Brian Cowen (Laois-Offaly, Fianna Fail)

On the Deputy's policy question, Ireland has a demographic window. Although it is not a reason to do nothing, Ireland is not at the stage reached by a number of our fellow EU member states, in which the time bomb is not only ticking but can be heard. The issue in Ireland relates to ending the consultation on the Green Paper in May and bringing forward a White Paper as soon as possible thereafter. This means the Government must consider this issue strategically and in a hard-headed way, which will include reinforcing the sustainability of pensions in the future and finding the mechanisms to so do. This could involve a variation of pension age or many other options set out in the Green Paper that must be considered, as must the question of how this will be funded in the future. While these are serious strategic questions, much good work has been done in respect of the policy formulation phase.

Some people, including Deputy Bruton, would argue the consideration is taking too long. However, because of the figures involved, the highly complex actuarial calculations that must be made and the underlying assumptions, one must check carefully what one's real options are in the short, medium and long term. Certainly, this will be a major challenge in the future. While we have some time before the issue hits us dead in the face, as the figures under discussion demonstrate, we must make some decisions in the short to medium term.

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