Welfare increases kick in next week

Some 1.5 million people will benefit next week from social welfare increases announced in the Budget, Minister for Social Affairs…

Some 1.5 million people will benefit next week from social welfare increases announced in the Budget, Minister for Social Affairs Seamus Brennan said today.

Increases in weekly payments and supports will affect pensioners, people on low incomes, welfare-dependent families, carers and those with disabilities.

"When dependants are included, a total of more than 1.5 million men, women and children will benefit from the increases," Mr Brennan said.

In the Budget earlier this month, Minister for Finance Brian Cowen increased social welfare spending to €15 billion.

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Among the highlight provisions was an increase in the weekly non-contributory pension to €200 and the contributory pension to €209 - a measure affecting around 400,000 people.

Other measures effective from next Tuesday, include an increase in the lowest rate welfare payment to €185.80 a week.

Carers will see the benefit of changes the allowance going by €18 to €218 a week, while the means test for the allowance has been eased.

The ban on social welfare recipients claiming carer's benefit has been ended. Around 18,000 people will be eligible to claim a half-rate carer's allowance, though this measure takes effect from February.

With statistics showing stubbornly high rates of child poverty, Mr Brennan said the Budget allowed for "fundamental reforms of social policy shaped and targeted directly at tackling remaining child poverty numbers"

Among the reforms is the combining of three levels of Child Dependant Allowances into a single new Qualified Child Allowance of €22 per week paid for over 340,000 children of welfare families.

The Family Income Supplement (FIS) income threshold is being increased by up to €185 per adding around €10 to the weekly income of over 21,000 families and makes 5,600 additional families eligible for a FIS payment.

"I am committed to an even stronger and more focused campaign in an all out commitment to end child poverty in 21st century Ireland.

I have long held the view that implementing a second tier of payment for children in low income and welfare families is the most effective method of tackling child poverty," Mr Brennan said.

Further improvements coming into effect next week include the extension of a Full Disability Allowance of €185.80 to all resident in institutions.