Denise Mitchell (Dublin Bay North, Sinn Fein)
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537. To ask the Minister for Health if any consideration is being given to providing financial relief to those availing of the nursing home loan fair deal scheme, given the consumer price index is so high; and if he will make a statement on the matter. [9494/23]

Mary Butler (Waterford, Fianna Fail)
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The Nursing Homes Support Scheme (NHSS), commonly referred to as 'Fair Deal', is a system of financial support for people who require long-term residential care. The primary legislation underpinning the NHSS is the Nursing Home Support Scheme Act 2009. Participants in the NHSS contribute to the cost of their care according to their means while the State pays the balance of the cost. The Scheme aims to ensure that long-term nursing home care is accessible and affordable for everyone, and that people are cared for in the most appropriate settings.

One feature of the NHSS scheme is that participants who own property/land-based assets in the State also have access to Ancillary State Support, or the Nursing Home Loan, an optional feature of the Fair Deal Scheme. It is a loan which may be applied for at any time that is advanced by the HSE to help people meet the portion of their contribution to the cost of care that is based on property/land-based assets, most typically against the personal residence. If an individual secures ancillary state support, they will not need to contribute against the value of the relevant property during their time on the scheme, unless the property is sold during that time.

Payment of the Nursing Home Loan (Ancillary State Support) by the HSE results in the creation of a charge (a simple type of mortgage) in favour of the HSE against the interest of the applicant and his/her partner in the asset(s). The HSE will notify the Property Registration Authority of the charge who will register it against the specified asset(s).

Ancillary State Support becomes repayable following the occurrence of a relevant event, most commonly after the death of the client. If the loan is repaid in a timely fashion (in the event of the death of the scheme participant, this is 12 months), no interest is applied. In certain conditions - for example, where a partner or child continues to reside in the property - a further deferral to the repayment of the loan can be granted.

The Department of Health accepts that the Nursing Homes Support Scheme can place a potentially onerous burden on participants and their families. In attempting to alleviate some of the costs associated with long-term residential care, the legislation has been amended in recent years to extend the 3-year cap to the proceeds of sale of the principal private residence and to the financial assessment of family owned farms and businesses, provided certain conditions are met, to preserve their sustainability and future viability. Additional amendment to the scheme permits participants to retain 60% of income accrued from renting their principle private residence - rental income accrued from property that is not a principal private residence will continue to be assessed at 80%.

In respect of calculating the rate and terms of interest relating to outstanding Ancillary State Support scheduled for repayment, the Department of Health keeps this element of the legislation under ongoing review with relation to changes in economic conditions.