Ruairi Quinn (Dublin South East, Labour)
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Question 164: To ask the Minister for Health and Children if her attention has been drawn to the fact that the lifelong monthly compensatory payment to the 32 acknowledged Thalidomide survivors is linked to social welfare scales, despite the sustained objections made by an association (details supplied) because of the declining health of the survivors, and the fact that the payments have not been increased; if she will confirm that these payments will not be abolished and that, as a symbolic gesture, to ensure the Christmas payment will also be maintained because the normal payments have been so low; and if she will make a statement on the matter. [19160/09]

Ruairi Quinn (Dublin South East, Labour)
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Question 165: To ask the Minister for Health and Children when she will respond to an association (details supplied) which she met before Easter 2009 on the issues which were raised with her; if an official decision has been made by her; if the association will receive notification of the decision; and if she will make a statement on the matter. [19162/09]

John Moloney (Laois-Offaly, Fianna Fail)
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I propose to take Questions Nos. 164 and 165 together.

The Deputy will be aware that the Irish Thalidomide Association (ITA) has met with my colleague, the Minister for Health and Children and Department officials, to discuss a review of the lump sum compensation and monthly allowance provided by the State. The Association has been informed that, having examined the issues outlined in the ITA submission, the Minister has decided to ask the State Claims Agency to assess the Association's requests in the context of Irish and International provisions for victims of thalidomide and in the context of Irish case law and precedent; and to advise the Minister accordingly. Any proposal which comes out of this process will need to be considered by Government in view of the State's current financial circumstances and the possible consequences for other State compensation payments. The Association will be kept informed of progress on the matter.

With regard to the Deputy's specific question regarding the monthly allowance paid to individual victims of thalidomide, this monthly allowance for life was granted by the Irish Government in 1975 and is administered by the Department of Health and Children. In 1975 the monthly allowance was up to €95; in 2009 the monthly amount is up to €1,100. It is tax-free; it is not reckonable for State benefits and each individual recipient has a medical card.

In relation to the claim that the payments have not been increased, the Deputy might wish to note that the payments have increased each year. On average, payments are ahead of the 1975 payments at a rate of 2.5% per annum above the Consumer Price Index. At a total level, the current value of past payments, including the lump sum and monthly allowance, range from €186,000 for recipients of the minimum payment to €568,000 for recipients of the maximum payment. Since the early 1990's, the annual increases in the allowance are in line with general social welfare increases applied to payments administered by the Department of Social and Family Affairs. There are no plans to discontinue this link or to abolish the allowance.

Payment of a Christmas Bonus to certain social welfare payment recipients and certain schemes operated by the Department of Health and Children, including the monthly allowance to thalidomide sufferers, has been granted by way of an annual Government decision, approval for which is sought by the Department of Social and Family Affairs. I have been advised by that Department that the decision to discontinue funding for the Christmas Bonus is in line with the Government objective of restoring order and stability in the public finances.