Written answers

Tuesday, 11 April 2017

Department of Social Protection

Rent Supplement Scheme Eligibility

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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398. To ask the Minister for Social Protection if he will undertake to review and amend by way of legislation, if found necessary, the situation whereby a person following family law issues may find themselves out of the family home on foot of a settlement which may equate to 50% of the value of the property but not necessarily so but who is thereafter means tested for the entire amount of the settlement and will not qualify for rent support until such time as all the proceeds have been dissipated or the person is reduced to dependence on charity while the other party not owning the former family home can qualify for any means tested payment arising, if urgent steps may be taken in this regard; and if he will make a statement on the matter. [18338/17]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The Department operates a range of statutory means tested schemes, taking account of the income a claimant has in terms of cash, property (other than the family home) and capital. The combination of the means test and awarding differentiated rates of payment is premised on ensuring that social welfare payments are paid to those most in need and reflects the position that persons with reasonable amounts of income, capital and property are in a position to use that resource to support themselves.

The rent supplement scheme is supporting some 44,800 tenants for which the Government has provided €253 million for in 2017. The scheme is generally available to people whose means are insufficient to meet their accommodation costs and do not have alternative accommodation available. Rent supplement’s means test is calculated to ensure that a person, after the payment of rent, has an income equal to the rate of supplementary welfare allowance appropriate to their family circumstances less a minimum contribution which recipients are required to pay. The standard weekly minimum contribution is €30 for a single adult household and €40 for coupled households. Many recipients pay more than this amount because recipients are required, subject to income disregards, to contribute a proportion of assessable means towards their accommodation costs. As part of this means test, a capital assessment is completed which includes savings, investments, property (other than the family home) and would include any monies realised following a settlement outlined by the Deputy.

The Department has no role in financial and other settlements made between couples on separation, divorce or otherwise. Any capital owned by a person involved in such a settlement is assessed in the normal way for the purposes of means tested schemes and the appropriate disregards apply. I have no plans to change these conditions at this time.

I trust this clarifies the matter for the Deputy.

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