Written answers

Tuesday, 21 March 2017

Department of Social Protection

Social Welfare Benefits

Photo of Michael Healy-RaeMichael Healy-Rae (Kerry, Independent)
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487. To ask the Minister for Social Protection the status of funding for elderly persons (details supplied); and if he will make a statement on the matter. [12852/17]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The savings arising from the initial reduction and subsequent discontinuance of the telephone allowance meant that my Department was able to retain the other valuable elements of the household benefits package such as the electricity and gas allowance and the television licence. My Department will spend approximately €232 million this year on these elements of the household benefits package for over 425,000 customers. The cost of the telephone allowance scheme had risen significantly each year, as the number of eligible customers grew. At the end of September 2013 there were almost 396,000 receiving the telephone allowance compared to approximately 316,000 people in 2007. This was an increase of 25%, or an average increase of approx. 4% per annum.

The Government is keenly aware of the impact of Budget decisions on the Department’s clients, and strives to ensure that the money available is targeted in the most effective way. In Budget 2016, the first increase in the basic rate of the State pension in seven years was given. This increased the personal rate of the non-contributory pension to €222, and that of the contributory pension to €233.30. There was also a €2.50 increase in the rate of the Fuel Allowance, from €20 to €22.50 per week.

In Budget 2017, I announced a further increase in the rate of State pensions by €5 which now brings the maximum personal rate of the State pension (contributory) to €238.30.

Therefore, over the past two Budgets, the maximum weekly rate for State Pensions has increased by €8 per week, which is the equivalent of over €34 per month. The value of these increases is in excess of the value of the telephone allowance previously provided.

Accordingly, I have no plans to restore the telephone allowance, and have instead concentrated on increasing the basic rate of pension for all older people. Any decision to restore the telephone allowance would have to be considered in the context of overall budgetary negotiations.

The Department of the Housing, Planning, Community and Local Government has responsibility for the Seniors Alert Scheme which provides grant support for the supply of equipment such as personal alarms, smoke detectors and security lighting to enable older people without sufficient means to continue to live securely in their homes. The grant assistance is made available through community and voluntary groups registered with that Department and the equipment supplied under the scheme remains the property of the community group. Any queries in relation to the running of this scheme should be directed to the Minister for Housing, Planning, Community and Local Government.

I hope this clarifies the matter for the Deputy.

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