Róisín Shortall (Dublin North West, Labour)
Link to this: Individually | In context

Question 267: To ask the Minister for Social and Family Affairs the projected savings from the decision to ask all child benefit and one parent family payment claimants who live here but work in Northern Ireland to apply for child benefit and the child tax credit in Northern Ireland; the projected cost of the administration of applications for top-up payments from such parents; if she will give assurances that applications for top-up payments due to such parents are processed before Irish child benefit is cut off or reduced; the location where affected parents may obtain further information on these changes; the telephone number for direct queries; and if she will make a statement on the matter. [3955/10]

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

There have been no recent changes to the manner in which Child Benefit and One Parent Family claims are processed. Cases such as those described are processed in compliance with Article 73 of EU Regulation 1408/71, and are not intended to yield savings.

Under Article 73 of EU Regulation 1408/71, where a parent is employed in one Member State, but resident in another, the Member State in which the employment takes place is the competent authority for payment of family benefits. If the total amount of those benefits is less than the entitlement would have been in the State in which the customer resides, then that customer is paid a supplement equal to the difference by the State of residence. One Parent Family Payment was designated to be a family benefit by means of Regulation (EC) No 647/2005 (the 2003 Miscellaneous Amendment Regulation), which came into force on 5 May 2005. Hence the supplement is calculated as follows:

ROI benefits (Child Benefit + One Parent Family + any other family benefit), less the UK benefits (Child Benefit + Child Tax Credit) = supplement payable.

The procedure in place for such cases is as follows:

When notification is received in Child Benefit section advising that there is employment in the United Kingdom, a letter is sent to the customer advising her of the EU Regulations and that

* The United Kingdom is the competent State for payment of family benefits

* This Department may be competent to pay a supplement

* Child Benefit will be paid for the month following the date of letter and will

then be suspended

* She should forward her Child Tax Credit award notice so that her supplement entitlement can be established.

Contact details for both the United Kingdom Child Benefit office and the Child Tax Credit office are included in the letter, as are contact details for DSFA Child Benefit.

Child Benefit remains in payment for an average of 6 weeks after receiving notification. This allows the customer time to lodge a claim for Child Benefit in the United Kingdom.

When the Child Tax credit award notice is received from the customer, the supplement entitlement is calculated. At that point, One Parent Family Payment is suspended in favour of the supplement payment. A letter issues to the Customer advising her of the position. The supplement payment is issued to the customer from the Child Benefit office every 3 months.

While there are currently a total of approximately 800 supplements in payment to customers, only three of these are in payment to lone parents (i.e. people previously in receipt of One Parent Family Payment) who are employed in Northern Ireland.