Press release
Minister Humphreys announces record Social Protection Budget worth €2.3 billion
From Department of Social Protection
Published on
Last updated on
From Department of Social Protection
Published on
Last updated on
The Minister for Social Protection Heather Humphreys has today announced a €2.3 billion budget package that will support pensioners, carers, people with disabilities and low-income families.
The Social Protection Budget, the largest in the history of the State, will assist families and vulnerable citizens through a mix of lump sum supports and increases to weekly payments.
Across-the-board increases of €12 per week will be combined with a series of lump sum payments in areas such as Carer’s and People with Disabilities, Child Benefit, Fuel Allowance and the Living Alone Allowance.
There will be a Christmas Bonus in December, followed by a January Cost of Living Bonus, which will support pensioners, carers, people with disabilities, jobseekers and families.*
Social Protection measures announced today include:
Further measures also delivered include:
Announcing today’s Social Protection Budget, Minister Humphreys said:
“I am delighted today to announce Social Protection measures worth some €2.3 billion. This package represents the largest social welfare package in the history of the State.
“The measures contained in the Budget are designed to support the most vulnerable in our society with the increased cost of living and there is a particular focus on tackling child poverty.
“I am pleased to again secure across the board increases to weekly payments - benefitting pensioners, lone parents, jobseekers, carers and people with disabilities.
“I am also today announcing a range of lump sum payments similar to last year’s Budget including double payments at Christmas and January, a €300 Fuel Allowance lump sum, a €200 Lump sum for Living Alone allowance and €400 lump sums for the Disability Support and for Carers.”
Minister Humphreys continued:
“I am really pleased to secure a range of targeted measures to support families with children, including an expansion of the Hot School Meals scheme, extending Child Benefit to 18 year olds in full time education and increasing the weekly Working Family Payment thresholds by €54. I am also extending Parent’s Benefit to nine weeks and the Domiciliary Care Allowance is increasing by €10 per month. I have also secured a new €100 lump sum payment per child where an increase for a qualified child is in payment.
“To support people with disabilities I am proud to announce that we are reducing the hourly threshold for employers to avail of the Wage Subsidy Scheme from 21 to 15 hours. This is based on feedback from the sector and will help support people with disabilities into employment.
“I am particularly pleased to expand my department’s Free Travel Pass to support people who are medically certified as unable to drive. I want to acknowledge the work of Epilepsy Ireland who I have engaged with over the last two years on this matter. This is a small change but it will make a big difference.
“I am increasing the income threshold for Carer’s Allowance to €450 for a single person and €900 for a couple. This is the second time I have expanded the Carer’s Means Test since my appointment as Minister and it will mean thousands more carers will now qualify for a payment. In addition to these changes to the means test, I also propose to establish an Interdepartmental Working Group with the Department of Health to examine and review the entire system of means test for carers payments.
“It is important that we begin to address the long-term sustainability challenges faced by our pensions system.
“Earlier this year the government decided against increasing the pension age but instead to take a measured approach to increasing PRSI contribution rates on a phased, incremental, basis over a number of years.
“In parallel the government decided to introduce a number of enhancements to the system; these include improving the pension entitlements for long-term carers, allowing people who want to work longer to defer their pension and receive a higher rate of payment by doing so, and a transition to the fairer total contributions approach to calculating pension entitlements.
“Steps to implement these enhancements are well underway with legislation currently undergoing pre-legislative scrutiny in the Oireachtas. The online system to enable long-term carers access their improved entitlement is already up and running and enhanced pensions will start issuing in the new year.
“In order to meet the additional costs of retaining the pension age at 66, it is important that we begin to address the long-term sustainability challenges faced by our Pension system with phased increases to PRSI rates. Due to the strong performance of the Social Insurance Fund these increases will be incremental over a number of years starting with a 0.1% increase from 1 October 2024.
“Keeping the pension age at 66 is an important long term benefit for workers. Government also wants to enhance the short term benefits available for workers. For this reason and to coincide with the introduction of PRSI increases next year, we will introduce a new Pay Related Benefit system. This is an important reform to our social welfare system that will reduce the income shock experienced by people who lose their job.
“I will announce full details on these changes later this year as part of the Social Welfare Bill.”
In relation to the measures being introduced to the Carer’s Allowance, Minister Humphreys said that she was particularly pleased to expand the reach of the scheme by increasing the weekly earnings disregards by €100.
In addition, Carers in receipt of the Carer’s Support Grant will benefit from a €400 lump sum payment in November. A person who qualifies for both a disability and a half rate carer’s payment will receive one bonus payment of €400.
Recognising the value of in-work supports, Minister Humphreys is assisting low-income working families by providing a lump sum payment of €400 to those receiving the Working Family Payment. In addition, the income threshold for this payment is being increased by €54 for all family sizes.
A new Pay Related Jobseekers Benefit scheme will be introduced in Quarter 4 2024. This new scheme will link a person’s jobseeker’s payment to their previous earnings and work history, softening the income shock that a worker may face if they suddenly lose their job.
Joe O’Brien, Minister of State for Community Development, Integration and Charities, commented:
“This Budget will provide supports for the most vulnerable people in our society through measures such as the increase in the Qualified Child Payment, the Working Family Payment thresholds, the extension of the Hot School Meals and the suite of lump sum payments.
“I am particularly pleased to see the payment of €100 for each child in respect of those of whom an Increase for a Qualified Child is in payment and of course every increase in core rates is an important step.
“These measures are an important factor towards achieving the target set out in the Roadmap for Social Inclusion and to tackle social exclusion.”
The full list of Social Protection Budget measures is available at gov.ie/DSPBudget24.
The once off payment of €400 to people getting Disability Allowance, Invalidity Pension, Blind Pension and/or Carer’s Support Grant, is only payable in respect of one payment, even if a person qualifies for more than one of the payments or are caring for more than one person.
The introduction of a Pay-Related Jobseekers Benefit in 2024 is subject to government approval and final design of the scheme.