Mr. Robert Watt:

A number of steps have been taken such as the Public Service Pensions (Single Scheme and other Provisions) Act 2012 that I mentioned earlier in response to Deputy Cullinan's questions. The single pension scheme has reduced the pension benefits for people who came in after 2013. They are also making the contribution to the pension. This will help in the future sustainability of pensions. With regard to the agreement that is now subject to balloting, the pension related deduction, which was seen as emergency measures during the crisis, this year yielded €740 million. Some €550 million will turn into a permanent contribution that people are making to their pensions - some 70% of the public service are now making a greater contribution - if that agreement is put in to force.

The steps we are taking to ensure the sustainability into the future involve changes to the pension benefits and also the higher contribution, especially those who came in before 2013 and who benefit from the higher pensions. We believe that measures have been taken. The Comptroller and Auditor General commented on one of our reports that looked at the actuarial liability of pensions. In 2007 public service pensions were estimated at around €115 billion. In the most recent analysis this figure was down to between €85 billion and €90 billion. The changes we have made have had a big impact upon the costs of the future liability of pensions, as expressed in today's terms. We are not complacent or sanguine about it, but we are in a better position than we were previously.