Dáil Éireann Debate, Tuesday - 10 February 2009
268 Deputy Róisín Shortall asked the Minister for Finance the savings expected in the projected final pensions bill to be funded by the national pensions reserve fund as a result of the decision to increase the levy that public servants must make to their pension; and if this saving allows for an adjustment to be made to the annual contribution to the fund by the State. [5059/09]
View answerThe pension deduction element of the payroll saving will be €1.35 billion in a full-year and €1.12 billion in 2009. These savings will be applied to the benefit of the Exchequer and are not earmarked for the National Pension Reserve Fund. It will not affect the gross cost of existing or future public service pension payments.
The introduction of the pension deduction does not give rise to any change in the annual contribution by the State to the National Pensions Reserve Fund which was established for the purpose of meeting as much as possible of the costs to the Exchequer of social welfare and public service pensions to be paid from the year 2025 to the year 2055 or such subsequent years as may be specified by Ministerial order.
