Patrick Costello (Dublin South Central, Green Party)
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294. To ask the Minister for Employment Affairs and Social Protection if she will consider increasing the minimum income threshold for working people in receipt of disability allowance; and if she will make a statement on the matter. [5031/24]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Disability allowance (DA) is a means-tested payment for people with a specified disability who are aged 16 or over and under the age of 66. The applicant must be suffering from an injury, disease, congenital deformity or physical or mental illness or defect which has lasted for one year or is expected to last for one year and, as a result of which, they are substantially restricted in undertaking work which would otherwise be suitable having regard to the person’s age, experience and qualifications. The person must also satisfy a means test and be habitually resident in the State.

My Department continues to keep the range of income and employment supports under review. Any proposed changes to the supports provided must also be considered in an overall budgetary context.

I can confirm that a €20 per week increase in the DA earnings disregards, from €120 to €140 per week, was introduced in Budget 2021 and commenced in June 2021.

Furthermore, I can also confirm that a €25 per week increase in the DA earnings disregards, from €140 to €165 per week, was introduced in Budget 2023 and commenced in January 2023.

Recognising that all work is rehabilitative, the DA scheme is structured to encourage recipients to avail of opportunities to engage in either insurable employment or self-employment. When an individual engages in work, they can avail of an income disregard of 100% of the first €165 earned per week. 50% of earnings between €165 and €375 are also disregarded for the purpose of the means test. Any amounts over €375 are assessed in full. This disregard is available to all DA recipients who engage in employment and there are no restrictions on the hours worked each week.

The means assessment reflects the fact that there is an expectation that people with reasonable amounts of income or capital are in a position to use these resources to support themselves so that social welfare expenditure can be directed towards those who need it most.

Under the make work pay initiative, where a DA recipient's means exceed the limits, even after the disregard is applied to their earnings, they are entitled to retain their free travel pass for five years. My Department has also put in place a system for the fast-track reinstatement of DA for people with disabilities who have taken up or returned to an employment which subsequently did not work out within 12 months.

A Green Paper on Disability Reform was published in September, to begin the conversation about improving these supports and further addressing the cost of disability.

The aim of the Green Paper is two-fold. First, it seeks to better insulate disabled people who cannot work from poverty by providing for higher rates of payment. Second, it seeks to support and encourage a higher level of employment for people with disabilities by tailoring the provision of employment supports to suit a person’s capabilities.

I encourage all those with an interest to express their views in our public consultation by making a submission in writing or by video. It is essential that we hear from as many disabled people and representatives as possible. I have extended the consultation period until 15 March 2024 to ensure everyone has adequate time to make a submission.

I trust this clarifies the matter for the Deputy.

Patrick Costello (Dublin South Central, Green Party)
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295. To ask the Minister for Employment Affairs and Social Protection if she will consider increasing the minimum income threshold for people in receipt of disability allowance if their spouse, civil partner or cohabitant works; and if she will make a statement on the matter. [5032/24]

Patrick Costello (Dublin South Central, Green Party)
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296. To ask the Minister for Employment Affairs and Social Protection her views on whether it is appropriate that persons in receipt of disability allowance can lose their allowance as a result of marriage or cohabitation, thus increasing their reliance on their partner; and if she will make a statement on the matter. [5033/24]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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I propose to take Questions Nos. 295 and 296 together.

Disability Allowance is a means-tested social assistance scheme, which is also subject to a medical assessment and habitual residency requirement.

It is the nature of means-tested schemes that above a certain level of means a person is not entitled to a payment, as it is deemed their own means are sufficient to provide for their needs.

Where a person makes an application for Disability Allowance, the means assessment includes income from employment or self-employment, income from a social security pension from another country and maintenance payments.

If a claimant is married, in a civil partnership or cohabiting, the means of the couple will be assessed. This is the case even if only one of the couple is claiming a payment.

In the assessment of capital means, the couple’s savings, investments, shares and property are included. However, the home in which the claimant lives is not included in the assessment of means unless the person receives an income from it.

It must be noted that the entire amount of income or capital is not included while assessing means. The first €50,000 of capital and savings is fully disregarded, the next €10,000 is assessed at €1 per thousand, the following €10,000 is assessed at €2 per thousand, with the remainder assessed at €4 per thousand. These disregards are the highest among social welfare schemes.

For people in employment, an income disregard of €165 per week is applied. In addition, 50% of earnings between €165 and €375 is also disregarded for the purpose of the means test. A person can actually earn up to €495.10 per week and still retain a proportion of their Disability Allowance payment.

Where the spouse/civil partner/cohabitant is engaged in insurable employment a disregard of €20 per day applies subject to a maximum of €60 per week and the balance is assessed at 60%.

Means is assessed on a household basis and as such must be reassessed if a person’s living circumstances change.

The means assessment reflects the fact that there is an expectation that people with reasonable amounts of income or capital are in a position to use these resources to support themselves so that social welfare expenditure can be directed towards those who need it most.

Any change to the means threshold would have to be considered as part of the Budget process.

I trust this clarifies the matter for the Deputy.

Patrick Costello (Dublin South Central, Green Party)
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297. To ask the Minister for Employment Affairs and Social Protection if she will consider allowing persons in receipt of disability allowance to not take into account the cost of their monthly rent when doing disability allowance means test assessment; and if she will make a statement on the matter. [5034/24]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Disability Allowance (DA) is a weekly allowance paid to people with a specified disability who are aged 16 or over and under the age of 66. This disability must be expected to last for at least one year and the allowance is subject to a medical assessment, means test and Habitual Residency conditions.

DA is a means tested scheme and the way means are assessed is laid down in social welfare legislation. I can confirm that rent is not allowed as a disregard from a means assessment for DA, except in cases where maintenance is paid.

The full amount of any maintenance received by a DA recipient, in the form of cash payments and/or in-kind benefit of direct payment of rent to landlords, is assessed means, minus the maximum weekly disregard of €95.23 per week. This applies regardless of the form of housing/rent assistance payments the customer receives i.e. a Rent Supplement payment or a Housing Assistance Payment (HAP)

It is the person’s actual out of pocket contribution towards the rent that is disregarded from the means test, up to the maximum weekly amount of €95.23. For example, where a person pays €35 per week to the Council under the HAP scheme as their contribution towards rent, that is the weekly amount disregarded from the means test.

My Department is committed to providing a quality service to all its customers and continues to keep the range of income and employment supports under review. Any proposed changes to the supports provided must also be considered in an overall budgetary context.

A Green Paper on Disability Reform was published in September, to begin the conversation about improving these supports and further addressing the cost of disability.

The aim of the Green Paper is two-fold. First, it seeks to better insulate disabled people who cannot work from poverty by providing for higher rates of payment. Second, it seeks to support and encourage a higher level of employment for people with disabilities by tailoring the provision of employment supports to suit a person’s capabilities.

I encourage all those with an interest to express their views in our public consultation by making a submission in writing or by video. It is essential that we hear from as many disabled people and representatives as possible. I have extended the consultation period until 15 March 2024 to ensure everyone has adequate time to make a submission.

If there is a particular DA case that the Deputy would like to be reviewed, officials from my Department will conduct a review.

I trust this clarifies the matter for the Deputy.