Kathryn Reilly (Sinn Fein)

I want to express my opposition to section 4, the central tenet of which is the imposition of a 0.6% pension levy. I will address the amendment shortly. The pension levy is not about burden sharing on an equitable basis. It is deeply inequitable and, because it excludes approved retirement funds used by higher earners to invest in their pensions, we are opposed to it. It makes no differentiation between the pensions held by ordinary workers - those working on the ground in council yards, for example - and high earners.

Our amendment No. 6 has been ruled out of order but we had said that standardisation of pension tax reliefs at the lower rate would have been a better option for raising revenue for the jobs initiative. Not only would it have removed an unjustifiable inequity in the current system, it would also have generated significant revenue for the State to invest in the much needed economic recovery.

On amendments Nos. 9 and 10, while we are opposed to the levy and to the section, we must ensure that, if this section is enacted, the cost of the fund is absorbed by the fund managers and not passed on to pension holders by way of a reduction in their pension entitlements. We will support amendments Nos. 9 and 10.