Dáil Éireann Debate, Wednesday - 4 July 2018
331. Deputy Robert Troy asked the Minister for Employment Affairs and Social Protection if the standard State pension will be returned to pre-recession levels as part of budget 2019; and if she will make a statement on the matter. [29512/18]
Amharc ar fhreagraIn 2006, the maximum rate of the State Pension (contributory) was €193.30. This was increased by €14 to €209.30 for 2007 and by €14 again for 2008 bringing the rate to €223.30. In January 2009, the contributory pension was increased by €7 to bring the rate to €230.30.
As the recession continued, the contributory pension rate did not see any reduction, and remained at €230.30 until an increase of €3 in 2016. The rate has since increased each year since and currently stands at €243.30, some €50 more than it was in 2006.
The following table (with data as at December 2017) shows that the rates of pension payments today are largely higher now, in real terms, than they were at the start of 2007. One exception to this is those with a Yearly Average of between 10-14 contributions. This means that such people had very few paid or credited contributions (generally 10-13 years) over the course of working life. Most people in that category will qualify for a higher rate payment under the State Pension Non-Contributory or under the Increase for a Qualified Adult on the Contributory Pension, unless they have substantial means, which means that they are significantly better off than most pensioners.
|
- |
Rate 1 Jan 2007 |
Adjusted for CPI 2007-2017 |
Rate Dec 2017 |
% change |
|
Average Earnings |
€675.80 |
€717.70 |
€714.41 |
-0.46% |
|
Average Earnings less USC |
€675.80 |
€717.70 |
€694.19 |
-3.28% |
|
SPC 48+, WCP |
€193.30 |
€205.28 |
€238.30 |
16.08% |
|
SPC 40-47 |
€189.50 |
€201.25 |
€233.60 |
16.08% |
|
SPC 30-39 |
€189.50 |
€201.25 |
€214.20 |
6.44% |
|
SPC 20-29 |
€189.50 |
€201.25 |
€202.80 |
0.77% |
|
SPC 15-19 |
€145.00 |
€153.99 |
€155.20 |
0.79% |
|
SPC 10-14 |
€96.70 |
€102.70 |
€95.20 |
-7.30% |
|
SPNC |
€182.00 |
€193.28 |
€227.00 |
17.44% |
Any changes to the rate of the State Pension (contributory) could have significant budget implications and would have to be considered in the context of overall budgetary negotiations.
I hope this clarifies the matter for the Deputy.
