Dáil Éireann Debate, Thursday - 19 June 2025
183. Deputy Edward Timmins asked the Minister for Social Protection if he will review and change the current very penal means test calculation on land or savings on, for example, the non-contributory old age pension; and if he will make a statement on the matter. [32897/25]
View answerMeans test rules in my Department are kept under regular review and a number of significant changes were made in recent years including:
• Increase in the Carer's Allowance income disregard to €625 for a single person and €1,250 for a couple from July 2025.
• The amount disregarded when you sell your home to move into care increased to €337,500 from January 2025 for those who get State Pension (Non-contributory), or Disability Allowance or Blind Pension.
• The means test disregard for Fuel Allowance was extended to those aged 66 and over from January 2025.
In the case of the means assessment for the personal rate of the State Pension (Non-contributory), the first €20,000 (€40,000 for a couple) of capital an applicant holds is fully disregarded; the next €10,000 is assessed at €1 per thousand, the next €10,000 is assessed at €2 per thousand, with the remainder assessed at €4 per thousand.These disregards mean that, where people are in receipt of a social assistance payment and are working or have assets, a certain level of income from that work or value from that asset is not assessed in the means test.A comprehensive review of means testing in the social protection system is currently under way in my Department. The purpose of the review of means testing is to look at the different means tested schemes and to identify any issues in terms of the application of their respective means test.The outcome of the review will inform decisions regarding any potential changes to means testing, including in the run up to Budget 2026. All prospective changes to means testing arrangements will have to be considered in both an overall policy and budgetary context.
