Written answers

Wednesday, 17 January 2018

Department of Employment Affairs and Social Protection

Back to Work Enterprise Allowance Scheme

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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230. To ask the Minister for Employment Affairs and Social Protection the degree to which back to work and back to education supports will be reviewed with a view to maximising their availability; and if she will make a statement on the matter. [2386/18]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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The Back to Work Enterprise Allowance (BTWEA) scheme enables my Department to work with people who have found themselves dependent on the welfare system for various reasons but who have an idea or have identified an opportunity to start their own business.

In 2017, a review of the BTWEA scheme was released. Overall, the review found that the scheme offers effective support for people who are long-term unemployed and who are interested in self-employment as a route to entering the labour market. The scheme plays a useful role in supporting the development of new enterprises.

Research demonstrated that the numbers returning from self-employment to the Live Register, after participating on the scheme, are low. Based on the comparison of the BTWEA participants to a control group of similar jobseekers who did not choose the scheme as an option, the BTWEA participant was over twice as likely to remain off the Live Register six months after the payments on the scheme had ceased. This trend continues when examined following an 18 month period after the payments ceasing.

One of the amendments following the review was the participants who take up self-employment are able to access the BTWEA after 9 months, down from 12 months. This enables access to the supports to those wishing to commence self-employment at an earlier stage of their unemployment.

The Back to Education Allowance (BTEA) is an educational opportunities scheme for persons in receipt of certain qualifying social welfare payments wishing to pursue second or third level courses of education in order to improve their employment prospects. It is primarily designed to support second chance education.

Entitlement to BTEA is conditional on a person having an on-going entitlement to the qualifying scheme payment. The BTEA scheme has been amended in recent years to ensure that the conditions are in line with the qualifying payment and consistent with the rules governing student grants funding through SUSI. Changes were introduced over the past number of years followed a review carried out on employment supports schemes in 2012. Stakeholders were also afforded an opportunity to contribute to the proposed recommendations at that time.

Overall, the priority for my Department is that the BTEA scheme remains focused, targeted and suitable for the needs of jobseekers and of the future skills needs of the economy.

I hope this clarifies the matter for the Deputy.

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