Written answers

Thursday, 9 July 2009

Department of Social and Family Affairs

Social Welfare Code

12:00 pm

Photo of Olwyn EnrightOlwyn Enright (Laois-Offaly, Fine Gael)
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Question 686: To ask the Minister for Social and Family Affairs the progress regarding the programme for Government commitment to extend the national fuel allowance scheme to cover eligible carers; and if she will make a statement on the matter. [29940/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The Department's social welfare recipients are assisted with heating costs through their basic payments, the fuel allowance scheme and the household benefits package of electricity and gas allowance. These schemes have been improved significantly in recent years.

The national fuel allowance scheme assists householders on long-term social welfare or health service executive (HSE) payments with meeting the cost of their heating needs during the winter season. The allowance represents a contribution towards a person's normal heating expenses. It is not intended to meet those costs in full.

Improvements to the fuel allowance in recent years include an easing of the means test, extending the duration of payment from 29 in 2006 to 32 weeks in 2009 and an increase in the rate of payment from €14 in 2006 to €20 (€23.90 in designated smokeless areas) in 2009. The income threshold for eligibility to fuel allowance was also increased in 2007 by €49 from €51 to €100 above the state pension (contributory) rate.

Almost 289,000 people benefited from the fuel allowance in 2006 at a cost of €130m while over 317,000 people are benefiting in 2009 at an estimated cost of €205m.

The carer's allowance scheme has been significantly improved in recent years and this process was continued in 2009. The rate of carer's allowance for those aged 66 or over increased 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. Since 1997 weekly payment rates to carers have greatly increased, qualifying conditions have significantly eased, coverage of the scheme has been extended and new schemes such as carer's benefit, half-rate carer's allowance and the respite care grant have been introduced and extended.

The means test for carer's allowance has been significantly eased over the years, and is now one of the most generous means tests in the social welfare system, 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 that 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 been increased to €1,700 per year in respect of each care recipient since June 2008.

Recipients of Carers Allowance qualify for a Free Travel Pass, the Household Benefits Package, Island Allowance (where appropriate) and the Respite Care Payment. Income from Carer's Allowance is not taken into account in the assessment of means for a medical card.

Carer's Allowance is not a qualifying payment for a fuel allowance. Normally the carer must live with the person being cared for. However, in certain circumstances this requirement may be relaxed. In many cases the care recipient will already be in receipt of fuel allowance in his/her own right and only one fuel allowance is payable per household.

The rules on household composition and the means test for the purpose of qualifying for the fuel allowance determine the ability of applicant households to meet their normal heating requirements out of their own resources and to ensure that the maximum amount of support is targeted at those most in need of the fuel allowance support.

The extension of the national fuel scheme to eligible carers, as set out in the Agreed Programme for Government, will be examined in the context of the overall package of commitments relating to carers contained in the programme. Any additional costs arising from this or any other improvements to the scheme would also need to be considered in the light of annual budgetary requirements, having regard to overall resources available for social welfare schemes generally.

Photo of Olwyn EnrightOlwyn Enright (Laois-Offaly, Fine Gael)
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Question 688: To ask the Minister for Social and Family Affairs the progress regarding the programme for Government commitment to implement a range of reforms to income support for lone parents, including removal of the cohabitation restriction; and if she will make a statement on the matter. [29942/09]

Photo of Olwyn EnrightOlwyn Enright (Laois-Offaly, Fine Gael)
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Question 689: To ask the Minister for Social and Family Affairs the progress regarding the programme for Government commitment to replace lone parents' allowance with a new and improved family friendly allowance, and relaxing restrictions on work while retaining the social welfare payment; and if she will make a statement on the matter. [29943/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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I propose to take Questions Nos. 688 and 689 together.

The Government discussion paper, "Proposals for Supporting Lone Parents," put forward proposals to tackle obstacles to employment for lone parents and other low income families. These included proposals for the extension of the National Employment Action Plan to focus on lone parents, focused provision of childcare and the introduction of a new social assistance payment for low income families with young children.

Under the proposals the lone parenthood category of payment would no longer exist. Instead, a new payment would be made to all parents (living alone or with a partner), with young children, on low income.

Any proposed new payment cannot be introduced without co-ordinated supports and services being put in place by a number of Departments and Agencies. Issues including access to childcare support, education, training and activation measures are being discussed with the relevant Departments and Agencies in tandem with the development of a new payment scheme.

To facilitate the development of the policy and operational details of the new scheme the Department, with the co-operation of FÁS, the Office of the Minister for Children and Youth Affairs and the Department of Education and Science, tested the proposals in 2008. The experience of this engagement process is feeding into the development of the approach to working with lone parents and qualified adults.

The Department is continuing to keep policies in relation to lone parents under consideration. However, the extent and speed at which these can progress will be impacted by the current economic climate.

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