Ruairi Quinn (Dublin South East, Labour)
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Question 169: To ask the Minister for Social and Family Affairs the restrictions that apply to recipients of supplementary welfare allowance regarding their access to training courses for the purposes of upskilling, retraining or re-education; the basis for these restrictions; if, in the interests of upskilling and retraining the labour force, he will consider abolishing or easing such restrictions where they prevent and are an impediment to, a person wishing to partake in retraining or further education; and if he will make a statement on the matter. [25436/06]

Séamus Brennan (Dublin South, Fianna Fail)
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The supplementary allowance (SWA) scheme is administered on my behalf by the Community Welfare division of the Health Service Executive (HSE). The scheme provides assistance to any persons in the State whose means are insufficient to meet their needs and those of their dependants, subject to qualifying conditions.

I am very conscious of the need to facilitate persons in receipt of social welfare payments to take up 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 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 childcare allowance to participants on certain courses. Budget 2006 provided that these childcare allowances are to be treated in the same manner as a lunch or travel allowance and disregarded.

Under legislation a number of categories are specifically excluded from receiving assistance under the Supplementary Welfare Allowance Scheme. People in full-time education are normally excluded from receipt of rent supplement under the supplementary welfare allowance scheme. However, people participating in approved courses under the back-to-education allowance (BTEA) scheme receive a standard weekly rate of payment equivalent to the maximum rate of their previous social welfare payment and may retain any secondary benefits, such as rent supplements, fuel allowance or diet supplements which had been in payment prior to the commencement of their education course. These special provisions are in place to encourage and facilitate people to improve their skills and qualifications and, therefore, their prospects of returning to the active work force.

The BTEA programme was established to encourage and facilitate people on certain social welfare payments to improve their skills and qualifications and, therefore, their prospects of returning to the active work force. The requirement to be in receipt of a relevant social welfare payment for a minimum period has always been a feature of the scheme and is considered necessary to ensure that limited resources are directed at those most in need.

People already in employment are not considered to be in the target group for the scheme. An applicant must be in receipt of a relevant social welfare payment for at least six months, in the case of people wishing to complete a second level course, or twelve months in the case of people wishing to pursue third level qualifications. The twelve month requirement is reduced to nine in the case of people who wish to attend a third level course and who are participating in the National Employment Action Plan.

In the context of the Budget I announced that time spent in receipt of supplementary welfare allowance can count towards the qualifying period for back to education allowance in circumstances where the person establishes an entitlement to a relevant social welfare payment prior to commencing an approved course of study. This new provision will come into effect from September 2006. At present, to qualify for participation in the BTEA scheme an applicant must be, prior to commencing an approved course of study, at least 21 years of age (18 for people with disabilities).

Overall I consider that the current supplementary welfare allowance provisions ensure that people have a financial incentive to take up education or training opportunities. I would also mention that these arrangements are being considered further in the context of a policy review of the supplementary welfare allowance scheme which is due to be completed shortly.