Written answers

Tuesday, 24 May 2022

Department of Employment Affairs and Social Protection

State Pensions

Photo of Brendan GriffinBrendan Griffin (Kerry, Fine Gael)
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488. To ask the Minister for Employment Affairs and Social Protection if a pension will be provided for full-time carers as in the case of a person (details supplied); and if she will make a statement on the matter. [26469/22]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The Government acknowledges the important role that carers play and is fully committed to supporting them in that role. Accordingly, the current State Pension (Contributory) system already includes a comprehensive range of measures including PRSI Credits, Homemaker's Disregards and HomeCaring Periods to recognise caring periods outside of paid employment in the calculation of a pension payment.

The Programme for Government “Our Shared Future” includes a commitment to examine options for a pension solution for carers, the majority of whom are women, particularly those of incapacitated children, in recognition of the enormous value of the work carried out by them.

The Pensions Commission was established in November 2020 to examine the sustainability of the State Pension system and the Social Insurance Fund. The Commission’s terms of reference included consideration of how people who have provided long-term care for incapacitated dependents can be accommodated within the State Pension system.

The Pensions Commission’s Report was published on 7th October 2021. It established that the current State Pension system is not sustainable into the future and that changes are needed. The report set out a wide-range of recommendations, including enhanced pension provision for long-term carers.

In the interests both of older people and future generations of older people, the Government is considering the comprehensive and far reaching recommendations in the Pensions Commission’s Report very carefully and holistically. My officials are examining each of the recommendations and consulting across Government through the Cabinet Committee system. The views of the Joint Committee on Social Protection, Community and Rural Development and the Islands and the Commission on Taxation and Welfare are being considered as part of these deliberations. I intend bringing a recommended response and implementation plan to Government in the coming weeks.

It is clear from the Commission’s work that State Pension reform is necessary and it is complex. It would be a strategic risk not to plan and provide for projected demographic changes, not least in terms of income adequacy for older people. The State Pension is the bedrock of the pension system in Ireland. It is extremely effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers including those who are only starting their careers.

I hope this clarifies the matter for the Deputy.

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