BUDGET 2016: First increase in weekly state pension since 2009

An increase of €3 in the weekly state pension and other welfare payments for the over-66s was one of the few budget measures not leaked in advance.

The increase takes effect from January when those claiming for dependent spouses or partners will also receive an extra €2-€2.70, depending on their age.

Senior citizens getting the State pension; the widow’s, widower’s or surviving civil partner’s pension or the carer’s allowance will all benefit, 583,000 recipients and 93,500 dependents in all.

Announcing the increases, Tánaiste and Social Protection Minister Joan Burton stressed they were ahead of inflation, but they are the first increase since 2009.

“Pensioners are an absolute rock on which our society is built,” she said, defending her decision to boost the payment against the backdrop of remarks from Europe that pensioners have been among the most cushioned during the recession.

“So many pensioners have supported their adult children and their families throughout very difficult times. They deserve to see their income in retirement increase now that we have some room to do so.”

An increase of €2.50 in the weekly winter fuel allowance, which will also take effect from January, brings that payment up to €22.50 a week and will benefit many older people.

They will also be one of the biggest groups getting the Christmas bonus in early December which will provide a once-off extra payment worth €164.30 to a person on a non-contributory state pension.

But Age Action spokesman Justin Moran said while some progress was made in the budget, many needs were left to be addressed and there was disappointment that the telephone allowance had not been restored.

“Since 2009 an older person on the State pension and household benefits package has seen their weekly income cut by more than €13 a week. Almost a hundred thousand older people are living in deprivation,” he said.

“We are particularly disappointed to have heard nothing yet on prescription charges. These have risen 500% since they were introduced, and have hit older people , who might have multiple prescriptions, particularly hard. It’s simply a tax on sick people.”

Mr Moran also questioned the commitment to keep waiting lists for the Fair Deal nursing home scheme down to four weeks. While acknowledging the extra funding for the scheme, he said waiting lists had hit 15 weeks last year.

He also said more funding was needed for home supports to help keep older people out of nursing homes for longer.