Written answers

Tuesday, 10 May 2011

Department of Social Protection

Social Welfare Code

9:00 pm

Photo of Seán CroweSeán Crowe (Dublin South West, Sinn Fein)
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Question 58: To ask the Minister for Social Protection the way the latest agreement between the Government and the EU-IMF affects the programme for Government commitment to amend the 30 hour rule for mortgage interest supplement which acts as an unemployment trap; and the position regarding the progress of her plans in relation to same. [10441/11]

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein)
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Question 61: To ask the Minister for Social Protection when she expects to complete the implementation plan regarding the recommendations of the review of the mortgage interest supplement, June 2010; and the likely time frame for the implementation of same. [10447/11]

Photo of Niall CollinsNiall Collins (Limerick, Fianna Fail)
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Question 72: To ask the Minister for Social Protection when she will publish an implementation plan incorporating the recommendations and findings from her Department's review with those from the reports from the mortgage arrears and personal debt review group. [10433/11]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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I propose to take Questions Nos. 58, 61 and 72 together.

The supplementary welfare allowance scheme, which includes mortgage interest supplement (MIS), is administered on behalf of the Department by the Community Welfare Services division of the Health Services Executive. MIS provides short-term income support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. The supplement assists with the interest portion of mortgage repayments which relate to the essential purchase, repair or maintenance of the home.

There are currently 18,500 households benefiting from a MIS payment. This is at an estimated cost in 2011 of over €77 million, an increase of 350% over those in payment at end 2007.

The Department's review of the administrative, policy and legal aspects of the mortgage interest supplement scheme was published in July 2010 in conjunction with the interim report of the Mortgage Arrears and Personal Debt Review Group. The final review of the Mortgage Arrears and Personal Debt Review Group was published in November 2010.

The Programme for Government contained a number of commitments in relation to helping homeowners in distress to weather the recession, and to ensuring that Ireland has a sustainable housing policy. These included commitments in areas such as taxation, welfare and banking.

The Department is currently formulating an implementation plan in relation to the various welfare commitments contained in the programme for Government, the review of the mortgage interest supplement scheme and report of the Mortgage Arrears and Personal Debt Review Group. The plan will then be considered in the context of the resources available to the Government generally.

I can say that the Department is committed to targeting social support to those on lower incomes, and ensuring that work pays for welfare recipients. The latest Memorandum of Understanding between the Government and the EU and the IMF does not directly impact upon the commitment in relation to the 30 hour rule for mortgage interest supplement recipients.

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