Written answers

Thursday, 5 February 2015

Department of Social Protection

Household Benefits Scheme

Photo of Séamus HealySéamus Healy (Tipperary South, Workers and Unemployed Action Group)
Link to this: Individually | In context | Oireachtas source

12. To ask the Minister for Social Protection if she will restore the fee electricity and gas units, the fuel allowance and the length of the heating period to the level obtaining in 2012; and if she will make a statement on the matter. [4985/15]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
Link to this: Individually | In context | Oireachtas source

The Department will spend approximately €227 million this year on the household benefits package for approximately 415,000 customers. It will also spend more than €195 million on the fuel allowance. The fuel allowance of €20 is paid for 26 weeks from October to April. There have been no reductions in the fuel allowance since 2012. The electricity and gas allowance is currently €35 per month. There have been no reductions to the electricity and gas allowance in recent budgets. In 2013, I aligned the electricity and gas allowance with the cheapest available market rate for 1,800 units of electricity. Previously the rate had been based on the price of one supplier. This provided a saving to the Department but allowed customers to obtain savings by switching to cheaper companies. Customers can now switch companies without the loss of any credit that may have built up, which wasn’t possible under the old system.

The overall concern of the Government in Budget 2015 and previous Budgets has been to protect the primary social welfare rates. Expenditure on pensions is the largest block of expenditure in the Department, representing about a third of overall expenditure. Because of demographic changes the Department’s spending on older people is increasing year on year. Maintaining the rate of the State pension and other core payments is critical in protecting people from poverty. The savings generated in recent years by reductions in secondary benefits were essential to maintain core weekly payments. I have no plans at this time to increase the household benefits package. Any decision to increase the package would have budgetary consequences and would have to be considered in the context of budget negotiations. As the Deputy is aware, in Budget 2015, we partially restored the Christmas Bonus and increased the Living Alone Allowance.

Comments

No comments

Log in or join to post a public comment.