Written answers

Thursday, 18 December 2008

Department of Social and Family Affairs

Social Welfare Benefits

5:00 pm

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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Question 266: To ask the Minister for Social and Family Affairs the number of people in receipt of mortgage payment assistance; the number expected to avail of such assistance in 2009; the average and longest time that passes between application for such assistance and the first payment; the conditions for the receipt of such assistance; if people must be unemployed in order to receive such assistance; and if she will make a statement on the matter. [47336/08]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The supplementary welfare allowance scheme provides for a supplement to be paid in respect of mortgage interest to any person in the State whose means are insufficient to meet their needs. The scheme is administered by the community welfare service of the Health Service Executive on behalf of the Department. The purpose of mortgage interest supplement is to provide short term income support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. The supplement assists with the interest portion of the mortgage repayments only. In general a person may be entitled to a mortgage interest supplement provided that:

s/he is habitually resident in the State;

the loan agreement was entered into at a time when, in the opinion of the Health Service Executive, the person was in a position to meet the repayments;

the residence in respect of which the loan is payable, is not offered for sale;

the mortgage interest payable does not exceed such amount as the Health Service Executive considers reasonable to meet his or her residential needs.

In exceptional circumstances, a supplement may be awarded where the mortgage interest exceeds such amount as the Executive considers reasonable:

but such a supplement is payable for a maximum of 12 months only;

s/he satisfies a means test;

s/he or their spouse/partner is not engaged in full-time employment.

Mortgage interest supplements are normally calculated to ensure that a person, after the payment of mortgage interest, has an income equal to the rate of supplementary welfare allowance, appropriate to family circumstances, less a minimum contribution, currently €13, which recipients are required to pay from their own resources. The minimum contribution will be increased to €18 a week from January 2009. Many recipients pay more than the minimum contribution because they are also required, subject to income disregards, to contribute any additional assessable means that they have over and above the appropriate basic supplementary welfare allowance rate towards their accommodation costs.

The existing mortgage interest supplement assessment provides for a gradual withdrawal of payment as hours of employment or earnings increase. In recent years improvements have been made to the means test to encourage eligible people to engage in employment without losing their entire mortgage interest supplement. Those availing of part-time employment (less than 30 hours a week) and/or approved training opportunities can receive mortgage interest supplement subject to their satisfying the standard means assessment rules.

Since June 2007, where a person has additional income in excess of the standard weekly rate of supplementary welfare allowance, the first €75 of such additional income together with 25% of any additional income above €75 is disregarded for means assessment purposes. This ensures that those returning to work or participating in training schemes are better off as a result of taking up such an opportunity. There are currently over 7,800 people in receipt of mortgage interest supplement. The cost of the scheme in 2008 is estimated at €26million. The provisional estimate for 2009 is €29.6m based on current levels of service. Expenditure on mortgage interest supplement is closely monitored on a monthly basis in the context of the Government's framework for reporting on public expenditure and estimates of future expenditure will be revised as appropriate taking into account trends in recipient numbers and average monthly mortgage interest payments.

Electronic statistics are not available on the length of time it takes to process an application for mortgage interest supplement. The scheme is delivered locally by community welfare officers who interview claimants when they first present to enquire about their possible entitlement for mortgage interest supplement. Claim details are recorded electronically only in cases where it is established that mortgage interest supplement is payable.

Photo of Denis NaughtenDenis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 268: To ask the Minister for Social and Family Affairs the reason the income disregard of €200 per week under the non-contributory State pension does not apply to self-employment; the plans there are to review the policy; and if she will make a statement on the matter. [47492/08]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The earnings disregard of €200 per week applies to income from employment. It does not apply to income from any other source such as self-employment, farming or rents from leasing property. Income from sources other than employment is covered by the general means disregard of €30 per week. It should be noted that in contrast to persons in employment, expenses necessarily incurred in carrying out any form of self-employment have always been disregarded when calculating means from self-employment. Such earnings are assessed net of expenses incurred by the person in the course of their work e.g. on petrol/diesel, purchase of equipment, raw materials, etc. The effectiveness of means testing arrangements are kept under review and, where appropriate, changes are considered in a Budgetary context.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 269: To ask the Minister for Social and Family Affairs the way a person (details supplied) in County Mayo was assessed for jobseeker's allowance. [47499/08]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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A decision has not yet been given on the recent jobseeker's allowance claim made by the person concerned. A Social Welfare Inspector has completed his investigation into his means and has submitted his report to a Deciding Officer. A decision will be given shortly and he will be notified of the outcome. Under Social Welfare legislation decisions in relation to claims must be made by Deciding Officers and Appeals Officers. These officers are statutorily appointed and I have no role in regard to making such decisions.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 270: To ask the Minister for Social and Family Affairs the reason a person (details supplied) in County Mayo has not been approved the full rate of jobseeker's allowance. [47502/08]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The person concerned is in receipt of jobseeker's allowance from 29 October 2008 at the weekly rate of €11.80, based on a means assessment of €186.00 per week derived from self-employment in the fishing industry. It is open to him to appeal this decision and a form for this purpose was issued to him on 11 December 2008. Under Social Welfare legislation decisions in relation to claims must be made by Deciding Officers and Appeals Officers. These officers are statutorily appointed and I have no role in regard to making such decisions.

Photo of Brian HayesBrian Hayes (Dublin South West, Fine Gael)
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Question 271: To ask the Minister for Social and Family Affairs the amount spent on rent supplement payments by her Department in 2008; the measures being taken by her Department to ensure money is not spent on substandard properties; and if she will make a statement on the matter. [47505/08]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The supplementary welfare allowance scheme, which includes rent supplement, is administered on behalf of the Department by the community welfare service of the Health Service Executive (HSE). The cost of the rent supplement scheme for 2008 is expected to be €436m. There are currently 72,840 people in receipt of rent supplement. The purpose of rent supplement is to provide short-term income support to eligible tenants living in private rented accommodation whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source.

Responsibility for setting and enforcing housing standards rests with the local authorities. The community welfare service of the HSE is not qualified to undertake this work. However, accommodation occupied by rent supplement tenants should at least meet minimum housing standards. Under legislative provisions introduced by the Department in 2006 and 2007, the HSE can decide that a rent supplement may not be payable where it has been notified by a housing authority regarding non-compliance with housing standards. Where a notification of non compliance with standards, is received from a housing authority in respect of an existing tenant, guidelines recommend that a community welfare officer discuss the situation with the tenant and take whatever action it decides is necessary in the best interests of the tenant. The objective is to ensure that substandard accommodation does not come within rent supplementation.

The HSE must be satisfied that accommodation funded under the rent supplement scheme, is reasonably suited to the residential and other needs of the claimant. Where the HSE becomes aware of accommodation or blocks of accommodation which appears to it to be sub-standard, it notifies the local authority and it may advise prospective tenants at that premises that rent supplement will not be paid in respect of those tenancies. Details of long-term rent supplement tenancies are provided to local authorities via the Department of the Environment, Heritage and Local Government on a quarterly basis and this information sharing assists in enforcing housing standards. In addition, details of new rent supplemented tenancies are given to the PRTB in order to ensure that these tenancies are registered by landlords. Revenue generated from registration of each new tenancy supports the inspection of sub-standard accommodation.

The Government has recently approved a package of measures to update minimum standards regulations for rental accommodation. The new regulations will take effect from 1 February 2009 and apply in their entirety to all new, first time lettings. There will be a four year phasing in period for properties already on the market in relation to certain capital intensive compliance works. A number of elements of the package require legislative amendments and these will be delivered via the Housing (Miscellaneous Provisions) Bill 2008 which is currently before the Oireachtas. Enforcement of the new standards will be undertaken by local authorities. The Department is committed to supporting the Department of the Environment Heritage and Local Government and local authorities in meeting their responsibilities in relation to the enforcement of housing standards

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