Supporting disabled people is a key priority for the Government. My Department provides a suite of income supports for those who are unable to work due to illness or disability.
Social welfare legislation provides that for means-tested social assistance schemes, including Disability Allowance and Blind Pension, all income and assets belonging to the claimant, and his or her spouse or partner where applicable, are assessable for means-testing purposes. A person's home is not included in the means assessment. The purpose of the means test is to ensure that resources are directed to those with the greatest need.
Under Catherine's Law, where a person on Disability Allowance or Blind Pension is granted a bursary, stipend or scholarship towards completing a PhD, it will be excluded in the means test. The disregard applies to stipends up to €20,000 per year and it is available for up to four years. Prior to the introduction of Catherine’s Law this income was assessed in full.
Furthermore, people on Disability Allowance and Blind Pension can take up employment or self-employment and continue to receive all or part of their payment, depending on their income. The earnings disregard has increased by almost 38% since Budget 2021 from €120 to €165 currently. This means that a person can earn up to €165 a week and keep their full rate payment. Earnings between €165 and €375 are assessed at 50%, and any earnings over €375 are fully assessed as means. As a result, people can earn up to €165 per week and keep their payment in full and can earn up to €527.60 per week and keep a portion of their payment.
The Basic Income for the Arts Scheme is a measure to incentivise the development and growth of professional creative practice through self-employment. It is the responsibility of my colleague the Minister for Culture, Communications and Sport. Income from this scheme is treated as income from self-employment for the purpose of my Department's means tests. This means that the Disability Allowance and Blind Pension earnings disregards apply to this income.
In addition, Disability Allowance has one of the highest capital disregards operated by the Department of Social Protection. A recipient can have up to €50,000 in savings and still receive the full rate of payment. This is compared to €20,000 for most social welfare payments.
As a result of Budget 2026, where people move off Disability Allowance into employment, they will be able to retain their Fuel Allowance payment for up to five years. In addition, where such people have children, they will now be eligible for the Back to Work Family Dividend which pays the equivalent of their Child Support Payment in year one and half of that amount in year two, for up to a maximum of four children.
Any changes to disregards under disability schemes would have to be considered in an overall budgetary context.
I trust this clarifies the issue for the Deputy.
