Aengus Ó Snodaigh (Dublin South Central, Sinn Fein) | Oireachtas source

Tá sé tráthúil go bhfuilimid ag déileáil leis an cheist seo faoi phinsin ach is trua gur rún lag é seo. Fillfidh mé ar na fáthanna leis sin.

Aontaím le cuid amháin den rún, an líne dheireanach, a dhéanann iarracht srian a chur ar na pinsin agus íocaíochtaí oll-fláithiúla atá ag Airí, Taoisigh agus ceannairí bainc agus a leithéid siúd atá liostaithe sa rún. Níl an rún láidir go leor, níl sé maith go leor agus ní aontaím le cuid de. Ní fheicim conas is féidir leo siúd gur sóisialaithe iad glacadh le faoiseamh cánach do phinsin fad is atá easpa ann dóibh siúd a bheidh ag brath ar phinsean amach anseo, ach go háirithe an faoiseamh cánach atá ann dóibh ar an ráta is airde cáin faoi láthair.

This is a weak motion that contains very little. It merely calls for us to stop paying the grossly over generous pensions to a relatively narrow category of people. If it is confined to that, it will achieve very little. While I might sound like Government Deputy, I am a socialist and I cannot support a motion that calls for the retention of tax relief at the highest rate for private pensions. At the very least we should standardise that or get rid of tax relief on private pensions because any tax relief is tax foregone. There are times when for the public good that is what should be done. At a time of crisis we need to review tax reliefs and consider whether the tax that is foregone could be put to better use, as my party believes it could. At the very least we should be standardising the tax relief and ultimately considering whether that is the best way for the State to intervene in the future pensions of people.

The motion should have gone much further. It could have called for steps to deal with issues that were highlighted in last month's private pensions report and the rip-off of people, some of them on very low pay, who invested in a private pensions encouraged by the previous Government and now being encouraged by this Government. Yet, the charges are not transparent.

Up to 30% is being charged on some pension pots. As I stated, the motion could also have properly dealt with the tax reliefs. I find it strange that members of the People Before Profit - United Left Alliance are supporting this motion, which defends these tax reliefs. The Economic and Social Research Institute report entitled Pension Policy: New Evidence on Key Issues states that the top 20% of earners are the beneficiaries of 80% of all pension tax relief, which says it all for me and those people with whom I stand. That is, I believe, an abuse of public policy.

Tax reliefs on pension savings are inherently regressive. The more disposable income one has available to save the more money the Government gives one in the form of tax relief. This is similar to the Special Incentives Savings Scheme, which was used by former Deputy Charlie McCreevy, to help the rich in our society. Meanwhile the State pension and the associated benefits on which the majority of older people depend are under threat. The Government says it cannot afford these basics. How, then, can it possibly justify the continuation of tax relief for private pensions? According to the latest actuarial review the expected deficit of the Social Insurance Fund for 2012 is €1.8 billion. There are ways of addressing this in the short term, one of which I have already put forward in respect of tax relief. The other way is to get people back to work and halt emigration.

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