Written answers
Thursday, 25 April 2024
Department of Employment Affairs and Social Protection
Social Welfare Benefits
Violet-Anne Wynne (Clare, Independent)
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30. To ask the Minister for Employment Affairs and Social Protection her plans in respect of the means test for the carer's allowance; how she plans on ensuring that more carers can avail of the payment; and if she will make a statement on the matter. [18269/24]
Thomas Gould (Cork North Central, Sinn Fein)
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31. To ask the Minister for Employment Affairs and Social Protection her plans to reform payments to family carers. [18408/24]
Paul Murphy (Dublin South West, RISE)
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44. To ask the Minister for Employment Affairs and Social Protection if she will introduce a living wage for family carers through the social protection system; and if she will make a statement on the matter. [18329/24]
Paul Murphy (Dublin South West, RISE)
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53. To ask the Minister for Employment Affairs and Social Protection if she will abolish means testing of carer’s allowance; and if she will make a statement on the matter. [18327/24]
Heather Humphreys (Cavan-Monaghan, Fine Gael)
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I propose to take Questions Nos. 30, 31, 44 and 53 together.
The main income supports to carers provided by my department are Carer’s Allowance, Carer’s Benefit, Domiciliary Care Allowance and the Carer’s Support Grant. Spending on these payments is expected to amount to over €1.7 billion this year.
The Carer’s Allowance scheme is the main scheme by which the Department provides income support to carers in the community. In 2024 the expenditure on the Carer’s Allowance scheme is estimated to be over €1.1 billion.
Since my appointment as Minister, I have made a number of improvements to the means test for Carer's Allowance.
In June 2022 the income disregards were increased from €332.50 to €350 for a single person, and from €665 to €750 for carers with a spouse/partner. The capital and savings disregard for the Carer’s Allowance means assessment was also increased from €20,000 to €50,000.
As part of Budget 2024, the weekly income disregard will be further increased from €350 to €450 for a single person, and from €750 to €900 for carers with a spouse/partner.
Since June 2022, this amounts to cumulative increases to the income disregards of €117.50 for a single carer and €235.00 for a carer who is part of couple. These are the highest disregards in the Social Welfare system.
The changes meant that carers on a reduced rate moved to a higher payment. In addition, many carers who previously did not qualify for a payment due to their means are brought into the Carers Allowance system for the first time.
Carer's Allowance does not purport to be a payment for care, and I do not intend to deviate from the underpinning principle of Carer’s Allowance being an income support payment. It is important to note that the removal of the means test would give rise to significant additional costs, which would result in people who may have higher sources of income benefitting while reducing the scope for the Department to provide income supports to lower income households.
That said, as part of Budget 2024, I announced my intention to establish an Interdepartmental Working Group with the Department of Health and the Department of Children, Equality, Disability, Integration and Youth to examine and review the system of means test for carers payments.
I have asked this Group to report to me on the matter by Quarter 3 of this year.
I trust that this clarifies the issue for the Deputy.
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