Dáil Éireann Debate, Wednesday - 1 October 2014
61. Deputy Stephen S. Donnelly asked the Tánaiste and Minister for Social Protection regarding the recent Social Welfare and Pensions Act 2014, if fund values will be updated for deferred members of insolvent schemes; if this will apply retrospectively, that is, if deferred members who have been given a calculation of fund values will have those values increased; and if she will make a statement on the matter. [37407/14]
View answerA member of a defined benefit pension scheme has an option to either transfer their pension rights to another pension scheme or to leave their pension rights in the pension scheme attached to their former employment. If a scheme member elects to leave the pension rights in the scheme, these pension rights are preserved and revalued on an annual basis by the annual rate of CPI or 4% whichever is the lower. The Pensions rights of a scheme member are preserved from the date of the termination of employment. The issue of retrospection does not therefore arise. The Social Welfare and Pensions Act 2014 did not amend these provisions in the Pensions Act.
The revaluation provisions in the Pensions Act apply to all schemes and can only be superseded by another Act of the Oireachtas.
