Seán Fleming
Ceist:398. Deputy Sean Fleming asked the Minister for Public Expenditure and Reform the cost of changes to the pension levy in 2016; and if he will make a statement on the matter. [22413/15]
Amharc ar fhreagraTuesday, 9 June 2015
Ceisteanna (398, 399)
Seán Fleming
Ceist:399. Deputy Sean Fleming asked the Minister for Public Expenditure and Reform the expected yield from the Pension Levy in 2015 and the expected yield in 2016 following the Public Service Stability Agreement [22414/15]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 398 and 399 together.
It is assumed that the Deputy's question is referring to the public service Pension-Related Deduction (PRD). PRD is estimated to yield in the region of €890 million in 2015. This estimate does not include non-Exchequer PRD receipts, such as those arising for example in the local government sector.
The recently announced proposals formulated by the Labour Relations Commission in relation to the Lansdowne Road Agreement provide inter alia for a two-step increase in the PRD exemption threshold from €15,000 per annum to €28,750 in 2016 which will give an annualised reduction in PRD liability to each public servant of up to €1,000 per annum.
The estimated cost of this measure to the Exchequer in 2016 is €205 million. Accordingly, the 2016 estimated PRD yield for the Exchequer would be €685 million.