Wednesday, 27 February 2013

Questions (26)

Pearse Doherty

Question:

26. Deputy Pearse Doherty asked the Minister for Public Expenditure and Reform the saving to the Exchequer if he imposed public service pension reduction bands (details supplied) to all public sector pensions, including local authorities and State agencies. [10430/13]

View answer

Written answers (Question to Public)

As the Deputy may be aware, only around 1% of public service pensioners are in receipt of a pension in excess of €60,000 and only a few hundred have a pension in excess of €100,000. The average public service pension is estimated at around €25,000 and many of these pensioners do not have any entitlement to the social welfare pension. I would add that there would be legal issues arising from a proposal to introduce a 99% reduction for pensions above a certain level. The changes in rates and bands proposed by the Deputy would save approximately €10 million gross in a full year.

Threshold

Band

First 12,000

0%

Between 12,000 and 24,000

6%

Between 24,001 and 60,000

9%

Between 60,001 and 80,000

20%

Between 80,001 and 100,000

50%

Above 100,000

99%