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Gnáthamharc

Tuesday, 29 May 2018

Written Answers Nos. 201-219

Insurance Industry Regulation

Ceisteanna (201)

Eugene Murphy

Ceist:

201. Deputy Eugene Murphy asked the Minister for Finance if the case of a person (details supplied) who has to pay 27% of the amount of their car insurance premium on top of the quotation due to the fact the person wishes to pay by direct debit will be investigated; and if he will make a statement on the matter. [23608/18]

Amharc ar fhreagra

Freagraí scríofa

At the outset, it is important to say that the circumstances in which the additional charge referred to in this question may arise are not clear from the question. The European Union (Payment Services) Regulations 2018, which transposed the revised Payment Services Directive, prohibit a payee from requesting an additional charge from a consumer for using a SEPA direct debit. However, it is possible to apply other charges; for example an administrative fee, a service fee, or a fee where payment is made by instalments.

The Deputy should also note that as Minister for Finance, I am responsible for the development of the legal framework governing financial regulation.  Neither I nor the Central Bank of Ireland can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an assessment of the risks they are willing to accept.  This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval of the pricing or terms and conditions of insurance products.  Consequently, neither I nor the Bank are in a position to direct insurance companies as to the pricing level or terms or conditions that they should apply in individual cases.

However, the Central Bank is responsible for ensuring compliance with the Consumer Protection Code 2012 (the Code).  In relation to charges, the Code requires that a regulated entity in all its dealings with customers and within the context of its authorisation, makes full disclosure of all relevant material information, including all charges, in a way that seeks to inform the customer (Provision 2.6). In addition, prior to providing a product or service to a consumer, a regulated entity must provide the consumer, on paper or on another durable medium, with a breakdown of all charges, including third party charges, which will be passed on to the consumer (Provision 4.54 (a)).

Where a consumer is not satisfied with the level of charges being applied under the terms and conditions of the contract with an individual regulated entity,  he/she should consider shopping around for alternative cover.

If someone has a complaint about a regulated financial institution, they should first discuss it with the financial institution concerned. Under the Central Bank’s Consumer Protection Code, all regulated financial services firms must have a complaints handling procedure in place.

Where a person has exhausted the complaints handling process in the institution and is not satisfied with the response, he/she has the right to refer the complaint to the Financial Services and Pensions Ombudsman (FSPO), which is a statutory independent body.

More information on this complaints process is available on the Central Bank’s website at: https://www.centralbank.ie/contact-us/make-a-complaint.

Fiscal Policy

Ceisteanna (202)

Micheál Martin

Ceist:

202. Deputy Micheál Martin asked the Minister for Finance if he will report on the programme for partnership Government commitment on the rainy day fund; and if he will make a statement on the matter. [23440/18]

Amharc ar fhreagra

Freagraí scríofa

I am pleased to say that I secured Government agreement to the drafting of a Rainy Day Fund Bill last week, in parallel with committee scrutiny of my policy proposals. This legislation will provide the essential legislative underpinning for the Rainy Day Fund and allow us to fulfill the commitment in the Programme for a Partnership Government.

We have made enormous progress in recent years in stabilising the public finances and putting them on a sustainable footing. Establishing the Fund is a prudent and forward-looking measure, and I am confident that it will help us increase the resilience of the Irish economy to external economic shocks.

Tax Reliefs Abolition

Ceisteanna (203)

John McGuinness

Ceist:

203. Deputy John McGuinness asked the Minister for Finance his views on reinstating tax relief on union subscriptions. [23631/18]

Amharc ar fhreagra

Freagraí scríofa

A review of the appropriate treatment for tax purposes of trade union subscriptions and professional body fees was carried out by my Department in 2016 and included in the 2016 report on tax expenditures published on budget day 2016. The review may be found at the following link:

( http://www.budget.gov.ie/Budgets/2017/Documents/Tax_Expenditures_Report%202016_final.pdf).

The review concluded that:

"...analysis of the scheme using the principles laid down by the Department’s Tax Expenditure Guidelines shows that it fails to reach the evaluation threshold to warrant introduction in this manner.

The reinstatement of this tax relief would have no justifiable policy rationale and does not express a defined policy objective. Given that individuals join trade unions largely for the well-known benefits of membership, and the potential value of the relief to an individual would equate to just over €1 per week, this scheme would have little to no incentive effect on the numbers choosing to join. There is no specific market failure that needs to be addressed by such a scheme, and it would consist largely of deadweight."

Given the conclusions of the review, I have no plans to reintroduce such a relief.

Insurance Data

Ceisteanna (204)

Michael McGrath

Ceist:

204. Deputy Michael McGrath asked the Minister for Finance the number of insurance companies operating here with a licence from the Central Bank to provide insurance policies that are not members of an organisation (details supplied); and if he will make a statement on the matter. [23670/18]

Amharc ar fhreagra

Freagraí scríofa

The Deputy should note that as Minister for Finance, I am responsible for the development of the legal framework governing financial regulation.  Consequently, my Department has no role in collecting the information being sought by the Deputy.

However, in order to provide as relevant a response as possible to the PQ, my officials contacted the Central Bank of Ireland to establish the number of insurers who are authorised to operate in the Irish market. They also contacted Insurance Ireland to find out the number of insurers that are members of their organisation

As the Deputy is aware the Central Bank of Ireland is responsible for the prudential supervision of insurance and reinsurance companies authorised in Ireland.  It is also responsible for conduct of business of firms operating on a freedom of services basis.  In this regard, it publishes Registers of firms authorised to provide insurance and reinsurance in Ireland.  At present, 1,233 firms are authorised to provide Life and Non-Life insurance in Ireland, broken down as follows:

Number

Name

58

Solvency II Undertakings authorised under the European Union (Insurance and Reinsurance) Regulations 2015 (S.I. No. 485 of 2015), to carry on Life Insurance business

171

List of Undertakings which have notified of their intention or obtained an administrative authorisation to carry on Life Insurance business into Ireland, on a Freedom of Services basis

128

Solvency II Undertakings authorised under the European Union (Insurance and Reinsurance) Regulations 2015 (S.I. No. 485 of 2015), to carry on Non-Life Insurance business.

813

List of Undertakings which have notified of their intention or obtained an administrative authorisation to carry on Non-Life Insurance business into Ireland, on a Freedom of Services basis.

63

Undertakings are authorised to carry on reinsurance business.

It is important to note that while 1,223 companies are authorised to provide life and non-life insurance, many may not be currently active in the Irish market.

Insurance Ireland is an insurance representative body. In relation to motor insurance, Insurance Ireland members represent 90% of the Irish motor market. Insurance Ireland confirmed that they have 130 members in their directory as of 25 May 2018. The following is a sectoral breakdown of members and associate members:

Number

Name

15

Life Members

28

International Members

18

Non-Life Members

3

Health Members

29

Associate Members

37

Reinsurance and Captives

 In addition, I understand Insurance Ireland have a number of InsurTech Members and Strategic Alliance Partners. Further information on membership is available in Insurance Ireland 2017 Annual Report, available at http://www.insuranceireland.eu/media/Annual-report-2017-FINAL%20AW%20digital.pdf.

Property Tax Data

Ceisteanna (205)

Pearse Doherty

Ceist:

205. Deputy Pearse Doherty asked the Minister for Finance the estimated cost to the Exchequer if the local property tax was abolished, ignoring all adjustments made at county level, that is, if all counties charged an unadjusted rate; and if he will make a statement on the matter. [23696/18]

Amharc ar fhreagra

Freagraí scríofa

I am informed by Revenue that Local Property Tax (LPT) collection in 2018 is projected to be approximately €470m. This includes variations from the central rate by Local Authorities under the Local Adjustment Factor (LAF). LAF decisions for 2018 are included in Revenue’s LPT Statistics for 2018 available at: https://www.revenue.ie/en/corporate/information-about-revenue/statistics/local-property-tax/quarterly-reports-2018/local-property-tax-april-2018.aspx.

Adjusting this forecast to assume that all Local Authorities set their LAF to match the central rate, it is tentatively estimated the yield from LPT would be €500m.  This would represent the notional loss to the Exchequer under the scenario outlined by the Deputy.

Motor Insurance Costs

Ceisteanna (206)

John Curran

Ceist:

206. Deputy John Curran asked the Minister for Finance if he will report on the progress and steps taken by him and the motor insurance working group to ensure drivers will see significant motor insurance premium reductions; and if he will make a statement on the matter. [23707/18]

Amharc ar fhreagra

Freagraí scríofa

The Deputy should note that as Minister for Finance, I am responsible for the development of the legal framework governing financial regulation. Neither I nor the Central Bank can interfere in the pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on the risks they are willing to accept.

However, it is acknowledged that pricing in the motor insurance sector has been subject to a lot of volatility in recent years and, indeed, the problem of rising motor insurance premiums was the main impetus for the establishment of the Cost of Insurance Working Group. Its Report on the Cost of Motor Insurance was published in January 2017.  The Report makes 33 recommendations with 71 associated actions to be carried out in agreed timeframes, set out within an Action Plan. 

Work is ongoing on the implementation of the recommendations by the relevant Government Departments and Agencies and there is a commitment within the Report that the Working Group will prepare quarterly updates on its progress.  The fifth such update was published on 11 May and shows that of the 50 separate deadlines set to date within the Action Plan, 40 have been met.  Substantial work has also been undertaken in respect of the nine action points categorised as “ongoing”. 

It should be noted that the most recent CSO data (for April 2018) indicates that private motor insurance premiums have decreased by 19% since peaking in July 2016.  While the CSO statistics indicate a greater degree of stability on an overall basis, these figures represent a broad average and therefore I appreciate many people may still be seeing increases.  However, I am hopeful that the improved stability in pricing will be maintained and that premiums should continue to fall from the very high levels of mid-2016.

Finally, I would recommend drivers who are seeking or renewing insurance to consult the Competition and Consumer Protection Commission website, which has an informative section regarding the purchase of car insurance generally.  One of the key tips listed to help cut costs is to “shop around” and “always get quotes from several insurance providers when you need to get or renew insurance”.

Motor Insurance Regulation

Ceisteanna (207)

John Curran

Ceist:

207. Deputy John Curran asked the Minister for Finance the steps he is taking to ensure insurance companies inform consumers of the specific reason or reasons their premium has increased; and if he will make a statement on the matter. [23708/18]

Amharc ar fhreagra

Freagraí scríofa

As the Deputy may be aware, in fulfilment of Recommendation 1 from the Report on the Cost of Motor Insurance, a protocol was agreed between Insurance Ireland and my Department which provides a list of reasons for large increases in motor insurance premiums.  The content of the agreed document is available on the websites and the social media channels of the major motor insurance providers, and will also be provided to policyholders on renewal. 

My Department is satisfied that the information being provided to policyholders fulfils the essence of the recommendation without a need for legislation to underpin it as had been originally stipulated in Action Point 2, which was formulated at a stage when it was envisaged that the document provided to policyholders would be bespoke in nature.  It does not consider that it is necessary at this juncture to pursue legislation in respect of the non-bespoke protocol which has been agreed through non-legislative means, but will continue to monitor how the protocol is functioning in practice.

In an ideal world, a strong case can be made that policyholders should be furnished with the specific reason or reasons for an increase in their insurance premium.  However, the main reason why such a bespoke document cannot be provided is because my Department has been advised that the complexity of the interaction between the customer-facing systems and the underwriting systems in all modern insurance companies would make it very difficult to delineate specific reasons for an individual premium increase.  If insurers were to try and link these systems in order to address this issue, it would require very significant IT infrastructural changes at considerable cost, which would almost certainly in turn lead to higher premiums.  In addition, the Cost of Insurance Working Group believes that such an onerous requirement could result in the unintended consequence of discouraging new entrants to the market.  Nevertheless, as part of the protocol consumers will be provided with contact details of their insurance provider in order to enable them to receive more “tailored” information if they do not believe any of the listed reasons apply to their situation.

I am keen to improve the level of information provided to policyholders by seeking to have the previous year’s premium included in renewal documentation.  My Department has discussed this matter with Insurance Ireland.  It also requested that this information be included in renewal documentation by means of a submission to a consultation which was undertaken by the Central Bank of Ireland – Consultation Paper 114: “Amendments to the Non-Life Insurance (Provision of Information) (Renewal of Policy of Insurance) Regulations 2007 (S.I. No. 74 of 2007)” – which is pursuant to Recommendations 2 and 3 from the Motor Report, and continues to engage with the Central Bank accordingly.

This is an issue which I will continue to keep under review.

Motor Insurance Claims

Ceisteanna (208)

John Curran

Ceist:

208. Deputy John Curran asked the Minister for Finance if he will report on the progress made to date in the establishment of a national claims information database; and if he will make a statement on the matter. [23709/18]

Amharc ar fhreagra

Freagraí scríofa

The development of the National Claims Information Database is a complex project as insurers very often record data in different ways and do not necessarily use the same definitions. 

For this reason, my officials established a data sub-group in 2017, which has been meeting since then to examine the issues regarding its development and to prepare the General Scheme of the legislation required.  At the end of 2017, it completed its work on the development of this Scheme and on 19 December 2017, the Government approved the General Scheme of the Central Bank (National Claims Information Database) Bill.

The Bill is included in the Government Legislative Programme on the list of Priority Legislation for publication this session.  The Joint Oireachtas Committee on Finance, Public Expenditure and Reform and the Taoiseach indicated to me in February that it would not be conducting pre-legislative scrutiny on the Bill. 

The Office of the Parliamentary Counsel assigned a drafter to the Bill on 26 January 2018 and officials in the Department of Finance are currently working with the drafter to finalise a draft of the Bill as soon as possible.  I understand that good progress has been made and I am hopeful that a Bill will be published before the end of this legislative Session. 

I also launched a public consultation on the General Scheme which concluded in March and the responses received were published on my Departments website: http://www.finance.gov.ie/updates/responses-to-central-bank-national-claims-information-database-bill-2017-consultation/. A number of responses were received from industry and business groups.  My officials have been reviewing the content of these responses as they relate to the drafting of the Bill.  As part of the process of finalising the Bill, the Department is assessing the responses with regard to the validity of the concerns expressed against the overall policy aim of the legislation.  On the basis of its review of the responses to date, the Department does not anticipate that substantive amendments will be required at this stage and therefore it is not anticipated to give rise to any delay in the finalisation and publication of the Bill.  A consultation will also have to take place with the European Central Bank on the Bill once it is published. 

As the Deputy will appreciate, it will take a certain amount of time following publication of the Bill, for it to pass through the Houses of the Oireachtas. However, I am hopeful that with the cooperation of all parties in the Houses, the Bill can be considered and approved expeditiously.

To ensure that the Database can be operationalised quickly following the enactment of the legislation, the Central Bank has continued to work in parallel on the technical specification for the Database.

Flood Prevention Measures

Ceisteanna (209)

Éamon Ó Cuív

Ceist:

209. Deputy Éamon Ó Cuív asked the Minister for Public Expenditure and Reform if the Office of Public Works plans to introduce a national scheme to protect individual houses from flooding, particularly those that almost flooded in the flooding events of 2015-16; and if he will make a statement on the matter. [23148/18]

Amharc ar fhreagra

Freagraí scríofa

Individual Property Protection (IPP) can be effective in mitigating against the adverse consequences for properties at risk of flooding. It can reduce the damage caused to contents, furniture and fittings in a house or business, but it is not applicable in all situations. For example, it may not be suitable in areas of deep or prolonged flooding, or for certain types of properties.

The Interdepartmental Flood Policy Co-ordination Group is considering the potential costs and benefits associated with the introduction of any potential individual property protection (IPP) scheme. The Group is being informed by two different pilot projects in Thomastown and Graiguenamanagh in County Kilkenny and in Crossmolina in County Mayo, which were announced by Government on 26 January, 2016.

These pilots may also inform the potential administrative arrangements for any possible future IPP scheme.

The Co-ordination Group’s work, when completed, will be submitted to Government for consideration in the context of the proposals for the introduction by Government of any feasible assistance to support individual property protection measures.

Garda Station Closures

Ceisteanna (210)

Peter Burke

Ceist:

210. Deputy Peter Burke asked the Minister for Public Expenditure and Reform the discussions OPW officials have had with An Garda Síochána regarding the reopening of Garda stations; the projected cost involved in reopening each station based on the specifications supplied by An Garda Síochána; and if he will make a statement on the matter. [23192/18]

Amharc ar fhreagra

Freagraí scríofa

The Office of Public Works has been requested by An Garda Siochana to progress the reopening of six former Garda Stations. A brief of requirements for each Station was received by the end of February, 2018 and full technical assessments of each Station were completed by end April, 2018. The deliberative process between An Garda Síochána and OPW is continuing. Until detailed and definitive design is agreed in each case, fully costed estimates cannot be provided.

Caiteachas Ranna

Ceisteanna (211)

Pearse Doherty

Ceist:

211. D'fhiafraigh Deputy Pearse Doherty den Aire Caiteachais Phoiblí agus Athchóirithe maidir le Ceist Dála Uimhir 100 i gcomhair freagra scríofa ar 9 Bealtaine 2018, cad chuige nach raibh an méid iomlán den mhaoiniú atá curtha ar fáil don Stát gach bliain ón gCrannchur Náisiúnta nochta sa fhreagra a bhí tugtha; an féidir leis an figiúr sin a thabhairt anois; sna naisc éagsúla a bhí curtha ar fáil sa fhreagra, ar chuir an Crannchur Náisiúnta an t-airgead iomlán ar fáil atá luaite in aice leis na fo-cheannteidil agus páirtchistiú tugtha orthu [23211/18]

Amharc ar fhreagra

Freagraí scríofa

Freagraíodh Ceist Dála 100 ar bhonn don tuiscint is fearr atá ag m’oifigigh maidir leis an gceist a tugadh.

Maidir le díolacháin do Cheadúnas don Chrannchur Naisiúnta i 2014 fuair an Príomh Crannchur na hÉireann (Premier Lotteries Ireland) réamhíocaíocht do €405m. Mar atá luaite insan freagra ar an 9 Bealtaine, glactar leis an bhfáltais isteach san Státchiste chun maoiniú a chur ar fáil do thionscadail caiteachtais gan gá le rátaí cánach a ardú. Aimsíodh na fo-cheannteidil atá ábhartha sna Meastacháin Leasaithe le Sheirbhísí Poiblí 2014 mar ‘pháirtchistiú ó idirbheartanna an Crannchur Náisúinta’: https://www.per.gov.ie/en/publication-of-revised-estimates-for-public-service-2014/.

Maidir leis an maoiniú atá ag dul ar aghaidh trí dhiolacháin thicéid an Chrannchur Náisiúnta, ba cheart thabhairt faoi ndeara go dtugtar ‘Gross Gaming Revenue’ ar dhiolacháin thicéid lúide na duiseanna. De réir an tAcht um  Chrannchur Náisúnta 2013 faoi théarmaí an Céadúnas don Chrannchur Náisiúnta, tá 65% do ‘Gross Gaming Revenue’ aistrithe ón gCiste an Chrannchuir Náisúnta go dtí an Státchiste chun maoiniú a chur ar fáil do “dea-chúiseanna”. Is iad seo na méideanna atá tugtha ón gCiste an Chrannchuir Náisúnta go dtí an Státchiste chun maoiniú a thabairt do “dea-chúiseanna” le roinnt blianta.

Year

Amount

2008

€265m

2009

€275m

2010

€250m

2011

€230m

2012

€220m

2013

€210m

2014

€178m

2015

€193m

2016

€219m

2017

€227m

(Tabhair faoi ndeara de bharr amanna na n-aistrithe, is féidir difríocht bheag a bheidh ann idir an méid a ghintear do dea-chúiseanna gach bhliain ar bonn díolacháin thicéid (ina bhfuil cuntais an t-Oibreoir bunaithe) agus an méid a bhí aistrithe go dtí an Státchiste an bhliain sin)

Nuair atá siad aistrithe go dtí an Státchiste, d’éileálfar leis na méideanna go léir mar Vóta caitheachas ginearálta i dtearmaí an próiseas Meastachán, socruithe le maoirseacht agus cuntasacht phoiblí.

Faoi S.41(1) Acht um Chrannchur Náisúnta 2013, is iad na hearnáil réimsí maoinithe ná:

spórt agus siamsaíocht; cultúir náisúnta agus oidhreacht (an Ghaeilge san áireamh); na healaíona (laistigh do mhiniú an tAcht Ealaíon 2013); sláinte an phobail; óige, sóisialta agus áiseanna; timpeallacht náisúinta; agus cuspóirí eile (má tá siad ann) atá ar an Rialtas socrú ó am go ham. Tá gach Roinn freagracht as na cistí a íoc amach.

De réir Aguisín 1 don Meastacháin Leasaithe le Sheirbhísí Poiblí tá na fo-cheannteideal atá á páirtmaoiniú ag an gCrannchur Náisúinta, suim na fo-cheannteidil, agus an méid atá maoinithe ag an gCrannchur Náisúinta. Insna nasc éagsula i mo fhreagra ar an 9 Bealtaine, tugann an Roinn Cultúir, Oidhreachta agus Gaeltachta an fíorchostas gach bhliain ar fo-cheannteidil atá páirtchistithe ag an gCrannchur Náisúinta, le briseadh síos de réir eagraíocht agus suíomh san áireamh. Tá achoimre do Chaitheachais C4 do Scéimeanna Tacaíochta Gaeilge thíos:

Year

Amount

2017

€4,013,980.64

2016

€3,593,588.31

2015

€3,692,219.44

2014

€3,768,259.46

2013

€4,327,081.05

Living Wage

Ceisteanna (212)

David Cullinane

Ceist:

212. Deputy David Cullinane asked the Minister for Public Expenditure and Reform the estimated full year cost of making the public sector a living wage employer with a minimum hourly wage rate of €11.70 per hour; and if he will make a statement on the matter. [23247/18]

Amharc ar fhreagra

Freagraí scríofa

I refer the Deputy to PQ 7028/18 answered on 13 February 2018. The position remains unchanged.

Flood Relief Schemes Status

Ceisteanna (213)

Thomas Pringle

Ceist:

213. Deputy Thomas Pringle asked the Minister for Public Expenditure and Reform the reason the Buncrana and Luddan scheme, while included in the proposed measures for flood risk management County Donegal summary, is not in fact included in the first batch of schemes yet remains part of the ten year €1 billion programme of investment in flood relief measures; when the scheme will commence; and if he will make a statement on the matter. [23265/18]

Amharc ar fhreagra

Freagraí scríofa

The Flood Risk Management Plans I launched on 3 May 2018 set out the proposed measures to address Ireland’s flood risk. The Plans indicate that an additional 118 flood relief schemes are feasible and I announced €1bn investment to deliver these over the coming decade, under the National Development Plans 2018 to 2027. Together with the 75 schemes completed or underway means that the Government’s investment in flood relief schemes will protect 95% of properties at assessed risk from flooding.

This is a ten year Programme of investment to protect all properties that have an equal risk from flooding. The Programme has two objectives, nationally to target risk where its impact is greatest and regionally to utilise available capacity between the Office of Public Works and Local Authorities to deliver schemes. On 3 May, I announced €257 million for an initial phase of 50 flood relief projects throughout the country, including the five largest schemes and 31 small or minor projects under €1 million being progressed directly by local authorities. The remaining schemes in the initial tranche provide benefit for the greatest number of properties at risk, nationally, selected on a regional basis.

The OPW will continue to monitor progress with all schemes and continue to work closely with the local authorities making use of all available capacity to prioritise and deliver new schemes, including the Buncrana and Luddan scheme, during this ten year programme of investment.

Public Sector Pensions

Ceisteanna (214)

Fergus O'Dowd

Ceist:

214. Deputy Fergus O'Dowd asked the Minister for Public Expenditure and Reform if a reply will issue to a query raised in correspondence (details supplied) relating to the single public service pension; and if he will make a statement on the matter. [23422/18]

Amharc ar fhreagra

Freagraí scríofa

There is no specific provision in the Public Service Pensions (Single Scheme and Other Provisions) Act 2012 which established the Single Scheme, to provide for the augmentation of pension benefits by individual members of the Single Scheme. Notwithstanding this, a commitment has been given that a facility for the purchase and transfer of additional pension benefits by Single Scheme members would be provided by way of Regulations under the Single Scheme Act.

Appropriate Regulations are being drafted and these will set out the rules of the new scheme.  Consistent with the structure of the Single Scheme, it is intended  that the Regulations will allow Single Scheme members to purchase additional pension and lump sum referable amounts to augment pension benefits accrued under the Scheme. The Regulations are also expected to provide for the transfer of pension entitlements accrued in certain other Revenue approved pension schemes to the Single Scheme. The pricing of purchased benefits will be based on the actuarially calculated cost of paying out those benefits at retirement and will operate on a cost neutral basis to the Exchequer. 

In recent months, there has been an opportunity to devote considerable additional attention to the drafting of the Regulations. The draft scheme is currently subject to detailed legal and other considerations and the intention is to bring forward Regulations on the new scheme as soon as these considerations are complete. I am optimistic that the momentum achieved recently can be maintained to ensure that the Regulations will be finalised in the coming months.

Community Employment Schemes Supervisors

Ceisteanna (215)

Willie Penrose

Ceist:

215. Deputy Willie Penrose asked the Minister for Public Expenditure and Reform the discussions which have taken place since the Dáil Éireann motion to provide community employment supervisors and assisted community employment scheme supervisors with pension provision; the plans being formulated with a view to dealing with this issue, which has gone on for over a decade; if the high level forum has met to address this issue recently with a view to resolving this issue; and if he will make a statement on the matter. [23600/18]

Amharc ar fhreagra

Freagraí scríofa

I would refer the Deputy to my responses to PQ 54985/17 of 16 January 2018, and to PQ 13684/18 of 27 March 2018.

Public Sector Pay

Ceisteanna (216, 217, 218, 219)

Jonathan O'Brien

Ceist:

216. Deputy Jonathan O'Brien asked the Minister for Public Expenditure and Reform the annual cost over one year of equalising pay amounts for post-2011 entrants to the public service within one year (details supplied). [23611/18]

Amharc ar fhreagra

Jonathan O'Brien

Ceist:

217. Deputy Jonathan O'Brien asked the Minister for Public Expenditure and Reform the annual costs over two years of equalising pay amounts for post-2011 entrants to the public service within one year (details supplied). [23612/18]

Amharc ar fhreagra

Jonathan O'Brien

Ceist:

218. Deputy Jonathan O'Brien asked the Minister for Public Expenditure and Reform the annual costs over two years of equalising pay amounts for post-2011 entrants to the public service within two years (details supplied). [23613/18]

Amharc ar fhreagra

Jonathan O'Brien

Ceist:

219. Deputy Jonathan O'Brien asked the Minister for Public Expenditure and Reform the annual costs over three years of equalising pay amounts for post-2011 entrants to the public service within two years (details supplied). [23614/18]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 216 to 219, inclusive, together.

The Public Service Stability Agreement 2018-2020 (PSSA), provided that an examination of remaining salary scale issues in respect of post January 2011 recruits at entry grades would be undertaken within 12 months of the commencement of the Agreement and on conclusion of this work the parties would discuss and agree how the issues might be addressed under the terms of the PSSA. 

Additionally, as the Deputy is aware, this Government accepted an amendment at Section 11 of the Public Service Pay and Pensions Act 2017, that within 3 months of the passing of the Act, I would prepare and lay before the Oireachtas a report on the cost of and a plan in dealing with pay equalisation for new entrants to the public service.

This was a significant body of work and staff resources from within the Irish Government Economic Evaluation Service (IGEES) were assigned to collect, collate and examine the data and provide detailed point in time costs associated with the measure.

In accordance with the legislation I submitted a report to the Oireachtas on the 16th of March. This report estimated the overall cost of a two point  incremental adjustment to be in the range of €195m - €200m for over 60,000 staff identified as new entrants.

As detailed in the Report, the costs are annualised and an increment date of 1 January is assumed to give the full one year cost. However, increment dates across the year vary significantly by individual and sector while salary scales and the structure of such scales across the public service as they affect individuals is not consistent. Accordingly the necessary information to furnish the additional information sought by the Deputy regarding phased implementation of a two increment adjustment is not currently available to my Department.    

However, in recognition of this, since the publication of the report, my Department, in support of the discussions between the parties, has engaged in further work to assess and model the potential budgetary implications and impacts through phasing of the overall quantum.  This work is currently ongoing.

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