Robert Troy (Longford-Westmeath, Fianna Fail)
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187. To ask the Minister for Employment Affairs and Social Protection if she will consider reinstating the telephone allowance as part of the household benefit package in budget 2018 (details supplied). [41002/17]

Regina Doherty (Meath East, 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 430,000 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 nearly 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, there was a further increase in the rate of State pensions by €5, which has increased the maximum personal rate of the non-contributory pension to €227, and of the maximum rate of the contributory pension to €238.30.

Therefore, over the past two Budgets, the maximum weekly rate for State Pensions has increased by €8 per week, along with pro-rata increases for Increases for Qualified Adults. The value of these increases is well in excess of the value of the telephone allowance previously provided.

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 decision to restore the telephone allowance would have to be considered in the context of overall budgetary negotiations. In the previous two Budgets, the Government has concentrated resources on increasing the rate of the pension, rather than on the Household Benefits package.

I hope this clarifies the matter for the Deputy.