Legislation to reform the Fair Deal scheme has this week (Thursday, July 22) been signed into law by President Michael D. Higgins.
Minister of State for mental health and older people Mary Butler brought the bill through the Oireachtas houses and it successfully passed all stages of the Dáil and the Seanad last week with cross-party support.
The Nursing Homes Support Scheme (Amendment) Bill 2021 amends the act “to enhance protections for family farms and businesses”.
This change to the scheme will mean that after a period of three years, the value of family-owned farms and businesses will no longer be taken into account when calculating the cost of a person’s nursing home care.
This will happen where a family successor commits to working the farm or business.
Fair Deal ‘fair for all’
Speaking this week, Minister Butler said that this change is “essential to the viability and sustainability of family farms and businesses”.
“Ultimately, it seeks to alleviate any unnecessary financial pressures placed on these families by updating the current law,” the minister added.
“It will ensure that Fair Deal is fair for all, enhancing accessibility and affordability of the scheme for more farm and business-owning families.”
The new act will also extend the existing three-year cap on contributions to the cost of care to the proceeds of sale of a person’s principal residence. It is intended that this change will remove any disincentive for people who want to sell their vacant home while in Fair Deal.
The minister, who was appointed to her role a year ago – July 2020 – said that updating this scheme “as quickly as possible” was “an absolute priority” for her.
She added that the signing into law marks a “significant milestone”.
The changes will come into effect 90 days from yesterday’s enactment.