Widow pension means assessment anomaly
Boland and others challenged the harsher capital assessment applied when a widow moves from non-contributory widow’s pension to old age pension. Haughey agreed the difference was anomalous but said correcting it required amending legislation.
asked the Minister for Social Welfare if he has removed the anomaly whereby a widow who attains qualifying age for non-contributory old age pension has her means assessed in a harsher manner than obtains for non-contributory widows pension.
Comment on this
: The assessment of means for non-contributory widows' pensions differs from that applicable to non-contributory old age pensions only in relation to the calculation of the yearly value of capital and other property not personally used or enjoyed. All widow pensioners reaching the qualifying age for old age pension would not, therefore, be affected by the different method of calculation used for old age pensions.
The assessment of the yearly value of capital is one of a number of matters dealt with in an inquiry into the operation of the means test which was carried out in my Department and the report of which is at present under examination. Any modification in the existing provisions would require amending legislation.
Comment on this
: Would the Minister not agree that it is a ridiculous state of affairs that a person who is in benefit for a widow's pension can go out of benefit on reaching the qualifying age for an old age pension without any change in her means because of the different method of assessment of capital? Would he not agree to take immediate action to remove that anomaly.
Comment on this
: Does the Minister intend to bring in amending legislation because, as he is aware, it is peculiar that the dividends from income should increase from 5 per cent to 10 per cent when a widow reaches 65 years of age. The Minister will agree that when a person is growing older his difficulties are increasing and, instead of the means test being more harsh, it should be milder. This is something that should be dealt with without undue delay.