Richard Bruton (Dublin North Central, Fine Gael)
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Question 80: To ask the Minister for Social and Family Affairs the comparison between pensioner incomes here and pensioner incomes in each of the other EU countries and the EU average respectively; and if he will make a statement on the matter. [7966/07]

Séamus Brennan (Dublin South, Fianna Fail)
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Comparisons with pensioner incomes in other countries can be difficult because of the different ways in which Governments provide for older people and because of different demographic, economic and social situations in each country.

The following table, prepared by the EU Commission, compares the median equivalised income of people aged 65 and over with the general population under 65 in each of the EU Member States. The figures range from 55% to 113% with Ireland at 62%. In evaluating the relative position of pensioners, only monetary income (notably deriving from the pensions system) is taken into account. The wealth of pensioners, in particular home ownership and private savings, which have a strong impact on the income distribution of pensioners, is not taken into account. Non-monetary benefits such as free healthcare and transport are also excluded.

The information set out in the table derives from the EU synthesis report on adequate and sustainable pensions for 2006 and is largely based on EU SILC 2004 which refers to income data for 2003. Since then pensions in Ireland have increased by 33% in the case of contributory pensions and 39% for non-contributory pensions.

The Government is concerned about the adequacy of retirement income and, as the House will be aware, a major review of our pensions system was published in 2006 by the Pensions Board together with a report on possible options for a mandatory pensions system. The Government is committed to producing a Green Paper on pensions as part of the social partnership agreement Towards 2016 and future pensions policy will now be examined in that context. The Green Paper will outline the major policy choices, the challenges in this area and the views of the social partners.

The two reports completed by the Pensions Board are significant inputs to the Green Paper. It is expected that it will be finalised by the end of March and published as quickly as possible thereafter. In line with Towards 2016, a consultation process will follow the publication of the Green Paper and the Government will respond to this by publishing a framework for future pensions policy.