Written answers

Tuesday, 26 May 2009

Department of Social and Family Affairs

Social Welfare Benefits

10:00 pm

Photo of Róisín ShortallRóisín Shortall (Dublin North West, Labour)
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Question 337: To ask the Minister for Social and Family Affairs if her attention has been drawn to the fact that the final bullet point of paragraph 1.1.2 of Annex F of the Budget 2009 document sets out different qualifying criteria for the revised back to work enterprise allowance than was set out in page four of her Budget 2009 press statement in that the former stipulates that a person receiving statutory redundancy can qualify whereas the latter sets down that only someone who received statutory redundancy and is in receipt of jobseeker's benefit, that is, excluding jobseeker's allowance, may qualify; the reason two different sets of criteria were published and which one is correct; and the location at which the full and correct qualifying rules are set down and available to the public. [21508/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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A number of reforms were introduced in the recent supplementary budget to support people on welfare who wish to become self employed. The changes were introduced from May 1st 2009. Someone who wishes to become self employed, if they are in receipt of Jobseeker's Benefit, having either been awarded statutory redundancy or if they have 104 full PRSI contributions paid, can access a new scheme, called the Short Term Enterprise Allowance. This scheme is payable for the duration of their Jobseeker's Benefit. This scheme is not available to someone who does not qualify for Jobseeker's Benefit.

In addition it is now possible to access the Back to Work Enterprise Allowance at 12 months (instead of 24 months) provided a person has an underlying entitlement to Jobseeker's Allowance. The duration of payment on the scheme is two years with 100% in year 1 and 75% in year 2. The other qualifying criteria for the BTWEA remain unchanged by the budget.

Other changes to the scheme in the budget allow for someone with a new business idea, who previously availed of the Back to Work Enterprise Allowance scheme and exhausted their entitlement, to participate a second time after a period of at least 5 years has elapsed. These changes are currently available on the Department's website under press releases and the full qualifying conditions will be available on the website shortly.

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