Michael Ring
Question:294 Mr. Ring asked the Minister for Social and Family Affairs when a person (details supplied) in County Galway will be approved and awarded the old age non-contributory pension. [38759/05]
View answerTuesday, 13 December 2005
Questions (259, 260)
Written answers
In August 2005, the person concerned applied for an old age contributory pension. One of the conditions for receipt of this pension is that the claimant must have started paying insurance contributions in Ireland before reaching 56 years. Following an examination of his entitlement, his application was disallowed as he did not begin paying Irish contributions until he was aged 61 years. His entitlement to an EU pro rata contributory pension based upon a mixture of his Irish and UK contributions is currently being examined and he will be notified of the outcome in due course.
My Department is also investigating the circumstances of the person concerned to see if he will qualify for an old age non-contributory pension. The file on his case is currently with a social welfare inspector who will interview him shortly. As soon as the social welfare inspector's report is available, a deciding officer will determine the claimant's entitlement and will notify him of the outcome without delay.
Brian O'Shea
Question:295 Mr. O’Shea asked the Minister for Social and Family Affairs his proposals to bring the social insurance contributions conditions for retirement pension in line with the social insurance contribution conditions for old age contributory pension; and if he will make a statement on the matter. [38782/05]
View answerThe old age contributory and retirement pensions are payable at ages 66 and 65 respectively. The contribution conditions for the schemes also differ in that a minimum yearly average of 24 contributions is required to qualify for a retirement pension whereas an average of ten contributions will qualify a person for an old age contributory pension. There are concerns across the EU about the sustainability of social protection systems in the future. As the population ages, the ratio of workers to dependants will change dramatically. In our case, the old age dependency ratio will change from 16% to 55% by 2056. A solution to the funding difficulties facing social security and pensions systems is to increase the numbers at work. This means increased employment amongst all sectors of society including older people. Aligning the contribution conditions for the two contributory pension schemes would, in effect, lower the social welfare pension age for many people. I do not consider that this would be an appropriate course of action in the context of the demographic changes including increased longevity and, accordingly, I have no plans to change the schemes as suggested.