Brendan Howlin (Wexford, Labour) | Oireachtas source

No, of course not. I am saying it has always been incrementally increased and this is the first time a Minister has ever come in and said, "I want to actually reduce the total amount payable".

The second point is that we will require full and transparent accountability for the money received. There was a great deal of disquiet about some categories of recipients having what I think one former denizen of this House called "walking around money", which was not properly accounted for. While I am very confident the vast bulk of that was spent, and all Independent Members spent it, appropriately and properly, it is important that this is done transparently so we can be sure of that.

I am extending the reporting and audit provisions in the Bill to Independents who have not been required before now to comply with external auditing or to submit documents to the Standards in Public Office Commission. All of us know of this, and I think I have filled in four declarations in the past week. I take some care with this because I am always conscious of doing everything right, as far as I can. There is a great deal of scrutiny of public affairs, which is right and proper. We have the trust of the people and we need to ensure we continue to have it. It has been dented and bruised and, some would say, crushed in the recent times. Part of my job as Minister with responsibility for reform issues is to put in place a series of structures to try to restore that over time.

We are also expanding the role of the Standards in Public Office Commission, for example, by allowing it to produce guidelines in regard to the allowance. This is important and is one of the things it asked us to do. I believe it will be helpful for everybody concerned that there are clear guidelines independently produced by the commission.

Third, as many Deputies have averted to, I am proposing the abolition of severance payments to Ministers. All current Ministers, whose pensions have already been reduced by virtue of pay reductions, will no longer be entitled to any severance payments once we leave office. I think that is right and proper. It is something we have done. These severance payments have been paid for decades. While I do not expect to get kudos for this, I want to acknowledge it.

I heard Deputy Finian McGrath talk in terms of "lead by example", which is a very powerful and real argument. However, I would put it to Deputy McGrath and everybody present that this House has led by example. It might be instructive to give the actual figures. To take the rate of remuneration of a Deputy, on 30 June 2013, the current rate payable, when the FEMPI reductions of last year are taken into account, is €87,258. This is from a peak in 2009 of €100,191, giving a reduction of 20.01%. To take the Taoiseach, there is a reduction from a peak in 2009 of €285,583 to the current rate, after FEMPI, of €185,350. That is a reduction of €117,000, or 41%. If we look through the economy, there are very few examples at that level. For the Tánaiste, the reduction is 36.6%, or nearly €90,000 in cash terms, for Ministers, it is 36.48%, or €82,000 in cash terms, and so on right through the system. Very real reductions have been made. Of course, the reduced rate will determine our pensions in due course, so there will be a 30% to 40% reduction in our pensions as well as the abolition of severance. It is right and proper that it should be done but it has sometimes gone unnoticed that it has been done.

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