Social Welfare Act 2001

PART 1 Preliminary

1 Short title and construction.

1.—(1) This Act may be cited as the Social Welfare Act, 2001.

(2) The Social Welfare Acts and this Act (other than Part 7) shall be construed together as one.

2 Definitions.

2.—In this Act—

“Act of 1994” means the Social Welfare Act, 1994;

“Act of 1995” means the Social Welfare Act, 1995;

“Act of 1996” means the Social Welfare Act, 1996;

“Act of 1997” means the Social Welfare Act, 1997;

“Act of 1998” means the Social Welfare Act, 1998;

“Act of 1999” means the Social Welfare Act, 1999;

“Act of 2000” means the Social Welfare Act, 2000;

“No. 2 Act of 1993” means the Social Welfare (No. 2) Act, 1993;

“Principal Act” means the Social Welfare (Consolidation) Act, 1993.

3 Continuance of instruments.

3.—An instrument that is made under a provision of the Principal Act that is amended by this Act and that is in force immediately before the commencement of the amendment shall continue in force as if made under the provision so amended to the extent that the instrument concerned is consistent with that provision as so amended.

PART 2 Increases

4 Social Insurance benefits (new rates).

4.—(1) The Principal Act is amended by the substitution for Parts I to IV (inserted by section 4 of the Act of 2000) of the Second Schedule thereto of the Parts set out in Schedule A to this Act.

(2) This section comes into operation—

(a) in so far as it relates to unemployment benefit, on 29 March 2001,

(b) in so far as it relates to disability benefit, health and safety benefit, injury benefit and disablement gratuity, on 2 April 2001,

(c) in so far as it relates to carer's benefit, retirement pension, invalidity pension and a relevant payment by virtue of section 18(1)(a) of the Act of 1996, on 5 April 2001, and

(d) in so far as it relates to disablement pension, death benefit under section 60, 61 or 62 of the Principal Act, old age (contributory) pension, widow's and widower's (contributory) pension and orphan's (contributory) allowance, on 6 April 2001.

5 Social assistance payments (new rates).

5.—(1) The Principal Act is amended by the substitution for Parts I, II, IIA, IIB and IIC (inserted by section 5 of the Act of 2000) of the Fourth Schedule thereto of the Parts set out in Schedule B to this Act.

(2) This section comes into operation—

(a) in so far as it relates to unemployment assistance, pre-retirement allowance and farm assist, on 28 March 2001,

(b) in so far as it relates to supplementary welfare allowance, on 2 April 2001,

(c) in so far as it relates to disability allowance, on 4 April 2001,

(d) in so far as it relates to one-parent family payment (other than where payable in respect of a widow or widower), carer's allowance and a relevant payment by virtue of section 18(1)(b) or (c) of the Act of 1996, on 5 April 2001, and

(e) in so far as it relates to old age (non-contributory) pension, blind pension, widow's and widower's (non-contributory) pension, one-parent family payment payable in respect of a widow or widower and orphan's (non-contributory) pension, on 6 April 2001.

6 Child benefit (new rates).

6.—(1) The Fourth Schedule to the Principal Act is amended by the substitution for Part III (inserted by section 6 of the Act of 2000) of the following Part:

“PART III

Amount for each of first 2 children	Amount for each child in excess of 2
(1)	(2)
£67.50	£86.00

”.

(2) This section comes into operation on 1 June 2001.

7 Family income supplement (new weekly rates).

7.—(1) The Principal Act is amended by the substitution for section 198 (inserted by section 7(1) of the Act of 2000) of the following section:

“Entitlement to supplement.

198.—Subject to this Act, an allowance (in this Act referred to as ‘family income supplement’) shall be payable out of moneys provided by the Oireachtas in respect of a family where the weekly family income is less than— (a) in the case of a family which includes only 1 child, £258, (b) in the case of a family which includes 2 children, £278, (c) in the case of a family which includes 3 children, £298, (d) in the case of a family which includes 4 children, £318, (e) in the case of a family which includes 5 children, £343, (f) in the case of a family which includes 6 children, £363, (g) in the case of a family which includes 7 children, £380, or (h) in the case of a family which includes 8 or more children, £397.”.

(2) This section comes into operation on 5 April 2001.

8 Employment contributions (new rates of contributions and amendments to earnings ceilings).

8.—(1) Section 2(1) (as amended by section 30 of the Act of 1999) of the Principal Act is amended by the substitution for the definition of “qualifying contribution” of the following definition:

“‘qualifying contribution’ means the appropriate employment contribution or self-employment contribution which was paid or would have been paid but for section 10(1)(c) in respect of any insured person or the appropriate optional contribution which was paid or would have been paid but for section 24B(1)(b);”.

(2) Section 10 of the Principal Act is amended by—

(a) the substitution in subsection (1)(b) (as amended by section 8(1)(b) of the Act of 2000) of “4 per cent.” for “4.5 per cent.”,

(b) the substitution in subsection (1)(c) (inserted by section 8(1)(c) of the Act of 2000) of “£28,250” for “£26,500”,

(c) the substitution in subsection (1)(d) (as amended by section 8(1)(d) of the Act of 2000) for “Subject to paragraphs (e) and (f), subsection” of “Subject to subsection”,

(d) the deletion of subsections (1)(e) and (1)(f), and

(e) the substitution in subsection (2)(a) for “paragraphs (c) and (e)” of “paragraph (c)”.

(3) The following section is substituted for section 13 of the Principal Act:

“13.—Regulations may provide for the determination of liability for the payment of employment contributions in the case of a person who works under the general control or management of a person who is not his or her immediate employer.”.

(4) This section comes into operation on 6 April 2001.

9 Self-employment contributions (new rates of contributions and abolition of income ceiling).

9.—(1) Section 18(1) of the Principal Act is amended by—

(a) the substitution for paragraph (a) (as amended by section 9 of the Act of 1996) of the following paragraph:

“(a) Subject to paragraph (b) and (h), where in any contribution year a self-employed contributor has reckonable income there shall be payable by him or her a self-employment contribution which shall be of an amount equal to 3 per cent. of the reckonable income or the amount of £200 whichever is the greater.”,

(b) the substitution for paragraph (c) (as amended by section 9 of the Act of 1996) of the following paragraph:

“(c) Subject to paragraph (h), where in any contribution year a payment is made to a self-employed contributor in respect of reckonable emoluments of that self-employed contributor, there shall be payable by him or her a self-employment contribution which shall be of an amount equal to 3 per cent. of the reckonable emoluments or the amount of £200, whichever is the greater.”,

(c) the deletion of paragraph (d),

(d) the deletion of paragraph (f), and

(e) the substitution in paragraph (h) (as amended by section 9 of the Act of 1996) of “£200” for “£215”.

(2) Section 19 of the Principal Act is amended by—

(a) the substitution in subsection (1) for “Subject to subsection (2), regulations” of “Regulations”, and

(b) the substitution for subsections (2), (3) and (4) of the following subsections:

“(2) The Minister may by regulations specify circumstances in which contributions payable by a self-employed contributor may be treated as paid.

(3) For the purposes of this section ‘contributions’ means employment contributions payable under section 10 and self-employment contributions payable under section 18.”.

(3) Section 4 of the Principal Act is amended by the deletion in subsection (5) (as amended by section 17 of the Act of 2000) of “18(1)(f),”.

(4) This section comes into operation on 6 April 2001.

10 Optional contributions (new rates of contributions).

10.—(1) Section 24B(1)(b) of the Principal Act (inserted by section 4 of the No. 2 Act of 1993) is amended by the substitution for “the sum specified in section 18(1)(d).” of “£28,250.”.

(2) This section comes into operation on 6 April 2001.

11 Voluntary contributions (new rates and amounts of contributions).

11.—(1) Section 22(1) of the Principal Act is amended by the substitution for paragraphs (a) and (b) of the following paragraphs:

“(a) Subject to paragraph (c), a contribution (in this Act referred to as a ‘voluntary contribution’), in the case of a person who becomes a voluntary contributor by virtue of paragraph (a) of section 21(1) and who is under pensionable age, shall be payable in each contribution year, at such time or times and in such manner as the Minister shall prescribe, at a percentage rate, as set out in paragraph (b), of the amount of the reckonable income (if any) of the contributor in the preceding contribution year or in an amount (‘minimum annual amount’), as set out in paragraph (b), whichever is the greater.

(b) (i) In the case of a voluntary contributor who, immediately before ceasing to be an employed contributor, was employed in employment in respect of which the employment contributions payable are not reckonable for the purposes of old age (contributory) pension, the percentage rate shall be 2.6 per cent. and the minimum annual amount shall be £100.

(ii) In the case of a voluntary contributor who, immediately before ceasing to be an employed contributor, was employed in employment in respect of which the employment contributions payable are reckonable for the purposes of old age (contributory) pension, the percentage rate shall be 6.6 per cent. and the minimum annual amount shall be £250.

(iii) In the case of a person to whom subsection (2) applies and who, by virtue of compliance with that subsection, continues to be a voluntary contributor, the percentage rate shall be 4 per cent. and the minimum annual amount shall be £150.”.

(2) Section 23(1) of the Principal Act (as amended by section 11 of the Act of 1996) is amended by the substitution for “£215” of “£200”.

(3) This section comes into operation on 6 April 2001.

PART 3 Improvement in Social Welfare Schemes

12 Maternity and adoptive benefits — increase in duration.

12.—(1) The Principal Act is amended by—

(a) the substitution in paragraph (a) of section 37(4) (inserted by section 10 of the Act of 1997) for “fourteenth” of “twenty-second”,

(b) in section 37(5) (inserted by section 10 of the Act of 1997)—

(i) the substitution in paragraph (b) for “14” of “18”, and

(ii) the substitution in paragraph (c) for subparagraph (ii) of the following subparagraph:

“(ii) is in insurable self-employment, for a period commencing on the day after the day on which the death of the mother occurs—

(A) where the mother dies before the expiry of the fourteenth week following the week of her confinement, to the end of the fourteenth week following the week of her confinement, or

(B) where the mother dies after the expiry of the fourteenth week but before the expiry of the twenty-second week following the week of her confinement, to the end of the twenty-second week following the week of her confinement:”,

and

(c) the substitution in paragraph (b) of section 41G(4) (as amended by section 11 of the Act of 1997) for “10” in each place where it occurs of “14”.

(2) This section shall have effect in respect of persons whose entitlement to maternity or adoptive benefit commences on or after the commencement of this section.

(3) This section comes into operation on such day or days as the Minister may appoint by order or orders either generally or with reference to any particular purpose or provision and different days may be so appointed for different purposes or different provisions.

(4) An order under subsection (3) may, if the order so provides, have retrospective effect.

13 Assessment of means — improvements.

13.—(1) Part I of the Third Schedule to the Principal Act is amended by—

(a) in Rule 1(2) (as amended by section 26 of the Act of 1997)—

(i) the insertion after subparagraph (h) of the following subparagraph:

“(hh) in the case of unemployment assistance, any moneys, subject to such limit as may be prescribed, received by way of repayment of expenses necessarily incurred in relation to travel and meals while undergoing a course of education, training or development approved by the Minister,”,

(ii) the insertion after subparagraph (k) of the following subparagraph:

“(kk) payments in respect of not more than two persons boarded out under section 10 of the Health (Nursing Homes) Act, 1990, received from a health board or a person boarded out, in so far as the aggregate amount of payment received in respect of each person boarded out does not exceed an amount equivalent to the rate set out in column (2) at reference 4 of Part I of the Fourth Schedule,”,

and

(iii) the substitution for subparagraph (m) of the following subparagraph:

“(m) in such cases as may be prescribed, any moneys received by way of a maintenance grant under—

(i) a scheme administered by the Minister for Education and Science under the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, or

(ii) a scheme administered under the aegis of the Minister for Education and Science and known as the—

(I) Maintenance Grants Scheme for Students attending Post-Leaving Certificate Courses,

(II) Vocational Education Committees Scholarship Scheme, or

(III) Third-Level Maintenance Grants Scheme for Trainees,”,

and

(b) the insertion after Rule 2 of the following Rule:

“2A.—(1) Notwithstanding the provisions of this Schedule, for the purposes of disability allowance, the gross proceeds derived from the sale of the principal residence of the claimant or beneficiary or, in the case of a married couple who are living together, the spouse of the claimant or beneficiary shall not, subject—

(a) to such limit,

(b) to such conditions,

(c) in such circumstances, and

(d) for such periods,

as shall be prescribed, be taken into account in calculating the means of the claimant or beneficiary.

(2) In this Rule ‘gross proceeds derived from the sale of the principal residence’ means—

(a) the agreed sale price of the residence, or

(b) where the claimant or beneficiary purchases alternative accommodation, the difference between the agreed sale price of the former residence and the agreed purchase price of the replacement residence.

(3) Paragraph (1) shall not apply to any sums arising from the investment or profitable use of the gross proceeds derived from the sale of the principal residence.”.

(2) Part II of the Third Schedule to the Principal Act is amended by—

(a) in Rule 1(4) (as amended by section 26 of the Act of 1997)—

(i) the substitution in subparagraph (f) for clauses (ii) and (iii) of the following clauses:

“(ii) payments by a health board in respect of a child who is boarded out,

(iii) payments in respect of not more than two persons boarded out under section 10 of the Health (Nursing Homes) Act, 1990, received from a health board or a person boarded out, in so far as the aggregate amount of payment received in respect of each person boarded out does not exceed an amount equivalent to the rate set out in column (2) at reference 4 of Part I of the Fourth Schedule, or

(iv) a mobility allowance payable under section 61 of the Health Act, 1970, to the person,”,

(ii) the insertion after subparagraph (m) of the following subparagraph:

“(mm) in the case of one-parent family payment, any moneys, subject to such limit as may be prescribed, received by way of repayment of expenses necessarily incurred in relation to travel and meals while undergoing a course of education, training or development approved by the Minister,”,

and

(iii) the substitution for subparagraph (n) of the following subparagraph:

“(n) in the case of blind pension or one-parent family payment, any moneys received by way of a maintenance grant under—

(i) a scheme administered by the Minister for Education and Science under the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, or

(ii) a scheme administered under the aegis of the Minister for Education and Science and known as the—

(I) Maintenance Grants Scheme for Students attending Post-Leaving Certificate Courses,

(II) Vocational Education Committees Scholarship Scheme, or

(III) Third-Level Maintenance Grants Scheme for Trainees,”,

and

(b) the substitution in Rule 2(1) for “old age (non-contributory) pension” of “old age (non-contributory) pension or blind pension”.

(3) Rule 1(1) (as amended by section 26 of the Act of 1997) of Part III of the Third Schedule to the Principal Act is amended by—

(a) the insertion after subparagraph (b) of the following subparagraph:

“(bb) payments in respect of not more than two persons boarded out under section 10 of the Health (Nursing Homes) Act, 1990, received from a health board or a person boarded out, in so far as the aggregate amount of payment received in respect of each person boarded out does not exceed an amount equivalent to the rate set out in column (2) at reference 4 of Part I of the Fourth Schedule,”,

and

(b) the substitution for subparagraph (n) of the following subparagraph:

“(n) in such cases as may be prescribed, any moneys received by way of a maintenance grant under—

(i) a scheme administered by the Minister for Education and Science under the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, or

(ii) a scheme administered under the aegis of the Minister for Education and Science and known as the—