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 main income supports to carers provided by my department are Carer’s Allowance, Carer’s Benefit, Domiciliary Care Allowance and the Carer’s Support Grant. Spending in 2022 is expected to amount to over €1.5 billion.

The two principal conditions for receipt of Carer’s Allowance are that full time care and attention is required and being provided, and that the means test applied is satisfied. Carer’s Allowance is primarily aimed at carers on low incomes who look after certain people who need full-time care and attention.

At the end of October, there were 91,954 people in receipt of Carer's allowance. The projected expenditure on Carer’s Allowance in 2022 is approximately €990 million.

The conditions attached to payments of Carer’s Allowance are consistent with the overall conditions that apply to social assistance payments generally. This system of social assistance supports provides payments based on an income need with the means test playing the critical role in determining whether or not an income need arises as a consequence of a particular contingency – be that illness, disability, unemployment or caring.

The continued application of the means test not only ensures that the recipient has a verifiable income need but that resources are targeted to those with greatest need.

Removing the means test for Carer’s Allowance would, in effect, create a new universal social protection scheme for those meeting the scheme’s basic caring condition. The abolition of the means test would also give rise to a very significant annual cost. Based on the number of carers identified in Census 2016, it is estimated that a universal carer’s payment could cost in the order of an additional €1.2 billion per annum. Increased expenditure on this scale would fundamentally change the nature of financial support and clearly reduce the scope to fund other critical schemes and services.

As part of Budget 2022, I introduced significant improvements to the means test for Carer's Allowance, in recognition of the vital role that carers play in society. These were the first changes to the means test in 14 years:

- The capital and savings disregard for the Carer’s Allowance means assessment was increased from €20,000 to €50,000, aligning it with that which applies for Disability Allowance.

-For carers who work, the weekly income disregard was increased from €332.50 to €350 for a single person, and from €665 to €750 for carers with a spouse/partner.

The changes outlined came into effect on 2 June and many carers who up to now did not qualify for a payment due to means will now be brought into the Carer's Allowance system for the first time.

The current Carer's Allowance disregards are the most generous income disregards in the social welfare system and mean that, in the case of a couple, earnings of up to €39,000 a year are disregarded.

In addition to Carer's Allowance, my Department also provides a non-means tested payment to carers in the form of Carer’s Benefit. Furthermore, the Carer's Support Grant - which I increased to its highest-ever rate of €1,850 - is available to carers who are not on a social welfare payment. For those providing ongoing care and attention for a child aged under 16 with a severe disability, Domiciliary Care Allowance is available and is not means-tested.

More recently, as part of Budget 2023, I announced a range of measures directly benefitting family carers, particularly in light of the current cost of living crisis. These include:

- A Cost of Living Double Payment to carers paid in week commencing 17 October,

- A €500 Cost of Living payment for people receiving Carer’s Support Grant which will be paid this week,

- Carers will also receive the Christmas Bonus Double Payment in week commencing 5 December,

- A €12 increase in the maximum rate of Carer’s Allowance and Carer’s Benefit with effect from January 2023 with proportionate increases for people receiving a reduced rate,

- A €2 increase for each Qualified Child bringing rates to €50 for Over 12s and €42 for Under 12s from January 2023,

- The Half-rate Carer’s Allowance will be disregarded in the means assessment for Fuel Allowance with effect from January 2023,

- Domiciliary Care Allowance will increase by €20.50 to €330 per month with effect from January 2023, and

- Domiciliary Care Allowance will be available in respect of children with severe illness or disability who remain in hospital for up to six months after birth.

I can assure the Deputy that I will continue to keep the range of supports provided by this Department under review and consultations with carer’s representative groups will continue to ensure that the overall objectives of the carer income support schemes provided are met. However, any changes to the current carer income supports provided by this Department would have implications for overall spending and would need to be addressed in an overall budgetary context.

I trust this clarifies the matter for the Deputy.