Written answers

Tuesday, 26 June 2018

Department of Employment Affairs and Social Protection

Back to Work Enterprise Allowance Scheme

Photo of Thomas ByrneThomas Byrne (Meath East, Fianna Fail)
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544. To ask the Minister for Employment Affairs and Social Protection the date upon which the four-year rule with respect to the back-to-work enterprise allowance was reduced to two years; and the instrument used to effect this change. [27597/18]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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The back to work enterprise allowance (BTWEA) is a non-statutory scheme designed to provide a monetary incentive for people who are in receipt of a qualifying social welfare payment to develop a business while allowing them to retain a reducing proportion of their qualifying social welfare payment over two years; 100% in year 1 and 75% in year 2.

The duration payable for the BTWEA was reduced from 4 years to 2 years with effect from 1st May 2009 in respect of new claimants. This change was announced in the Supplementary Budget of 7thApril 2009 and implemented by way of amendment to the administrative guidelines. Existing participants on the scheme at 1stMay 2009 maintained their payment for a 4 year period.

I trust this clarifies the matter for the Deputy.

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