Michael Ring (Mayo, Fine Gael)
Link to this: Individually | In context

Question 306: To ask the Minister for Social and Family Affairs the reason an income exemption was disallowed for a person (details supplied) in County Mayo. [8400/09]

Mary Hanafin (Dún Laoghaire, Fianna Fail)
Link to this: Individually | In context

Disability allowance is a weekly allowance paid to people with a disability who are aged between 16 and 66 years. The disability must be expected to last for at least one year and the allowance is subject to both a medical examination and a means test.

The weekly rate of Disability Allowance payment depends on the amount of weekly means assessed. Means are assessed on the claimant's own means and that of their spouse/partner subject to certain exceptions laid down in legislation. The person concerned applied for Disability Allowance on the 28 November 2007 and was refused Disability Allowance on 26 February 2008 on the grounds that his means exceeded the statutory limit allowable for Disability Allowance purposes.

The total capital of the person concerned was calculated at €152,620.30 which arose from the sale of his house. Under Social Welfare legislation the weekly value of capital is assessed as follows. The first €50,000 is disregarded. The next €10,000 is assessed at €1.00 per €1,000.00 giving weekly means of €10, the next €10,000 is assessed at €2.00 per €1,000.00, giving weekly means of €20.00. The balance, which in this case was €82,000, is assessed at €4.00 per €1,000.00. He was assessed with total weekly means of €358.00 derived from his capital. As this was higher than the then statutory limit of €185 per week for payment of Disability Allowance he was refused.

A letter issued to the person concerned on 22 February 2008 advising him of this decision and giving him the option of appeal, within 21 days, to the Social Welfare Appeals Office. If a person is living in accommodation that no longer suits them or in certain cases is too difficult for them to maintain, they may sell their house and move to more suitable accommodation. In certain cases the proceeds of the sale of their house, up to a limit of €190,500, are not assessed.

When his means were assessed by a Social Welfare Inspector, the person concerned, made no mention that he had to sell his house because it no longer suited him or was too difficult for him to maintain and that he had moved to more suitable accommodation. Consequently he was assessed on his total capital of €152,620.30.

The person concerned has appealed this decision to the independent Social Welfare Appeals Office. The Social Welfare Appeals Office will contact him directly on the matter.

Jan O'Sullivan (Limerick East, Labour)
Link to this: Individually | In context

Question 307: To ask the Minister for Social and Family Affairs if she has plans to reduce carers' allowance in 2009; and if she will make a statement on the matter. [8451/09]

Mary Hanafin (Dún Laoghaire, Fianna Fail)
Link to this: Individually | In context

No decisions have been made to change the conditions associated with carer's allowance or any of the 50 or so schemes administered by the Department of Social and Family Affairs.

Supporting and recognising carers in our society is, and has been, a priority of the Government since 1997. Over that period, weekly payment rates to carers have greatly increased, qualifying conditions for carer's allowance have significantly eased, coverage of the scheme has been extended and new schemes such as carer's benefit and the respite care grant have been introduced and extended.

The means test for carer's allowance has been significantly eased over the years, most notably with regard to spouse's earnings. Since April 2008, the income disregard has been €332.50 per week for a single person and €665 per week for a couple. These levels surpass the Towards 2016 commitment to ensure those on average industrial earnings continue to qualify for a full carer's allowance.

From June 2005, the annual respite care grant was extended to all carers who are providing full time care to a person who needs such care, regardless of their income. The rate of the respite care grant has also bee n increased to €1,700 per year in respect of each care recipient since June 2008.

In Budget 2009, I increased the rate of carer's allowance for those aged 66 or over by €7 to €239 per week and for those aged under 66 by €6.50 to €220.50 per week. These increases took effect from January 2009. Recipients of carer's allowance are also eligible for household benefits and free travel and the respite care grant. It is estimated that combined expenditure on carer's allowance, carer's benefit and the respite care grant will be €643 million in 2009.