Written answers

Tuesday, 11 December 2007

Department of Social and Family Affairs

Pension Provisions

9:00 pm

Photo of Áine BradyÁine Brady (Kildare North, Fianna Fail)
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Question 539: To ask the Minister for Social and Family Affairs the improvements since 2005 in the contributory and non-contributory pensions; the number of pensioners in County Kildare who benefit per year; and if he will make a statement on the matter. [33773/07]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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Meeting the needs of older people is a priority for this Government. Since 2005, and including the increases announced in the recent Budget, cumulative increases in the state pension (contributory) and the state pension (non contributory) amounted to €56 and €58 per week respectively. During this period the Government reached its commitment for a minimum target of €200 per week for pensions and has set a new target of €300 per week to be achieved by 2012. The allowance paid to pensioners who are over 80 years of age was also increased to €10 per week in 2006.

In 2007 the Government made a commitment to increase the qualified adult allowance for spouses and partners of contributory pensioners, who are aged 66 years and over, to the level of the state pension (non-contributory) over a period of three years. In Budget 2007 an increase of €23.70 per week in the qualified adult payment was given and this was followed by an increase of €27 per week in Budget 2008. These increases bring the weekly rate for the qualified adult payment to €200 per week, which is 94% of the target rate.

From 2002 pensioners could opt to have the qualified adult allowances paid separately to spouses and partners. From September 2007 payment of the qualified adult allowance is automatically paid separately to the spouse or partner, although there is provision for the couple to opt for a joint payment.

In budget 2006 a standard non-contributory pension payment was introduced for those over 66 years. The basic income disregard for the purposes of the means test for non-contributory pensions was increased to €20 per week and the incentives for pensioners on means tested payments, who may wish to continue in employment, were introduced with €100 per week of earnings disregarded. These allowances were increased in 2007 with the basic means disregard rising to €30 per week and the employment earnings disregard to €200 per week. The amount of capital disregarded for means test purposes is €20,000 for a single person doubled in the case of couples.

The number of people in receipt of State Pensions in Kildare in each of the years in questions is as follows:

Scheme200520062007
State Pension Contributory2,8593,3436,129
State Pension Transition2,4902,476223*
State Pension Non Con1,5271,7681,806
Total6,8767,5878,158

It should be noted the recipients of State Pension Transition are now transferred to State Pension Contributory when they reach 66 years of age.

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