Written answers

Wednesday, 31 October 2007

Department of Social Protection

Social Welfare Benefits

9:00 pm

Photo of Pat BreenPat Breen (Clare, Fine Gael)
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Question 67: To ask the Minister for Social and Family Affairs the number of people in receipt of the age allowance; the amount paid out; and if he will make a statement on the matter. [26195/07]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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Question 76: To ask the Minister for Social and Family Affairs the action he proposes to take to improve the income of older pensioners; and if he will make a statement on the matter. [26272/07]

Photo of Emmet StaggEmmet Stagg (Kildare North, Labour)
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Question 77: To ask the Minister for Social and Family Affairs when he will extend the age allowance to qualified adults over 80 years of age. [26289/07]

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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Question 112: To ask the Minister for Social and Family Affairs if he will amend the qualifying criteria for the age allowance; if there are plans to increase the allowance; and if he will make a statement on the matter. [26196/07]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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I propose to take Questions Nos. 67, 76, 77 and 112 together.

The Programme for Government features a number of commitments in relation to social welfare pensions. These include the commitment to increase the basic State pension to €300 per week by 2012. Over the last number of Budgets, pension increases have been well ahead of inflation ensuring that not only is the real value of pensions maintained but that they are significantly improved in real terms.

The Department monitors regular statistical releases such as the EU Survey of Income and Living Conditions (SILC) to track the effectiveness of income policies. In this regard, using the official consistent poverty indicator, older people are in a relatively better position than the rest of the population with 3.7% in consistent poverty against 7% overall in 2005.

The risk of poverty rate based on relative incomes is more or less the same for both groups with the rate for older people showing significant improvement from 2004 to 2005, with the rate falling from 27% to 20%. Significant increases in pension rates implemented in 2006 and 2007 should see the position of older people improving further. The Social Portrait of Older People, published by the Office for Social Inclusion earlier this year, shows that poverty rates for older pensioners i.e. aged 75 and over, were lower than for younger pensioners.

The over 80 allowance was increased in 2006 to its present level of €10 per week. There are about 115,000 people currently in receipt of the over 80 allowance, at an annual cost of some €60 million per annum. There is a commitment in the Programme for Government to pay the allowance also in respect of the qualified adult portion of the pension. This measure will be addressed over the lifetime of the Government. I will continue to keep the range and adequacy of the supports provided to older pensioners under review, including the issues of increasing the over 80 allowance and amending the qualifying criteria for it.

The needs of older people have been, and will remain, a priority for the Government. Further reforms and improvements will be considered in the context of the Green Paper on pensions policy, published on the 17th October. A major consultation process in relation to future pensions policy is now underway. Following the completion of the consultation process, the Government will develop a framework for future pensions policy.

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