Dáil debates

Tuesday, 24 April 2012

Social Welfare and Pensions Bill 2012: Second Stage (Resumed)

 

6:00 pm

Photo of Tony McLoughlinTony McLoughlin (Sligo-North Leitrim, Fine Gael)

Perhaps there will be some time remaining after Deputy Conway, Deputy Buttimer and I have spoken. Section 3 of this Bill provides for an increase from 260 to 520 in the minimum number of paid PRSI contributions that are required if one is to become eligible to become a voluntary contributor. This will bring the number in question into line with the minimum number of paid PRSI contributions that are required to qualify for a contributory State pension. Legislation that was enacted in 1997 provided for an increase to 520 in the minimum number of paid contributions required for the contributory State pension, in the case of applicants who reach pension age on or after 6 April 2012. The minimum number of paid contributions to qualify for the contributory State pension has always been mirrored in the voluntary contribution scheme. The scheme is aimed at ensuring that individuals who have already established future entitlement to contributory State pension upon reaching retirement age can maintain their social insurance record by making voluntary contributions in the intervening period. This is more evidence of the reform which is badly needed to ensure Ireland's social protection budget is streamlined. I applaud the Minister for this.

I commend the Minister on the measures in this legislation that are aimed at tackling fraud prevention. Some commentators have estimated that social welfare fraud costs the Exchequer over €700 million each year. It is hard to estimate its real cost. We know it is happening. It is right and prudent that new measures like the introduction of the public services card with key security features, including a photograph and signature, will be used to authenticate the identity of individuals. One of the advantages of the public services card is that it will help to reduce fraud and errors resulting from the incorrect identification of claimants. The Minister's proposal will provide for the introduction of a new condition for any new claim for social welfare payment, to the effect that the claimant must satisfy the Department as to his or her identity, including allowing for electronic capture of photograph and signature. I believe this significant measure will strengthen our checks and balances. I commend this Bill to the House.

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