Seán Haughey (Dublin Bay North, Fianna Fail)
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220. To ask the Minister for Social Protection the reason the increase in the State pension announced in budget 2017 only takes effect in March 2017 and not on 1 January 2017 as in previous years; and if he will make a statement on the matter. [10664/17]

Leo Varadkar (Dublin West, Fine Gael)
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On Budget Day, I announced the first general increase in the weekly rates of payment since 2009, which builds on the €3 increase which was introduced for pensioners in Budget 2016. A €5 increase in the weekly rates of payment for all social welfare recipients will come into force this month, with proportionate increases for qualified adults and those on reduced rates of payment. Approximately 1.5 million people will benefit from this increase, from pensioners, people with disabilities, carers, lone parents, maternity and paternity benefit recipients and jobseekers.

The cost of this increase is €284.5 million. To pay the increase from January would cost in the region of €349 million. Given the available resources, it was not possible to provide for this increase from January. To pay the increase from January would have meant either an increase of less than €5 per week or excluding certain groups from the increase, which I was unwilling to countenance. Accordingly, the €5 increase in weekly payments for pensioners will begin from next week.

In addition, it should be noted that an 85% Christmas Bonus was paid in December to over 1.2 million long term social welfare recipients, including all pensioners. For a single person in receipt of a State Pension Non-Contributory of €222 per week, this was worth €188.70.