The Minister confirmed that changes announced by the former Finance Minister Nigel Dodds in May, regarding the treatment of tariff income, would take effect from 2 November 2009. The change will ensure that pensioners with savings get more help under the low income rate relief scheme, with £10,000 worth of capital (which includes savings) to be ignored in the calculation of both housing benefit and rate relief for pensioners and will affect the amount of support provided and not entitlement. This is an increase from the current £6,000. The change will be in addition to the £50,000 increased limit, which was introduced last year and allows local pensioners to hold up to £50,000 of saving and other capital and still receive help with their rates.

Minister Wilson said: “I believe this latest change will be welcomed by both pensioners and groups representing the elderly. It will make a difference to those who have modest levels of retirement savings and who would otherwise have their relief entitlement reduced.

“More generally, pensioners should ensure that they receive the help with rates to which they are entitled. Following the tariff income change I would encourage pensioners that may not have previously been eligible, or if there has been a change in their circumstances, to reapply.

The Minister also referred to the introduction of new data sharing powers, through the Rates (Amendment) Bill, which will be operational before the end of the year.

He said: “These will enable better targeting of likely recipients of claims relating to rate relief, the disabled person’s allowance and the lone pensioner allowance, and forms part of a wider package of measures to address the take up of reliefs”.

In terms of other measures to help pensioners the Minister also confirmed that he intended to introduce a rates deferment scheme for owner occupiers from April 2010.

The Minister said: “The Assembly has now given the go ahead to powers that will allow a rates deferment scheme for owner occupier pensioners to be introduced from next April, subject to further legislation. I believe that this scheme will provide pensioners with a further payment option, particularly during the economic downturn. However, I also want to ensure that it is both effective and attracts sufficient and manageable numbers.

The Minister stressed that: “Having too few participants may mean that the scheme is not worthwhile, yet having too many may prove unaffordable and unsustainable.

“In a couple of years’ time, I want to conduct a thorough evaluation of the scheme’s effectiveness, which will examine how many people it is helping and whether it represents value for money. This is part and parcel of good policy making. The evaluation will be undertaken with an open mind and I will of course take on board the views of the Committee and key stakeholders as part of the process.”