Dáil Éireann Debate, Thursday - 9 June 2011
51 Deputy Eric Byrne asked the Minister for Finance if exemptions will be put in place for persons who were contracted workers for semi-State companies with regard to their late entry into a pension scheme. [14797/11]
View answer58 Deputy Robert Dowds asked the Minister for Finance if the 0.6% levy on the pensions industry will be applied to pension funds in distress, particularly those in debt; and if he will make a statement on the matter. [14862/11]
View answer59 Deputy Robert Dowds asked the Minister for Finance if he intends to ensure that the 0.6% levy on the pensions industry will be taken from its charges or profits rather than from pensioners themselves. [14863/11]
View answerI propose to take Questions Nos. 51, 58 and 59 together.
As regards exemptions from the levy, the intention is that the levy will not apply to the assets of occupational pension funds in respect of the provision of retirement benefits to current active members whose employment in relation to the scheme is and always was exercised outside the State, or, in the case of members whose employment in relation to the scheme has ceased, either through leaving the employment or retirement, where the employment was always exercised outside the State. The aim is to exclude members of pension funds approved by the Revenue Commissioners who have no connection with Ireland as such. Also, the levy will not apply to occupational pension funds where the trustees pass a resolution to wind-up the fund and where the trade or undertaking in relation with which the scheme was established is insolvent. No other exemptions are proposed.
On the question of fees or charges, I take the view that there is scope for the pension fund industry to absorb the impact of the temporary pension scheme levy by way of a reduction in the fees and charges made on those schemes. I have made that clear in this House and I have conveyed that view to representatives of the pension fund industry at face-to-face meetings. I have also written to the main representative organizations of the industry in this matter and I am awaiting a response from them.
