Minister of State Mary Butler has told the Dáil that proposed changes to the Nursing Homes Support Scheme, also known as the Fair Deal, will both safeguard and protect the viability of family farms.
Minister of State at the Department of Health, Mary Butler, said amendments to the Nursing Homes Support Scheme Act 2009, will widen the definition of those eligible to be considered as a family successor to a family farm.
Minister Butler highlighted to the Dáil that the Fair Deal scheme, is a system of financial support for anyone who needs long-term nursing home care.
“Participants contribute to the cost of their care according to their means, while the state pays the balance of the cost,” she stated.
Nursing home scheme
Minister Butler previously introduced an amendment to the Fair Deal scheme which extended a three-year cap – the limit on how much is paid towards nursing home care – that initially applied to an applicant’s principal private residence to family farms and business assets where a family successor is appointed.
Under the terms of the scheme applicants contribute 7.5 % of the value of these assets for a maximum of 3 years.
Under the Fair Deal a family successor “must continue to run the farm or business for at least a period of six years and have at least consistently applied to running the family asset for at least three of the last five years”.
According to the Health Service Executive (HSE) as part of the scheme they must agree to the executive placing “a charge in favour of the HSE on their farm”.
“A charge is a type of mortgage that will be placed on the farm. The charge will be removed when the family successor’s commitment period of six years has ended and all other conditions of the three year cap have been followed.
“Money may need to be repaid if the family successor does not comply with the conditions of the scheme,” the HSE stated.
Latest figures provided by Minister Butler to the Dáil yesterday (Tuesday, May 14) showed that since the introduction of the amendment to the Fair Deal, which came into force in October 2022, there there have been “301 applications, with 96 being successful”.
She is proposing making further amendments to the Fair Deal scheme because the HSE is aware that there are some farmers do not have a person who meets the eligibility criteria for a family successor set out in the current legislation.
Minister Butler told the Dáil yesterday: “These proposed amendments to the Fair Deal scheme will ensure that the safeguards for family farms and businesses apply to the extended family, including cousins, great-nieces, great-nephews and great-grandchildren, further protecting the viability and sustainability of these businesses into the future.
“This is a really important change for individuals who do not have immediate relatives”.