Written answers

Thursday, 26 May 2022

Department of Employment Affairs and Social Protection

Social Welfare Code

Photo of Holly CairnsHolly Cairns (Cork South West, Social Democrats)
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281. To ask the Minister for Employment Affairs and Social Protection if she will remove the current twenty-year cap in the home carers period scheme for foster carers. [27206/22]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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Matters related to foster caring are the responsibility of my colleague, the Minister for Children, Equality, Disability, Integration and Youth and Tusla.  

More widely, this Government acknowledges the important role that carers play and is fully committed to supporting them in that role.  Accordingly, the current State Pension (Contributory) system includes a range of measures including PRSI credits, Homemaking Disregards and HomeCaring Periods to recognise caring periods outside of paid employment in the calculation of a State Pension payment.  

HomeCaring Periods may be awarded for each week not already covered by a paid or credited social insurance contribution (regardless of when they occurred) to a maximum of 20 years.  Only one person can benefit from a HomeCaring Period for supporting a child or adult at one time.  HomeCaring Periods can only be used under the Interim Total Contributions Approach (also known as the Aggregated Contribution Method) of pension calculation.  HomeCaring Periods relate to full-time care for:

- a child or children under the age of 12 years of age;

- a child or children over the age of 12 who needed an increased level of care; or

- an adult who needed an increased level of care.

Foster carers are entitled to the benefits of the HomeCaring Periods, on the same basis as other carers, and will qualify if the carer is in receipt of Child Benefit.  If the foster carer is not in receipt of Child Benefit, s/he can still qualify for HomeCaring Periods provided the caring periods are confirmed by Tusla. 

Since April 2019, all new State Pension (Contributory) applications are assessed under all possible payment rate calculation methods, including the Yearly Average and the Interim Total Contributions Approach, with the most beneficial rate paid to the pensioner. 

The Programme for Government “Our Shared Future” includes a commitment to examine options for a pension solution for carers, the majority of whom are women, particularly those of incapacitated children, in recognition of the enormous value of the work carried out by them.  The Pensions Commission was established in November 2020 to examine the sustainability of the State Pension system and the Social Insurance Fund.  The Commission’s terms of reference included consideration of how people who have provided long-term care for incapacitated dependants can be accommodated within the State Pension system. 

The Pensions Commission’s Report was published on 7th October 2021.  It established that the current State Pension system is not sustainable into the future and that changes are needed.  The report set out a wide-range of recommendations, including enhanced pension provision for long-term carers. 

In the interests both of older people and future generations of older people, the Government is considering 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 consulting across Government through the Cabinet Committee system.  The views of the Joint Committee on Social Protection, Community and Rural Development and the Islands and the Commission on Taxation and Welfare are being considered as part of these deliberations.  I intend bringing a recommended response and implementation plan to Government for its consideration when that work is completed.

I hope this clarifies the matter for the Deputy. 

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