Brendan Griffin (Kerry, Fine Gael)
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465. To ask the Minister for Employment Affairs and Social Protection the status of plans to introduce a pension for full time carers (details supplied); and if she will make a statement on the matter. [6491/22]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The Government acknowledges the crucial role that family carers play and is fully committed to supporting carers in that role. This commitment is recognised in both the Programme for Government and the National Carers’ Strategy.

The Pensions Commission was established in November 2020 to examine the sustainability of the State Pension system and the Social Insurance Fund, in fulfilment of a Programme for Government commitment. The Commission’s Terms of Reference included consideration of how people who have provided long-term care for incapacitated dependents can be accommodated within the State pension system.

The Commission was an independent body comprised of knowledgeable and experienced academics, pension experts, members of civil society and representatives of workers and employers. Once it completed its work and fulfilled its obligations, the Commission was dissolved. The Commission's Report was published on 7th October 2021. The report, Technical Sub-Committee's working papers and submissions made to the Pensions Commission are available on it's website.

The Pensions Commission’s Report is a comprehensive report that takes account of an assessment of various analyses of population, labour force and expenditure projections; an examination of international approaches; and responses to an extensive consultation process. It has unambiguously established that the current State Pension system is not sustainable into the future and that changes are needed, and it has set out a wide range of recommendations in this regard. It also recommended that long-term carers (defined as caring for more than 20 years) should be given access to the State Pension (Contributory) by having retrospective contributions paid for them by the Exchequer for any gaps in their contribution history arising from that caring.

The report has been referred to the Joint Committee on Social Protection, Community and Rural Development and the Islands. That Committee published its views on 2nd February and I and my officials will include these in our deliberations over the coming weeks.

Separately, as set out in its terms of reference, the Commission on Taxation and Welfare is considering the report of the Pensions Commission in the context of its review of potential changes to the social insurance system.

In the interests both of older people and future generations of older people, the Government intends to consider the comprehensive and far-reaching recommendations in the Pensions Commission’s Report very carefully and holistically. My officials are examining each of the recommendations and are consulting across Government through the Cabinet Committee system. I think it is really important that we complete that work and get those views before reaching conclusions. I intend bringing a recommended response and implementation plan to Government by the end of March 2022.

The State Pension is the bedrock of the pension system in Ireland. It is extremely effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers, including those who are only starting their careers.

The Covid Recognition Payment as confirmed by the Minister for Health has been ringfenced to certain workers ordinarily onsite in COVID-19-exposed healthcare environments. This payment is a matter for the Minister for Health and is not under the responsibility of my Department.

In so far as my role as Minister for Social Protection is concerned, I have done my utmost to support the invaluable role played by carers in our society.

My Department provides a comprehensive package of carer's income supports including Carer’s Allowance, Carer’s Benefit, Domiciliary Care Allowance and the Carer’s Support Grant. Combined spending on these payments to carers in 2022 is estimated to exceed €1.5 billion.

Despite the extra financial demands due to the Covid-19 crisis, I increased the Carer’s Support Grant by €150 to a rate of €1,850. This is the highest rate since its introduction. In Budget 2022, I introduced a range of measures benefitting family carers directly, including:

- €5 increase in maximum rate of all core weekly payments, effective since January,

- €3 increase for qualified child dependants aged 12 and over and €2 for those up to age 12, in all core weekly payments,

- €5 increase in the Fuel Allowance from €28 to €33 per week, from 12 October 2021,

- An increase in the weekly income disregard for Carer’s Allowance to €350 a week for single carers and to €750 for carers with a spouse or partner, and

- An increase in the Capital/Savings disregard for Carer’s Allowance from €20,000 to €50,000.

Finally, I can assure the Deputy that I am very aware of the commitment and the key role carers play in society and the particular challenges they have faced in light of Covid-19 and I will continue to keep the range of supports available to carers under review.

I trust this clarifies the matter for the Deputy.