Written answers

Wednesday, 14 October 2020

Department of Employment Affairs and Social Protection

Household Benefits Scheme

Photo of Gerald NashGerald Nash (Louth, Labour)
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209. To ask the Minister for Employment Affairs and Social Protection the cost to the Exchequer of an increase of €2.50 per week or €20 to the household benefits package to allay the cost of broadband for persons over 70 years of age; and if she will make a statement on the matter. [30428/20]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The household benefits package (HHB) comprises the electricity or gas allowance, and the free television licence. My Department will spend approximately €264 million this year on HHB for over 465,000 customers. The package is generally available to people living in the State aged 66 years or over who are in receipt of a social welfare type payment or who satisfy a means test. The package is also available to some people under the age of 66 who are in receipt of certain welfare type payments.

Based on an average of 330,637 persons aged 70 years or over,receiving the HHB package in 2021, the estimated full year cost of increasing the HHB package by €2.50 a week for those aged 70 or over to offset the cost of broadband would be in the region of €43 million in 2021. An additional €20 a month increase to the HHB package for the same cohort of recipients would cost in the region of €80 million in 2021. The estimate is based on the increase being implemented from January 2021. Further increased costs would obviously also arise in future years, related to the numbers then receiving HHB.

Any decision to enhance the HHB package by the introduction of a broadband element to the package would have budgetary consequences and would have to be considered in the context of budget negotiations.

I hope this clarifies the matter for the Deputy.

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