Up to 6,000 lone parents will benefit from reforms to the One Parent Family Payment in today’s Budget, while increases in the Family Income Supplement (FIS) thresholds will benefit up to 60,000 low-income families.
Single parents will no longer be compelled to take up work when their youngest child reaches the age of seven.
They may still receive support until their youngest child is 14 without having to seek work. They will also be able to take up employment, including part-time, or education if they wish.
In addition, the income disregard for the Jobseekers’ Transitional Payment (JST) is being increased from €60 per week, to €90. This is a payment onto which lone parents must move when their youngest child reaches seven years, until they are 14 . The balance of any income will now be assessed at 50 per cent instead of 60 per cent.
These changes bring the conditions around the JST into line with the one parent family payment conditions and will be welcomed by groups advocating for lone parents.
Changes to the one parent family payment, introduced in 2013, were among the most controversial welfare reforms the Tánaiste and Minister for Social Protection Joan Burton has introduced.
The reforms led to founding of lobby groups, such as Single Parents Acting for the Rights of our Kids (SPARK) and to heated protests.
A department source said today the changes would mean “no lone parent with a youngest child aged under 14 years is required to take up employment in order to receive income support from the Department...As such, JST allows these customers to balance their work and caring responsibilities while also supporting them to move towards sustainable employment as their children get older.
“The measure will cost €8 million a year, and is expected to benefit 5,900 recipients in 2016.”
He said it means a parent on the Jobseekers’ Transitional Payment earning €100 per week over three days or more, with one child will see an increase of €19 per week in their overall income.
The Tánaiste will also detail increase in the income thresholds for Family Income Supplement of €5 for families with one child and €10 for families with two or more children.
It means families on low incomes will be able to earn between € 5 and €10 more per week to qualify for Family Income Supplement.
Family Income Supplement is an in-work support for low-paid workers with families at risk of poverty.
The changes to be announced this afternoon will benefit nearly 60,000 families and over 131,000 children. This includes an additional 1,500 households and 3,365 children becoming eligible for Family Income Supplement as a result of the increase in income thresholds.
Some 66 per cent of families in receipt of Family Income Supplement have one or two children.
