James Bannon (Longford-Westmeath, Fine Gael)
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Question 188: To ask the Minister for Health and Children the reason a person (details supplied) in County Westmeath who had been given the family home, legally signed over to them, should have to pay 15% of the value of that property under the fair deal nursing home charges, as the person in care no longer owns the property and the onus should not be on the new owner to pay this levy when the relative concerned dies, as 80% of the patients own income has already been paid for such care; and if she will make a statement on the matter. [40658/08]

Máire Hoctor (Tipperary North, Fianna Fail)
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Under the Nursing Homes Support Scheme, A Fair Deal, a person will pay a contribution towards their care costs of up to 80% of assessable income and up to 5% of the value of any assets in excess of the asset disregard per annum. In the case of the principal private residence, the contributions payable will be capped at 15%, i.e. after three years of care a person will not be liable for any further contribution based on the principal private residence.

Contributions based on Irish land-based assets may be deferred for the duration of a person's lifetime and repaid from their estate. However, this deferred contribution element of the scheme is voluntary. Individuals may choose to pay as they go in which case no money would be repayable from their estate.

As is the case with the current Nursing Home Subvention Scheme, the Nursing Homes Support Scheme Bill contains an anti-avoidance provision whereby assets and income transferred within the five years prior to an application for State support are to be taken into account during the course of the financial assessment. Notwithstanding this, the Bill does provide for a right of appeal to have assets and income which were transferred prior to 9 October 2008 excluded from the financial assessment where their inclusion would result in undue hardship for the person, their spouse or partner, or their child under the age of 21.

Finally, it should be noted that no existing resident in a nursing home will be made worse off as a result of the new scheme. Existing residents in public nursing homes can continue to pay in-patient charges while existing residents in private nursing homes can either transfer to the new scheme or remain in receipt of nursing home subvention.