Peter Fitzpatrick (Louth, Independent)
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374. To ask the Minister for Employment Affairs and Social Protection in relation to the recent cost-of-living bonus paid to those in receipt of certain social welfare payments; the amount the Government saved by not allowing those on adult dependant payments to receive this payment; and if she will make a statement on the matter. [23943/23]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The €200 Spring lump sum payment was paid to 1.3 million recipients in receipt of long-term social welfare payments. This lump sum was paid in late April and cost approximately €261 million.

The payment was made to primary recipients of a qualifying payment only.

This support was paid to a cohort defined on a similar basis to the Christmas Bonus, including to those on jobseeker's payments or Illness Benefit for over 12 months; with the addition of recipients of the Working Family Payment.

This lump sum is one of a range of Spring Cost of Living supports valued at over €410 million announced in February this year, this includes a €100 Child Benefit lump sum in June, an additional €100 on the rate of the Back to School Clothing and Footwear Allowance and an extension of the Hot School Meals programme.

The February package follows on from a €2.2 Billion Social Protection Budget 2023 Package - the largest in the history of the state – which included eight lump sum payments in the last quarter of 2022.

My Department also brought in measures earlier in 2022 to help households with increasing prices, for example, two Fuel Allowance lump sums were paid in March and May and the Back to School Clothing and Footwear Allowance was increased by €100.

Since March last year, therefore, Government has been keeping the situation under review and has responded providing a range of unprecedented supports to protect people and families as the Cost of Living has increased.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full-year cost of increasing each weekly social welfare scheme by €1 per week is €74 million, as set out in the table below;

*Rounding may affect total

The costs shown above are on a full year basis and are based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

It should also be noted that these costings include proportionate increases for qualified adults where relevant.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the Increase for Qualified Child by €1 for children under 12 years of age is €11.2m.

The estimated full year cost of increasing the Increase for a Qualified Child by €1 for children over 12 years of age is €4.2m.

The total estimated full year cost of increasing the Increase for a Qualified Child by €1 for children of all ages is €15.4m.

The costs shown above are on a full year basis and are based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The Fuel Allowance is a payment of €33 per week for 28 weeks (a total of €924 each year) from late September to April, at an estimated cost of €412 million in 2023. The purpose of this payment is to assist these households with their energy costs.

Taking account of the fact that the Fuel Allowance is a household based payment and that qualification is not just based on receipt of a qualifying payment but on a number of other complex qualifying criteria such as household composition, it is not possible for my Department to provide an accurate projection of the cost of the measure suggested by the Deputy.

The Government values the role of carers in society and it is for this reason that they receive significant income supports from the Department. In addition to Carer’s Allowance, carers receive additional support in the form of free travel and household benefits (for those who live with the person for whom they care) and the annual Carer's Support Grant (€1,850) in respect of each person for whom they care.

While Carer's Allowance is not a qualifying payment for Fuel Allowance, a person in receipt of Carer's Allowance may avail of the Fuel Allowance payment in certain circumstances. Fuel Allowance is a household-based payment, and a carer will very often live with and care for a person in receipt of a qualifying payment for Fuel Allowance. Income from Carer's Allowance is disregarded from the fuel means test if the carer is providing full time care and attention to the Fuel Allowance applicant, his/her qualified spouse/civil partner or cohabitant or qualified child(ren).

If a person is getting certain qualifying social welfare payments and also providing full time care and attention to another person, they can keep their main social protection payment in addition to receiving the half-rate Carer's Allowance. They can also receive an extra half-rate Carer’s Allowance if they care for more than one person. The amount of half-rate Carer’s Allowance received is now disregarded when assessing means for Fuel Allowance purposes.

Any decision to adjust the rules of Fuel Allowance to make Carer's Allowance a qualifying payment for Fuel Allowance would have budgetary consequences and would have to be considered in an overall policy and budgetary context.

Under the Supplementary Welfare Allowance scheme, Exceptional Needs Payments may be made to help meet an essential, once-off cost which customers are unable to meet out of their own resources, and this may include exceptional heating costs. Decisions on such payments are made on a case-by-case basis.

I hope this clarifies the matter for the Deputy.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the Fuel Allowance by €1 per week from €33 to €34 over a 28 week season is €12.5 million.

The cost shown above is on a full year basis and is based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated fully year cost of increasing the Fuel Allowance by one additional week at the current rate of €33 per week is €14.7 million.

The costs shown above are on a full year basis and are based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The Fuel Allowance is a payment of €33 per week for 28 weeks (a total of €924 each year) from late September to April, at an estimated cost of €412 million in 2023. The purpose of this payment is to assist these households with their energy costs. Only one allowance is paid per household.

The Working Family Payment (WFP) is a weekly tax-free payment for employees with children which supports people in low paid employment. The WFP is designed to prevent in-work poverty for low paid workers with child dependents, and to offer a financial incentive to take up employment.

The estimated cost of extending the Fuel Allowance payment to all those in receipt of the Working Family Payment (WFP) is €23.2 Million. This estimate is based on a weekly Fuel Allowance rate of €33 and a payment period of 28 weeks.

The Fuel Allowance is paid to social welfare recipients such as pensioners, people with disabilities, lone parents and the long-term unemployed in recognition of their long-term financial dependence on their social welfare payment for all or most of their income.

People on long term payments are unlikely to have additional resources of their own and are more vulnerable to poverty, including energy poverty. It is for this reason that my Department allocates additional payments, supports and resources such as Fuel Allowance to this cohort of claimants.

The Working Family Payment gives extra financial support to families with children with rates depending on their incomes and family size. It is not considered a long-term Social Protection payment and recipients are in full time employment and are more likely to have additional resources.

While Working Family Payment is not a qualifying payment for Fuel Allowance, people may receive Fuel Allowance while on Working Family Payment if they are in receipt of One Parent Family Payment.

In response to an amendment tabled at Committee Stage of the the Social Welfare Bill 2023, I have asked my Department officials to prepare a report on the potential extension of eligibility for the Fuel Allowance to those in receipt of the Working Family Payment. The work is ongoing and when finished, I will carefully consider its contents and any recommendations that it may contain.

I trust that this clarifies the matter for the Deputy.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the Carer’s Support Grant to €2,000 is €21.8m.

The costs shown above are on a full year basis and are based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the rate of payment from €129.70 to €220.00 per week, is €64.9 million. This includes a proportionate increase for qualified adults and those on an age-reduced rate of Supplementary Welfare Allowance.

This costing is based on the estimated average number of recipients in 2023, and is subject to change in light of emerging trends and subsequent revision of the estimated number of recipients.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the rate of payment by an additional €5 per week, from €129.70 to €134.70 per week, is €3.6 million. This includes a proportionate increase for qualified adults and those on an age-reduced rate of Supplementary Welfare Allowance.

This costing is based on the estimated average number of recipients in 2023, and is subject to change in light of emerging trends and subsequent revision of the estimated number of recipients.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The Jobseeker’s Transitional Payment provides income support to lone parents whose youngest child is aged 7 to 13 years, inclusive. When their youngest child turns 14, a person may be eligible for the Jobseeker’s Allowance payment.

The Working Family Payment is available to lone parents who are working 38 or more hours per fortnight. That scheme is payable where a person has a child up to age 18 or age 22 if in full time education.

A person who takes up or is in insurable employment or takes up self-employment within four weeks of the end of their Jobseeker's Transitional Payment claim can qualify for Back to Work Family Dividend which is payable over a two year period. In year one, the rate of payment is based on the person's Qualified Child entitlement, subject to a maximum of four children, on the date of exit from their previous payment. Fifty per cent of that amount is payable in year two.

Working Family Payment and Back to Work Family Dividend can be paid concurrently.

The full year cost of extending the means tested Jobseeker's Transitional Payment for four years and paying it until the youngest child in an individual family reaches age 18 would be very difficult to estimate accurately. This is because, for example, in addition to population and family demographics, many customers will be in receipt of other payments, such as Jobseekers Allowance, Back to Work Family Dividend and Working Family Payment; others may not be in receipt of a payment; while still others will be in employment and may not qualify for a means tested payment. Therefore the numbers who would qualify were the scheme to be extended for four years is not known.

The current approach aims to support lone parents by reducing long-term welfare dependency, and associated poverty, among this group by focusing on their access to education, training, and employment support services. Access to these services will enhance their skills-set and job-readiness, thereby assisting with their transition into the workforce, and with their subsequent attainment of financial independence.

For these reasons, I have no plans to change the position at this time. I trust this clarifies the matter for the Deputy.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The One-Parent Family Payment is a means tested payment for lone parents under 66 who are not cohabiting, and whose youngest child is under 7. The Jobseekers Transitional Payment is also means tested, and is a special arrangement under the Jobseeker’s Allowance scheme for lone parents under 66, who are not cohabiting and whose child/children are between 7 and 14 years old. Where their youngest child is aged 14 or over, lone parents may qualify for the Jobseeker’s Allowance.

The Working Family Payment is also available to recipients of One-Parent Family Payment who are working for at least 38 hours per fortnight and who satisfy the qualifying conditions. Lone parents who move off the One-Parent Family Payment or Jobseeker’s Transitional Payment into employment may qualify for the Back to Work Family Dividend.

The full year cost of paying One-Parent Family Payment until the youngest child reaches age 14 would be very difficult to estimate accurately. While people whose youngest child is aged between 7 and 14 may already be in receipt of Jobseeker’s Transitional Payment, others will be in receipt of the Back to Work Family Dividend, while still others might not be in receipt of any social welfare payment. The numbers who would qualify for One-Parent Family Payment, were it extended, are therefore not known.

As a result, I am advised that the Department is not in a position to provide the costing requested.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Benefit Payment for 65 year olds is a payment for people aged 65 who have ceased employment or self-employment and who satisfy the pay-related social insurance (PRSI) contribution conditions.

At the end of April 2023, there were 4,076 recipients of Benefit Payment for 65 year olds. The estimated full year cost in 2023 will be circa €51.4 million.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full year cost of increasing the weekly payment rate for Carer’s Allowance and Carer’s Benefit to €325 per week is shown in the table below.

These costings are based on the estimated number of recipients in 2023 and are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients.

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The estimated full-year cost of providing an additional €10 per week payment to all recipients of disability-related social welfare payments is €150.9m as shown in the table below:

The costs shown above are on a full year basis and are based on the estimated number of recipients in 2023. It should be noted that these costings are subject to change in the context of emerging trends and associated revision of the estimated numbers of recipients for 2024.

It should also be noted that these costings include proportionate increases for qualified adults where relevant. Costings are provided for direct disability related payments only.