result of participation on a training course, the means test now provides for a weekly disregard of up to €60 per week with half of any additional income between €60 and €90 also disregarded for means assessment purposes. For those participating in approved training courses, any lunch or travel allowances that are paid may also be disregarded. In addition certain training courses now provide a child care allowance to participants on certain courses. Budget 2006 provided that these child care allowances are to be treated in the same manner as a lunch or travel allowance and disregarded.

I consider that the current rent supplement additional income disregards ensure that people have a financial incentive to take up training opportunities, but I will continue to keep the issue under review.