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WRITTEN QUESTION TO THE MINISTER FOR SOCIAL SECURITY BY DEPUTY R.G. LE HÉRISSIER OF ST. SAVIOUR
ANSWER TO BE TABLED ON TUESDAY 24th MARCH 2009
Question
Given that Income Support and associated benefits were, in part, promoted as a support for those in work or seeking to return to work, would the Minister specify the number of clients on Long Term Incapacity Allowance who have returned to work (distinguishing between full and part-time) since the inception of Income Support and state what percentage this forms of clients on LTIA?
Answer
There is no direct connection between Long Term Incapacity Allowance (LTIA) and Income Support. LTIA replaced Invalidity Benefit and Disablement Benefit in October 2004. These are contributory benefits, paid from the Social Security Fund whereas Income Support is a tax-funded benefit, only paid to households with income below a certain level. Whereas Invalidity Benefit could only be claimed by individuals who were not in work, individuals receiving LTIA are at liberty to take up paid employment and retain their benefit. The individual does not need to inform the Department if they take up or resume paid employment. Many people receiving LTIA will not be eligible for Income Support based on the level of their household income.
For those individuals who do receive LTIA and Income Support, depending on the severity of their illness or disability, they may be partially or fully exempt from any work requirement under Income Support.
RC42/2007 (Review of the changes to the Incapacity Benefit System) included an analysis of LTIA claimants in paid work which noted that:
"4.29 A separate analysis of Long-Term Incapacity Allowance claims reveals that at some point over the period May 2005 to April 2006, 30 per cent (or 210 claimants) had undertaken some form of employment and paid social insurance contributions. Under the previous benefit system none of the claimants with long-term illnesses would have been entitled to work."
At the end of February 2009, there were 3,016 LTIA claims in payment.