Tuesday, 23 February 2010
Dáil Eireann Debate
117. Deputy David Stanton asked the Minister for Social and Family Affairs the balance of the social insurance fund; the balance in 2008 and 2009; the estimated balances for the next three years; the amount taken into the fund through PRSI in 2008 and 2009; the estimated income for the next three years; and if she will make a statement on the matter. [9033/10]
Minister for Social and Family Affairs (Deputy Mary Hanafin): The Social Insurance Fund operates under the terms of the Social Welfare (Consolidation) Act 2005. The Fund comprises a current account and an investment account. The Minister for Social and Family Affairs manages and controls the current account, while the Minister for Finance manages and controls the investment account. Benefits payments are paid from the current account. To the extent that annual income is not required for benefit payments, it is transferred to the investment account which is managed by the Minister for Finance (through the National Treasury Management Agency). Both the income arising from these investments and the capital is available for current payments as required. Any shortfall in the current account in respect of liabilities is met from the investment account in the first instance, and otherwise by moneys provided by the Oireachtas.
|Year||Actual PRSI Receipts||Estimated PRSI Receipts||SIF Balance|
The cash balance in the Social Insurance Fund will be completely exhausted this year. The operating deficit of the Fund, estimated to amount to €1.55 billion this year, will be borne fully by the Exchequer. It is forecast that Social Insurance Fund expenditure will exceed its income in each of the years 2010 to 2012, with the deficit funded by Exchequer subvention from the Oireachtas — Vote 38. The Social Insurance Fund will continue to hold a capital asset over this period represented in the form of Department’s headquarters property in Store Street, Dublin.
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