Written answers

Thursday, 12 February 2009

Department of Social and Family Affairs

Social Welfare Benefits

5:00 pm

Photo of Paul Connaughton  SnrPaul Connaughton Snr (Galway East, Fine Gael)
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Question 167: To ask the Minister for Social and Family Affairs the reason persons (details supplied) in County Galway have had their rent allowance reduced to €35 per week; if her attention has been drawn to the fact that they applied to Galway County Council over five years ago for housing; if the rent allowance will be increased; and if she will make a statement on the matter. [5440/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The supplementary welfare allowance (SWA) scheme provides for the payment of rent supplement to eligible people whose means are insufficient to meet their accommodation costs. Rent supplement is administered on behalf of the department by the community welfare service of the Health Service Executive.

Rent supplement is normally calculated to ensure that a person, after the payment of rent, has an income equal to the rate of supplementary welfare allowance appropriate to their family circumstances less a minimum contribution of €18 which recipients are required to pay from their own resources. Many recipients pay more than €18 because recipients are also required, subject to income disregards, to contribute any additional assessable means that they have, over and above the appropriate rate of supplementary welfare allowance, towards their accommodation costs. The minimum contribution payable towards rent was increased from €13 to €18 a week with effect from January 2009 as part of Budget 2009.

The Executive has advised that the person concerned had been in receipt of rent supplement of €114 per week based on household income from his jobseekers allowance. The weekly household contribution towards rent was €26, consisting of the rent supplement recipient's minimum contribution of €13 and a contribution of €13 from a non-dependent member of the household.

The Executive has advised that as the spouse of the person concerned was awarded disability allowance in December 2008, entitlement to rent supplement had to be recalculated. The supplement is being reduced to €35 per week to take account of current household income comprised of the recipient's jobseeker's allowance, his spouse's disability allowance, the increase in the minimum contribution to rent from €13 to €18 a week for the applicant and the non dependent member of the household.

Local Authority housing is allocated in accordance with each council's scheme of letting priorities. Queries relating to housing applications should be directed to the relevant local authority.

Photo of Denis NaughtenDenis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 168: To ask the Minister for Social and Family Affairs the steps which she is taking to deal with eligibility difficulties facing the self-employed applying for jobseekers allowance due to the fact that the means assessment is based on the previous tax year; and if she will make a statement on the matter. [5453/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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Jobseekers allowance is a means tested payment made to those who fulfill certain conditions which includes that the person is available for work, looking for work and satisfies a means test.

The means of a self-employed person would be taken as the net profit that they will earn in the coming 12 months. While their income from the previous twelve months is used as an indication in estimating their likely future earnings, it is not simply assumed that the previous year's earnings will be received in the coming year. Instead, account is taken of the potential for significant upward or downward variations in income from one year to the next.

For example, if a self-employed person lost a contract and was unlikely to find a substitute contract in the coming year, this would be factored into the assessment of future income. The implications of the present downturn in the economy would of course be taken into account.

If a self-employed person's situation changes after they have made an initial claim for jobseeker's allowance, they can apply to have their means reviewed in the light of their changed circumstances. In addition, if a person is dissatisfied with the means assessed, it is open to them to appeal to the Social Welfare Appeals office.

The Department will continue to ensure that the mechanisms used for assessing means for the jobseekers allowance are sufficiently adaptable to meet the challenges presented by the current economic situation.

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