Dáil Éireann Debate, Tuesday - 25 February 2014
393. Deputy Thomas P. Broughan asked the Minister for Social Protection the current deficit in the Social Insurance Fund; and if recent legislative changes in respect of increasing some social insurance contributions have had an impact in reducing the deficit in the fund. [9221/14]
View answerThe Revised Estimates Volume for 2014 provides for an estimated deficit of the Social Insurance Fund (SIF) of just over €685 million this year. This is down from close to €1,315 million in 2013.
The reduction in the estimated deficit is due to a wide range of factors affecting both the income and expenditure of the SIF in 2014. Income is projected to increase as a consequence of the full year impact of Budget 2013 measures and increased levels of employment and earnings in 2014. In addition, the 2011 Jobs Initiative measure reducing, for a defined period, the Employer Lower rate of PRSI, expired as planned at the beginning of this year.
Overall SIF expenditure in 2014 will also be lower as a result of measures announced in Budget 2014 and in previous years. These decreases are partially offset by demographic pressures arising from increased numbers of pensioners. These demographic pressures will continue to pose a significant SIF financing challenge in the years ahead.
