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State Pensions Reform

Dáil Éireann Debate, Tuesday - 9 July 2013

Tuesday, 9 July 2013

Questions (69)

Sandra McLellan

Question:

69. Deputy Sandra McLellan asked the Minister for Social Protection when she plans to double the rate of the State pension which she has recently been quoted as proposing. [33258/13]

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Written answers

The sustainability of State pension into the future is vital given the changing demographics, the increased numbers of those over 65 and increased longevity and reduced dependency ratio. Sustainable public finances are a prerequisite for future economic stability and growth, as well as being a prerequisite for maintaining and developing our social protection system. The Government’s priority is to secure economic recovery, promote growth and employment. To this end, the State must pursue a determined deficit reduction strategy. Accordingly, there will be an on-going requirement to curtail expenditure in 2013 and in later years.

There are, therefore, considerable challenges ahead including the need to protect, as far as possible, the key income supports and services operated by my Department. These services and supports impact in some way on the lives of almost every single person in the State. The scope and scale of this expenditure plays a key role in the wider economy and helps to partially offset the effect of the downturn.

In relation to the forthcoming Budget, the Deputy will be aware that the Expenditure Report 2013 published by the Department of Public Expenditure and Reform last December provides for additional new expenditure reduction measures of €440 million to be achieved in 2014 in the Department of Social Protection budget. The Government have not made any decisions in relation to measures to be introduced in budget 2014. The Government will finalise its consideration of the Budget in the coming months having regard to all of its commitments, including the commitment in the Programme for Government to maintain welfare rates. The outcome of this process will be announced on Budget Day. Any plans to change State pension will be a matter to be decided in a budgetary context and announced on Budget day.

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