Gerry Adams
Question:599. Deputy Gerry Adams asked the Minister for Public Expenditure and Reform to reverse cuts to teachers' pensions; and if he will make a statement on the matter. [9525/16]
View answerTuesday, 17 May 2016
Questions (599)
Written answers
Measures to reverse reductions applied to all public service pensions including those of retired teachers were adopted by the Government in June 2015. The amelioration of the Public Service Pension Reduction (PSPR) currently applicable to all public service pensions exceeding the relevant thresholds is being implemented under the Financial Emergency Measures in the Public Interest Act 2015, with changes occurring in three stages, on 1 January 2016, 1 January 2017 and 1 January 2018.
On 1 January 2016, increases in the annual pension thresholds before PSPR applies were activated. These exemption threshold increases remove PSPR entirely from a significant number of pensions with relatively lower values, while those pensions which continue to be impacted by PSPR receive a boost of €400 per year.
On 1 January 2017, additional PSPR amelioration, acting principally via further exemption threshold increases, will fully remove PSPR from another significant tranche of public service pensioners, while at the same time boosting those pensions which remain affected by PSPR by €500 per year.
On 1 January 2018, the third stage of PSPR amelioration will ensure that all PSPR-impacted pensions with values up to €34,132 will be fully restored, meaning that PSPR will no longer affect such pensions, while those pensions which continue to be impacted by PSPR will get a boost of, in most cases, €780 per year.
These PSPR changes across the public service will cost an estimated €90 million on an annual basis and, when fully implemented, will ensure that only the top 20% higher value public service pensions will continue to be impacted by the PSPR.