Dáil Éireann Debate, Tuesday - 7 October 2025
336. Deputy Barry Ward asked the Minister for Social Protection his views on the merits of eliminating the means test for the carer's allowance; the research his Department has carried out into this proposal; and if he will make a statement on the matter. [52973/25]
Amharc ar fhreagraThe 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 the Government and in light of available resources.
Census 2022 recorded approximately 299,000 people who “self-declared” on the census form as providing unpaid care at that time. The Irish Health Survey from 2019 suggests a higher figure - in the order of about 517,000 as reported by Family Carers Ireland. It is worth noting that figures contained in the Healthy Ireland Survey 2024, from the Department of Health, show that some 14% of respondents, or approximately 750,000 people report that they are carers. That is that they are providing regular unpaid personal help to a friend or family member with a long-term illness, health problem or disability.
My department has estimated that cost of removing the means test for Carer’s Allowance at an additional €600 million a year, based on current scheme numbers. In other words those in receipt a means-adjusted carers allowance plus those in receipt of the half-rate carers allowance plus those who do not receive either of these payments because they do not satisfy the means test, but who do receive the annual carers support grant. Once the potential additional inflow is accounted for based on Census data, this increased cost could extend up to an extra €3 billion per annum.
It is important that we make progress in a way that is sustainable, and which balances the allocation of the available budgetary resources each year across all priorities. This includes funding services to other vulnerable groups such as disabled people, lone parents, pensioners and children.
With this Budget, we are increasing the income disregard for a single person by €375 per week to €1,000. That’s an increase of 60% and means that a single person who provides full time care but does some part-time work can earn over €55,000 per year from that work, and receive a full carers payment. In parallel, we are also increasing the income disregard for a couple by 60% or €750 to €2,000 per week. That means that a person who is caring in a household where their partner earns up to €108,000 per annum will receive a full carer’s payment.
Any further changes or improvements to the carer payments, including the Carer’s Allowance payment, will be made in a considered manner within an overall budgetary and policy context.
I trust this clarifies the issue for the Deputy.
