Written answers
Wednesday, 2 October 2024
Department of Employment Affairs and Social Protection
Social Welfare Benefits
Martin Kenny (Sligo-Leitrim, Sinn Fein)
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155. To ask the Minister for Employment Affairs and Social Protection if she will increase the income threshold for fuel allowance in order that those in receipt of public service pensions are eligible; and if she will make a statement on the matter. [39461/24]
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 €382 million in 2024. The purpose of this payment is to assist these households with their energy costs. Only one allowance is paid per household.
The criteria for Fuel Allowance are framed in order to direct the limited resources available to my Department in as targeted a manner as possible. To qualify for the Fuel Allowance payment, a person must satisfy all the qualifying criteria including a means test and the household composition criteria. The means test ensures that the recipient has a verifiable income need and that resources are targeted to those who need them most.
In January 2023 a new means threshold was introduced for people aged 70 years and over. The new means threshold was €500 for a single person and €1,000 for a couple. In addition, for people aged 70 or over, the amount of capital that is disregarded was increased from €20,000 to €50,000. Savings over €50,000 are assessed on a proportionate basis only.
In January 2024, the allowable means for those aged over 70 was further increased to €512 for a single person and €1,024 for a couple.
In January 2023 the weekly means threshold for those aged under 70 was also increased by €80 to €200 above the appropriate rate of State Pension (Contributory).
These were very significant increase in the means threshold and allowed many more households to qualify for the fuel allowance payment.
In Budget 2025 I announced that the enhanced means allowance available to those aged over 70 will now be available to those aged 66 or over. Furthermore, those aged 66 or over will no longer be required to be in receipt of a qualifying Social Protection payment. This measure will allow more households including Public Service pensioner households to qualify for the Fuel Allowance payment.
I trust that this clarifies the matter for the Deputy.
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