Written answers

Wednesday, 22 March 2006

Department of Social and Family Affairs

Social Welfare Benefits

9:00 pm

Photo of Joe HigginsJoe Higgins (Dublin West, Socialist Party)
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Question 180: To ask the Minister for Social and Family Affairs if he will substantially increase the amount women in receipt of deserted wife's benefit are allowed to earn in employment before their benefit is affected in view of the fact that from June 2006 persons in receipt of one-parent family payment, earning between €146.50 and €375.00 per week, can still qualify for a reduced payment. [11316/06]

Photo of Séamus BrennanSéamus 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. The upper income ceiling applying to deserted wife's benefit of €17,776.33, gross, in 1997 has not changed since then and I consider that it remains appropriate to the scheme.

With over 80,000 unmarried and separated parents with caring responsibilities receiving support under the one-parent family payment, I was glad to be able to increase the earnings ceiling for the one-parent family payment in this year's budget from €293 per week to €375 per week or €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. They would then be able to revert to deserted wife's benefit at a later stage if entitlement to one-parent family payment ceased.

On Monday of this week, I launched a major Government discussion paper, Proposals for Supporting Lone Parents, which addresses the social exclusion and risk of poverty faced by low income families and their children. The report puts forward radical proposals for reform of the income support system for all parents on a low income. The report proposes an expanded availability and range of education and training opportunities for lone parents, the extension of the national employment action plan to focus on lone parents, focused provision of child care, improved information services for lone parents and the introduction of a new parental allowance for low income families with young children.

The Government will listen closely to the views expressed as this report is debated and will give very serious consideration to them. As soon as I am convinced that we have reached conclusions that are fully workable and clearly thought out, it will be my intention in the months ahead to take these proposals to Cabinet for discussion and decisions.

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 182: To ask the Minister for Social and Family Affairs his proposals to ease the eligibility guidelines for farm assist; and if he will make a statement on the matter. [11330/06]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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The farm assist scheme was introduced in 1999 as an income support scheme for low income farmers. It is a means tested scheme with a more favourable method of assessment, including disregards in respect of qualified children, than had applied under the previous smallholders' unemployment assistance scheme.

The scheme was further improved in two ways from 2000. The child-related income disregards were increased by €126.97, bringing them to €253.95 in respect of each of the first two children and to €380.92 in respect of the third and subsequent children; and the means assessment rate was reduced from 80% to 70%, thereby increasing the income from self employment which a farm assist claimant can keep before the level of payment is reduced. Farm assist recipients also benefited from improvements to the capital assessment regime which were introduced in 2000 and 2005. I have no proposals to make further changes to the scheme at this time.

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 183: To ask the Minister for Social and Family Affairs the number of persons currently in receipt of rent support; the extent to which this number has fluctuated in the past five years; and if he will make a statement on the matter. [11331/06]

Photo of Séamus BrennanSéamus 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. Neither I nor my Department has any function in decisions on individual claims.

The number of recipients of rent supplement from 2001 to 17 March 2006 is shown in the tabular statement. At the end of 2001 the numbers in receipt of rent supplement stood at 45,028 and 60,175 at the end of 2005, an increase of some 33.6%. The trend for the start of 2006 shows a further increase in the number in receipt of the supplement.

Rent supplement is a short term income support need. In recent years, however, a significant number of people have come to rely on rent supplements for extended periods, including those on local authority housing lists.

In response to this, the Government has introduced new rental assistance arrangements giving local authorities specific responsibility for meeting the needs of people receiving rent supplement for 18 months or more, on a phased implementation basis. When fully operational, 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 rental accommodation scheme. These arrangements are intended to be a long-term housing option for the people concerned and when fully implemented rent supplement will have returned to its original objective, namely, to provide a short term income support payment.

Recipients of Rent Supplement at end 2001 to date
Year Recipients
2001 45,028
2002 54,213
2003 59,976
2004 57,874
2005 60,176
3/06 60,382

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