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Pensions Reform

Dáil Éireann Debate, Tuesday - 1 December 2020

Tuesday, 1 December 2020

Questions (465)

Seán Sherlock

Question:

465. Deputy Sean Sherlock asked the Minister for Social Protection her views on the suitability of the rates and eligibility criteria attached to the widow's, widower's or surviving civil partner's (contributory) pension; the date that the latest review of same was carried out; and if she will make a statement on the matter. [39612/20]

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Written answers

The maximum personal weekly rates for the Widow's, Widower's or Surviving Civil Partner's Contributory Pension are €248.30 for those aged 66 and over and €208.50 for those under 66 years of age. It is a weekly payment to the husband, wife or civil partner of a deceased person. Increases for qualified children are also payable at a rate of €36 (for children under the age of 12) or €40 (for children over the age of 12). The Living Alone allowance the Island allowance and the over 80 increase are also payable depending on the person's circumstances. As with all payments made by my Department, the rates are kept under constant review and are considered in the context of the annual Budget.

Unlike other social insurance schemes, entitlement is based on either the claimant’s or the deceased partner’s social insurance contributions. Virtually all social insurance contributions count towards this pension, including contributions paid by the self-employed and by pre-1995 public servants. To qualify, either the claimant or their deceased partner must have a total of 260 contributions (five years contributions). This is half the number needed to qualify for the State Pension (Contributory).

The Government approved the establishment of the Commission on Pensions earlier this month, in fulfilment of a Programme for Government commitment. The Commission will examine sustainability and eligibility issues in respect of State pension arrangements and will outline options for the Government to address issues such as qualifying age, contribution rates, total contributions and eligibility requirements. In line with the Programme for Government, the Commission will report to me on its work, findings, options and recommendations by 30th June 2021. The Government intends to take action having regard to the recommendations of the Commission within six months.

The Government is acutely conscious of the need to consider the sustainability of the State’s finances. However, this is not the only consideration when thinking of the State pension system. It is important to ensure that the State Pension system continues to provide adequate support to people in retirement over the long term. The system, including the Widow's, Widower's or Surviving Civil Partner's Contributory Pension, is extremely effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case.

I hope this clarifies the matter for the Deputy.

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