Dáil Éireann díospóireacht -
Tuesday, 10 Mar 1998

Vol. 488 No. 4

Written Answers - Pension Provisions.

Bernard J. Durkan

Ceist:

253 Mr. Durkan asked the Minister for Social, Community and Family Affairs whether he will extend pro-rata pensions to persons with less than an annual average of ten contributions; and if he will make a statement on the matter. [6551/98]

Minister for Social, Community and Family Affairs (Mr. D. Ahern)

From 21 November last new pro-rata pensions were introduced so that people who pay social insurance for a reasonable period of time will qualify for an old age contributory pension. A yearly average of between 15 and 19 contributions gives a pension of 75 per cent of the maximum rate, while an average of between ten and 14 gives a pension of 50 per cent of the maximum rate. To qualify a person also needs to have a minimum of 260 paid contributions. This measure will be of benefit to many self-employed contributors and to those, mainly women, who took time out of the paid workforce for family reasons.

While I have no specific plans for the further extention ofpro-rata pensions, I will continue to ensure the broadest possible contributory pension cover to as many categories as possible. As the Deputy will be aware, I have asked my Department to examine the general issue relating to the self-employed group aged over 56 in April 1988 who do not currently qualify for an old age contributory pension. As any proposals in this regard, or indeed in extending the new pro-rata pensions to persons with a yearly average of less than ten contributions, would have cost implications they fall to be considered in a budgetary context.