Dáil Éireann Debate, Tuesday - 10 February 2026
768. Deputy Barry Ward asked the Minister for Social Protection his views on the merits of allowing for a savings disregard in relation to the means test for carers allowance; and if he will make a statement on the matter. [10407/26]
View answer769. Deputy Barry Ward asked the Minister for Social Protection if a savings disregard in relation to the means test for carers allowance is under consideration; and if he will make a statement on the matter. [10408/26]
View answer770. Deputy Barry Ward asked the Minister for Social Protection if he has engaged with representative groups for carers in relation to their request that savings are disregarded as part of the means test for carers allowance; and if he will make a statement on the matter. [10409/26]
View answerI propose to take Questions Nos. 768, 769 and 770 together.
The Carer’s Allowance is the main scheme by which my department provides income support to carers. Expenditure on Carer’s Allowance in 2026 is estimated to exceed €1.4 billion.
The Programme for Government has set out a timeline which commits to significantly increasing the income disregards for Carer’s Allowance in each Budget, with a view to phasing out the means test during the lifetime of this Government.
This process is well underway. Last July the amount of weekly earnings disregarded was increased to €625 for a single person and €1,250 for a couple. As part of Budget 2026, I announced further changes to the Carer’s Allowance means test that will be introduced this July. The weekly income disregard will increase by 60% from €625 to €1,000 for a single person, and from €1,250 to €2,000 for carers who are part of couple.
Since June 2022, there have been cumulative increases to the disregards of over 200%.
There is already a savings disregard in the Carer's Allowance means test. In fact, the capital disregard for Carer's Allowance was increased as part of Budget 2022 and it is one of the highest in the social welfare system. For the purposes of the means test, capital includes savings, investments and property, excluding a person's primary home. The first €50,000 of capital is fully disregarded in the Carer's Allowance means test. However it is important to note that this equates to €100,000 in the case of a couple. This change was as a result of requests from carers' representative organisations and carers themselves who found the previous capital disregard of €20,000 too restrictive.
The latest reforms to the means test are the largest ever increases in the Carer’s Allowance income disregard and will result in more carers qualifying for Carer’s Allowance, even those in households that are regarded as having relatively high incomes. For example, a carer in a two-adult household with an income of approximately €110,000, with savings as outlined, will retain their full Carer’s Allowance payment and even with an income of €138,000 will retain a partial payment.
Removing the means test is a major reform of the Carer's Allowance payment, and of the Irish social welfare system generally. It is important to acknowledge that there are wider implications of departing from a means-tested approach above the cost exposure and for this reason the income disregard is being abolished in a measured way over a number of Budgets.
I can assure the Deputy, my door is always open. I welcome engagement with the carer organisations. I have met with the main carers' representative organisations and I have found our discussions to be very informative and useful. I remain committed to this dialogue I look forward to engaging with them again in the context of my Department's Annual Carers Forum and Pre-Budget Forum.
I trust this clarifies the matter for the Deputy.
