Written answers

Thursday, 22 November 2007

Department of Social and Family Affairs

Social Welfare Code

3:00 pm

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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Question 112: To ask the Minister for Social and Family Affairs if his attention has been drawn to the fact that rents here increased by 12% in the past twelve months according to the Central Statistics Office; and if he has plans to change the rent ceilings for rent supplement for January 2008 to take account of this position. [30403/07]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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Rent supplement is subject to a limit on the amount of rent that an applicant for rent supplement may incur. These rent limits, provided for in Regulations and effective from January 2007 to June 2008, are set at levels that enable the different categories of eligible tenant households to secure and retain basic suitable rented accommodation, having regard to the different rental market conditions that prevail in various parts of the State. Setting maximum rent limits higher than are justified by the open market would have a distorting effect on the rental market, leading to a more general rise in rent levels. This in turn would worsen the affordability of rental accommodation unnecessarily, with particular negative impact for those tenants on lower incomes.

Notwithstanding these limits, under existing arrangements the Health Service Executive may, in certain circumstances, exceed the rent levels as an exceptional measure, for example: where the person concerned is entitled to an income disregard and has sufficient income to meet his or her basic needs after paying rent, taking into account the appropriate rate of rent supplement that is otherwise payable in the case where there are special housing needs related to exceptional circumstances, for example, disabled persons in specially-adapted accommodation or homeless persons, where the tenant will be in a position to re-assume responsibility for his/her rent within a short period.

This discretionary power ensures that individuals with particular needs can be accommodated within the scheme and specifically protects against homelessness. The current rent limits we set following a broad consultation process and included consultation with the HSE, the Department of Environment, Heritage and Local Government, the Private Residential Tenancies Board and voluntary agencies working in this area.

There are currently over 58,700 rent supplements in payment of which over 23,800 have been awarded since the current rent limits were set in January 2007. These statistics show that rented accommodation is available within the current rent limits. All limits will be reviewed again next year. Any revision found to be necessary will be implemented from 1st July 2008.

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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Question 113: To ask the Minister for Social and Family Affairs the reason a bereavement grant is not payable towards the cost of the funeral of a person who has been in long-term residential care on a disability allowance; and his views on extending such cover as a credit for persons on such allowances. [30405/07]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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The Bereavement Grant is a payment designed to assist families in dealing with death and funeral expenses. It is a scheme that relates specifically to those who have made PRSI contributions and is payable on the death of an insured person, his/her spouse and dependent children under age 18 or under age 22 if in full-time education.

Budget 2007 extended the bereavement grant to the next of kin of deceased recipients of disability allowance aged between 16 and 22 years. Where there are insufficient PRSI contributions to qualify for bereavement grant a person may receive assistance under the supplementary welfare allowance scheme. Under this arrangement, the HSE may make a single payment to help meet exceptional expenditure, for example, for funeral expenses, which a family could not reasonably be expected to meet out of their income.

I have no plans at present to extend the scheme in the manner proposed. However, the bereavement grant will continue to be examined in the context of the objectives of the scheme and budgetary resources.

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