Dáil Éireann Debate, Thursday - 9 November 2023
96. Deputy Pauline Tully asked the Minister for Housing, Local Government and Heritage if he will consider disregarding the working family payment as means for social housing; and if he will make a statement on the matter. [49083/23]
View answerWill the Minister consider disregarding the working family payment as a means for the social housing list?
The Social Housing Assessment Regulations 2011 prescribe maximum net income limits for each local authority in different bands according to the area concerned, with income defined and assessed according to a standard household means policy. The baseline income eligibility thresholds were increased for all local authorities, with effect from 1 January 2023, by €5,000 to €40,000, €35,000 and €30,000 for bands 1, 2 and 3, respectively. The household means policy provides for a range of income disregards and local authorities have discretion to disregard income that is temporary, short-term or once-off in nature. All income from social assistance payments, allowances and benefits, including working family payment, is assessable. The payments included in the policy were reviewed in 2021. As it was found that the majority of working family payment recipients are in receipt of the payment for more than one year, it was recommended that the working family payment should not be considered short term in nature and, therefore, should remain as assessable income. While there are no plans to amend the policy at this time, all matters concerning social housing policy are constantly under review as part of our Department’s work on the broader social housing reform agenda. In that context, the Department continues to work on developing options for a potential revised or new social housing income eligibility model. It is expected that proposals will be submitted for consideration by the Minister when the analysis is completed.
I am raising this issue because a single parent, a woman with three children, came into my office. She is facing eviction. She works two days a week and receives the lone parent payment and working family payment and is now over the threshold for social housing in her area. When discussing this case with the housing officer in the local authority, she commented that the working family payment puts a lot of people over the threshold. It is a weekly, tax-free payment for employees with children. It supports people on low pay; it is not counted as means for the medical card application. Can it not be considered as means for the social housing list? It disproportionately affects single parents in this instance. This woman is considering not claiming the payment so that she can get back under the threshold to be considered for the social housing list.
There are probably cases like that all over the country. Prior to 2011, there were no income limits and there was inconsistency across local authorities. Some disregarded while some included all incomes. That is why the household means policy was introduced. It sets out the manner by which local authorities should assess the means of an applicant for social housing support for the purpose of determining the household's ability to provide accommodation from its own resources. The policy also provides for a range of income disregards and local authorities have discretion to disregard income that is temporary, short term or once-off in nature. The vast majority of recipients of the working family payment were receiving it for more than one year, so it was considered not to be short term in nature. The Minister is in the process of reviewing the income eligibility model. It can be examined. It is unfortunate in the case of the applicant the Deputy mentioned. The local authority discretion is there. I hope that the family she mentioned is in a position to find suitable accommodation.
A number of years ago, this would not have mattered so much because if someone did not qualify for social housing, private rentals were available and affordable. They are neither available or affordable at the moment for people just over the threshold for social housing. In fact, they are not affordable for people on a medium or even a high income at this stage. I know of many individuals and families who have turned down work, stayed working part time instead of full time, refused overtime and are not claiming payments to which they are entitled because it would push them over the threshold to stay on the social housing list, so they can stay in receipt of HAP. That should not happen. Can more discretion be offered to local authorities on payments such as this for families facing eviction to keep them on the social housing list?
To refer back to the local authority's responsibility and role in supporting that family, the Deputy's local authority was under band 3. The income eligibility was increased to €30,000. The increase in the three bands was welcome and had been sought for some time. We supported it in government. On the particular case the Deputy referenced, it is unfortunate that the applicant had to opt for that approach but, as I said, the Minister is in the process of reassessing the social housing income eligibility model based on other elements of income assessment payments. I cannot offer any solution for the applicant about which she spoke.
