Bernard Durkan (Kildare North, Fine Gael)
Link to this: Individually | In context

Question 191: To ask the Minister for Social and Family Affairs if it is intended to increase, expand or extend the free schemes; and if he will make a statement on the matter. [15597/07]

Séamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

The household benefits package, which comprises the electricity/gas allowance, telephone allowance and free television licence schemes, is generally available to people living in the State, aged 66 years or over, who are in receipt of a social welfare type payment or who satisfy a means test. The package is also available to carers and people with disabilities under the age of 66 who are in receipt of certain welfare type payments. Widows and widowers aged from 60 to 65 whose late spouses had been in receipt of the household benefit package or free travel retain that entitlement. This measure is in place to ensure that households who have this entitlement do not lose it on the death of a spouse.

People aged over 70 years of age can qualify for the household benefits package regardless of their income or household composition. Those aged under 70 must live alone or only with certain excepted people in order to qualify. Excepted people for the purposes of the scheme include qualified adults, dependent children under age 18 or under age 22 if in full time education, people who are so incapacitated as to require constant care and attention for at least 12 months, people who would qualify for the allowance in their own right, people who are providing constant care and attention to any member of the household who is so incapacitated as to require constant care and attention for at least 12 months.

In recognition of recent increases in the price of natural gas and electricity, I have provided for significant increases to the gas and electricity allowances. I provided for the number of units of electricity covered by the scheme to increase from 1,800 to 2,400 with effect from January 2007. I also made provision for an equivalent increase in the natural gas allowance which came into effect in October 2006. These allowances also cover increased standing charges and the associated VAT.

The telephone allowance provides a payment towards telephone service costs. It is applied as a cash credit on recipient's telephone bills. The value of the allowance is set at €20.41 per month (€24.70 including VAT) or €40.82 for those who are billed on a 2-monthly basis (€49.40 including VAT).

In Budget 2007 I provided for the telephone allowance to be extended to cover mobile phones. Under this new arrangement, which takes effect from this month, customers have the choice to opt either for a direct credit to a telephone company for their landline as at present or for a cash payment in respect of their mobile phone.

A range of proposals have been made to extend the coverage of the household benefits package of free schemes. These proposals are kept under review in the context of the objectives of the scheme and budgetary resources.

Bernard Durkan (Kildare North, Fine Gael)
Link to this: Individually | In context

Question 192: To ask the Minister for Social and Family Affairs if he has carried out an evaluation of the extra household running costs incurred by widows and widowers with young families; his proposals to address the issue; and if he will make a statement on the matter. [15598/07]

Séamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

Widows and widowers can qualify for one of a number of different schemes depending on their particular circumstances. The contributory widow(er)'s pension is available to those who satisfy the necessary PRSI contribution conditions, either on their own record or that of the deceased spouse. Those qualifying for this benefit are not subject to a means test.

Those without the necessary PRSI contributions can, if they have qualifying children, receive the one-parent family payment. This is a means tested payment which comprises an earnings disregard, which is designed to assist with the extra costs those with children face in trying to access training or employment. Up to €146.50 of earnings per week is completely disregarded, while earnings in excess of that and up to €375 per week are assessed at 50%. In addition, people whose earnings have risen above €375 per week may be entitled to half of their payment for up to 26 weeks. This upper threshold will increase to €400 per week next month.

The widowed parent grant, introduced in 2000, also provides additional assistance following a bereavement to those with children and is paid in addition to the usual after death payments such as the bereavement grant, currently €850. I was pleased to increase the grant by €1,300 to €4,000 in the last Budget in recognition of the particular difficulties faced by widows and widowers with children on the death of a spouse.

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 widow's and widower's pensions, in relative terms by giving increases which are well in excess of projected inflation for this year. 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 rates of payment for widows and widowers to €185.80 per week for non-contributory payments, and €191.30 for contributory payments.

Increases in the rates of child benefit assist those widowed with children. Since 1997, the monthly rates of child benefit have been increased significantly in accordance with Government commitments. Following Budget 2007 the rates of child benefit were increased to €160.00 per month for each of the first and second children and €195.00 per month for the third and subsequent children. Furthermore, children under 6 years of age also qualify for the annual €1,000 early child care supplement (ECS) announced in Budget 2006. In addition, widows and widowers with children also benefited from the increase in the child dependant allowances to €22 per week.

Widowed persons are also entitled to the fuel allowance, back to school clothing and footwear allowance and other secondary benefits on the same basis as other social welfare recipients. The level 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.

I will continue to keep the range and adequacy of the supports provided under review. As the House will be aware, I launched a Government discussion paper "Proposals for Supporting Lone Parents" last year. This discussion paper proposes replacing the one parent family payment with a new social assistance payment and puts forward a range of proposals for the expanded availability and range of education, training and employment supports for lone parents. The new social assistance payment is being developed by my Department and the Government have asked the Senior Officials Group on Social Inclusion to progress the non-income recommendations in the report.