Written answers

Thursday, 1 March 2007

Department of Social and Family Affairs

Pension Provisions

5:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 181: To ask the Minister for Social and Family Affairs if he or his Department have examined the degree to which widows or widowers pensions could be improved in line with increased costs including family generated household running costs; and if he will make a statement on the matter. [8230/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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One of the key objectives of the 2007 social welfare package was to protect and enhance the value of all weekly rates of payment, including the rate of widows or widowers pensions, in relative terms by giving increases which are well in excess of projected inflation (4.1%) for this year.

In Budget 2007, contributory State pensions, including the widow/er's contributory pension (aged 66 and over) were increased by €16 per week, or 8.3% with proportionate increases being given to those on reduced rates of payment. Last September, the State pension non-contributory replaced the widow/er's non-contributory pension (and other schemes) for widows and widowers aged 66 an over. The new pension was increased by €18 per week or 9.9%. This means that the Government has now achieved its commitment to bring the rate of the basic State pension to €200 per week.

Younger widows and widowers benefited from the €20 per week increase, or 12.1%, in the weekly rates of payment for persons of working age, including the widow/er's non-contributory pension (aged under 66) and the one parent family payment. This increase brings the lowest rates of payment to €185.80 per week, thereby ensuring that the Government commitment on the lowest rates of payment is fully achieved.

Widows and widowers with children also benefited from the increase in the child dependant allowances to €22 per week and the €10 per month increase in Child Benefit rates. In addition, the fuel allowance was increased by €4 per week to €18. This means that this allowance has doubled over the last two Budgets. Last September, I announced that the number of free units of electricity and gas paid under the Household Benefits Scheme would increase by 600 units a year to 2,400 units with effect from January last.

Finally, I increased the widowed parent grant by €1,300, to €4,000, with effect from Budget Day in recognition of the particular difficulties faced by widows and widowers on the death of a spouse. By any standards, the levels of increases and other improvements announced in the Budget were exceptional and a further demonstration of this Government's ongoing commitment to the most vulnerable in our society.

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