Colm Burke (Cork North Central, Fine Gael)
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150. To ask the Minister for Employment Affairs and Social Protection if consideration could be given to revising the means test required to qualify for disability allowance (details supplied); and if she will make a statement on the matter. [39396/24]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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My Department's primary disability related social assistance scheme is Disability Allowance, which is a means-tested payment for people with a specified disability who are aged between 16 and 66. In addition to the means test, in order to be eligible, the disability must be expected to last for at least one year. The allowance is also subject to a medical assessment and a habitual residency requirement.

Estimated expenditure on Disability Allowance for 2024 is expected to be almost €2.2 billion.

Social welfare legislation provides that, for means-tested social assistance schemes, all income and assets belonging to the claimant, and his or her spouse/partner where applicable, are assessable for means testing purposes. The purpose of the means test is to ensure that resources are directed to those with the greatest need for income supports by the State. 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.

It should be noted that Disability Allowance has one of the highest capital disregards operated by the Department of Social Protection. A recipient can have up to €50,000 in savings and still receive the full rate of payment. This is compared to €20,000 for most social welfare payments.

Disability Allowance has been structured to support recipients to avail of opportunities to pursue employment, be that self-employment or insurable employment. For people in employment, an income disregard of €165 per week is applied with 50% of earnings between €165 and €375 also disregarded. Meaning that people can currently earn up to €165 per week and keep their payment in full and can earn up to €505.10 per week and keep a small portion of their payment.

The earnings disregard for recipients of Disability Allowance has increased by almost 38% since Budget 2021 from €120 to €165 currently. This enables those on the scheme to earn more without having a negative impact on their means tested payment.

The Taoiseach has established a Cabinet Committee on Children and Education and Disability. Any reform of disability payments will now be considered as part of this broader review of disability matters on a whole-of-Government basis.

I trust that this clarifies the matter for the Deputy.