Written answers

Wednesday, 13 February 2008

Department of Social and Family Affairs

Anti-Poverty Strategy

9:00 pm

Photo of Paul Connaughton  SnrPaul Connaughton Snr (Galway East, Fine Gael)
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Question 123: To ask the Minister for Social and Family Affairs his views on proposed developments outlined in the National Action Plan for Social Inclusion 2007 to 2016 in respect of social welfare payments; and if he will make a statement on the matter. [5042/08]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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The main developments proposed in the National Action Plan for Social Inclusion (NAPinclusion) 2007 to 2016 in respect of social welfare payments are as follows:

Maintain a minimum payment rate of €200 per week, in 2007 terms, for all social welfare pensions over the course of this Plan and, if possible, having regard to available resources and the Government's commitment in Towards 2016, to enhance this provision. The overall pension structures and system to provide income supports for pensioners will be reviewed in the light of the forthcoming Green Paper on Pensions, to be finalised at end March 2007. This will review all the pillars of pension provision.

The level of the Qualified Adult Allowance for pensioner spouses will be increased to the level of the State Pension (non-contributory) by 2009.

Maintain the relative value of the lowest social welfare rate at least at €185.80, in 2007 terms, over the course of this Plan, subject to available resources.

The scope for further development of income supports for carers will continue to be reviewed. In particular, the aim will be for the level of the Carer's Allowance disregard to keep pace with gross average industrial earnings so that those on average industrial earnings can continue to qualify for the payment.

Maintain the combined value of child income support measures at 33%-35% of the minimum adult social welfare payment rate over the course of this Plan and review child income supports aimed at assisting children in families on low income.

A number of measures introduced in Budget 2008 made significant progress towards achieving the targets outlined above. These measures include:

Pension increases of €14 and €12 for contributory and non-contributory pensions, respectively with effect from January 2008. This brought the maximum rate of payment for the contributory pension to €223.30 per week and the non-contributory maximum rate to €212 per week. These increases ensure that progress is being made to achieve the Government commitment to bring the basic State pension to €300 per week by 2012. This commitment exceeds the target in the NAPinclusion.

An increase of €27 per week for qualified adults aged 66 years of age on State Pension (Contributory), State Pension (Transition) and Invalidity Pension or over. This increase brings the maximum rate payable to €200 per week thereby making major progress towards achieving the commitment in the NAPinclusion.

An increase of €12.00 per week in the personal rate payable to recipients of the various social welfare schemes for persons of working age. This brings the level of the lowest rate of social welfare payment to €197.80 per week, thereby ensuring that the value of this rate was maintained in line with the commitment in the Agreed Programme for Government and the NAPinclusion.

The rate of Carer's Allowance was increased by €14 per week to €232 for recipients aged 66 and over and €214.70 for younger carers.

From April 2008, the income disregard for Carer's Allowance will be increased by €12.50 per week for a single person and €25 per week for a couple to €332.50 and €665 respectively thus ensuring people on average industrial earnings will qualify for the payment.

The earnings limit for entitlement to Carer's Benefit will increase by €12.50, from €320 per week to €332.50 per week from April 2008.

The Respite Care Grant was increased by €200 to €1,700 per annum.

Child Benefit was increased by €6 on the Lower Rate and by €8 on the Higher Rate. The 2008 rates are €166 and €203 per month, respectively.

From January 2008, the Qualified Child Increase (QCI) rate increased by €2 to €24 per week.

All weekly Family Income Supplement earnings thresholds were increased by amounts varying from €10 per week to €80 per week depending on family size.

The Back to School Clothing and Footwear Allowance was increased by €20 per child for the lower rate and €20 per child for the higher rate. New rates are €200 for children aged 2 to 11 years old and €305 for children aged 12 to 22.

I look forward to making further progress in the 2009 Budget towards achieving the ambitious income support targets set out in the National Action Plan for Social Inclusion.

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