Dáil Éireann Debate, Tuesday - 17 May 2011
236 Deputy Terence Flanagan asked the Minister for Social Protection her views on the charges currently levied by fund managers on private pension schemes; her plans to change the current system; and if she will make a statement on the matter. [11637/11]
View answerThe overall objective of the pension system is to provide an adequate basic standard of living through direct state supports and to encourage people to make supplementary pension provision for themselves so that they can have an adequate income in retirement. A system which delivers on this objective must be sustainable and affordable. The charges associated with the provision of private pensions are an important element in achieving these objectives in an effective and efficient manner.
The National Pensions Framework which was launched in March 2010 recognises the difficulty that people can have in understanding the various charges that can arise and how these charges are applied. In this regard, it was proposed in the framework to introduce regulations to increase the transparency of pension charges.
Following the publication of the framework, the Government established a number of groups to analyse all options in relation to the National Pensions Framework. These groups, comprising officials from a number of Government departments and agencies are charged with overseeing all elements of the implementation process. One of these groups is charged, among other things, with examining the options to bring greater simplification and transparency to the issue of pension charges.
