Written answers

Tuesday, 24 May 2016

Department of Social Protection

Disability Allowance

Photo of John BradyJohn Brady (Wicklow, Sinn Fein)
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304. To ask the Minister for Social Protection the cost of increasing funding under the national disability allowance scheme for 2017 in tabular form. [11513/16]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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I understand that the Deputy is referring to the Disability Allowance scheme.

Disability Allowance is a means-tested social assistance payment which is paid to persons aged 16 to 66 who are substantially restricted in undertaking suitable employment arising from a medical condition (subject to satisfying the relevant medical criteria). Each €1 increase in the weekly personal rate would cost €6.6 million in 2017 and a full year.

There is an analogous social insurance payment, Invalidity Pension, which is paid to persons who are permanently incapable of work (subject to satisfying the relevant medical criteria and a minimum number - 5 years - of paid Class A PRSI contributions). Each €1 increase in the weekly rate of Invalidity Pension would cost €2.9 million in 2017 and a full year.

In addition, Blind pension is available for those aged 18 to 66 who are blind or visually impaired. The cost of a €1 weekly personal increase in the Blind Pension is €0.07 million in 2017 and a full year.

It should be noted that (i) in the event of the Disability Allowance weekly rate exceeding the Invalidity Pension rate, some Invalidity pensioners (number not determinable) would transfer to the means tested Disability Allowance scheme to avail of the higher rate on that scheme; (ii) the costs shown above do not include the cost of proportionate increases for qualified adults; (iii) any additional costs which might arise as some persons in receipt of other welfare schemes might potentially apply for and qualify for Disability Allowance thereby also benefitting from a higher rate of payment than that which applies to their current scheme or (iv) offsetting savings on the Rent Supplement scheme as the additional weekly increase would reduce the level of entitlement under that scheme.

All of the costings above are provisional and may be subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients. The costs outlined above are based on recipient data for 2016.

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