Éamon Ó Cuív (Galway West, Fianna Fail)
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65. To ask the Minister for Employment Affairs and Social Protection her plans to carry out a review of the way in which capital and savings are assessed for the majority of means-tested social welfare schemes in view of the low interest rates on deposits that have existed for some considerable time; and if she will make a statement on the matter. [53205/18]

Regina Doherty (Meath East, Fine Gael)
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In assessing means for social assistance payments, account is taken of all income and property belonging to the claimant and his or her spouse or partner. Social welfare legislation provides that the yearly value of property (not including the family home) is assessable for means testing purposes by way of a formula set out in the legislation. In this regard, for most social assistance schemes, the first €20,000 of capital is fully disregarded; the next €10,000 assessed at €1 per thousand, the next €10,000 is assessed at €2 per thousand, with the remainder assessed at €4 per thousand. The disability allowance means test disregards the first €50,000 of capital.

The capital assessment formula is not designed to reflect interest or annuity rates available to investors and no account is taken of interest or dividend payments received in the means assessment. The assessment formula reflects the fact that there is an expectation that persons with reasonable amounts of capital and property are in a position to use that capital or to realise the value of property to support themselves without having to rely solely on a means tested welfare payment.

Any changes to the capital means test would have to be considered in an overall policy and budgetary context.