Written answers

Thursday, 26 April 2007

Department of Social and Family Affairs

Social Insurance

5:00 pm

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 152: To ask the Minister for Social and Family Affairs the surplus in the social insurance fund on the 31 December 2006 and for each of the past 10 years. [15653/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

Details of the surplus amount in the Social Insurance Fund in each of the years since 1997 are as follows:

YearCumulative Surplus
1997â'¬8million
1998â'¬61million
1999â'¬330million
2000â'¬673million
2001â'¬1.2 billion
2002â'¬1.3 billion
2003â'¬1.5 billion
2004â'¬1.9 billion
2005â'¬2.4 billion
2006 Provisionalâ'¬3.1 billion

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 153: To ask the Minister for Social and Family Affairs the employee contributions to the social insurance fund in 2006. [15654/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

The estimated amount of employee PRSI contributions for 2006 is €1,380,234.

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 154: To ask the Minister for Social and Family Affairs the rate of contribution by employees to the social insurance fund. [15655/07]

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 155: To ask the Minister for Social and Family Affairs the effect of the halving of employee contribution to the social insurance fund. [15656/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

I propose to take Questions Nos. 154 and 155 together.

The vast majority of employees pay social insurance contributions at the PRSI Class A rate. No contribution is paid where weekly earnings are €339 or less. Where earnings exceed €339 contributions are not paid on the first €127. The basic rate of employee class A contribution is4%. Different rates of contribution apply to public and civil servants, self-employed contributors, certain Ministers of religion employed by the Church of Ireland and defence force personnel.

Each of the contribution classes has different earnings thresholds and PRSI contribution rates payable. Detailed information on the rates and thresholds applying to the different classes will be forwarded to the Deputy. It is estimated that a decrease in the rate of contribution for ordinary employees from 4% to 2% would reduce social insurance fund income by some €720 million in a full year. For the balance of employed contributors, the estimated additional cost would be some €30 million in a full year.

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 156: To ask the Minister for Social and Family Affairs the amount paid into the social insurance fund and the amount paid out from the social insurance fund in 2005 and 2006. [15657/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

Details of the amount paid into the social insurance fund and the amount paid out from the social insurance fund in 2005 and 2006 are as follows:

20052006
â'¬â'¬
Income6,159,0186,997,152 (Provisional)
Expenditure5,664,6096,327,157 (Provisional)

The details in respect of 2006 are provisional, pending the completion of the social insurance fund account for that year.

Paul McGrath (Westmeath, Fine Gael)
Link to this: Individually | In context

Question 157: To ask the Minister for Social and Family Affairs the reason there is not a bilateral agreement with Jersey in relation to PRSI contributions; and if he will initiate discussions on such an agreement. [15658/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

Ireland has a number of social security Agreements with the United Kingdom dating back to the 1960s. Some years ago it was agreed between both States that a consolidation and update of these earlier Agreements should be carried out to take account of the legislative changes that had occurred in both States.

It was also agreed to modify these Agreements to extend their scope to people resident in the Channel Islands. Subsequently, a Convention on social security between Ireland and the United Kingdom was signed in Dublin on 14th December 2004 and the terms of the Convention were approved by Dáil Éireann on 19th April 2005.

This Agreement, when ratified will provide social protection to workers and their families moving between Ireland and the Isle of Man and the Channel Islands. The Agreement not only protects pension entitlements, but also protects entitlement to certain short term payments, for example, unemployment and sickness.

Subsequent changes in United Kingdom legislation relating to the recognition of civil partnerships required amendments to certain provisions of the proposed Agreement insofar as they relate to United Kingdom social security system. It is hoped that the ratification process will be concluded within the coming months.

Comments

No comments

Log in or join to post a public comment.