Séamus Brennan (Dublin South, Fianna Fail)

Allow me to clear up the timeline. This is the second review of the social insurance fund, required under section 10 of the Social Welfare Consolidation Act 2005. It has been completed and is before Government. Under the legislation, the review must be laid before the Houses within six months of its completion and clearance by the Government. From a legal point of view, the Government could wait until the end of the year to publish the review. There is no delay — we are ahead of schedule and should not be considering this for many months to come. This is due to the excellent work of the steering group, the consultants and officials involved.

There are now 2.8 million contributors to the fund. The fund, established in 1953, was in deficit until 1996. It had to be topped up by the Exchequer, as must be done by law if the fund is in deficit. The pension review and the Green Paper, which is almost ready for publication, makes it clear that the ratio of people of working age to those of pension age is continually falling. There is increased pressure on the fund. The cumulative surplus in the social insurance fund was €2.4 billion in 2005. The provisional outturn for 2006 is over €3 billion. It is capable of meeting its commitments and this review will enable people to see where the fund is heading. At present, it has a cumulative surplus.

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