Pay-related benefit scheme surplus
Andrews sought annual income-and-expenditure figures and questioned how a claimed surplus, possibly £18 million, was used. Cluskey said there was no separate fund or overall calculation because contributions and costs flowed through the social insurance fund, promised to circulate figures, and said the scheme was not in danger of a deficit.
asked the Minister for Social Welfare the surplus of income over expenditure under the provisions of the Social Welfare (Pay-Related Benefit) Act, 1973 for each year since its operation.
Comment on this
As I informed the Deputy in reply to previous similar questions in February of this year and December, 1975, there is not a separate fund for pay-related benefits. In accordance with the provisions of section 5 of the Social Welfare (Pay-Related Benefit) Act, 1973, income from pay-related contributions is paid into the social insurance fund. Pay-related benefits, as are also the costs of their administration, are paid out of that fund and the amount of any surplus on the operation of the pay-related benefits scheme contributes towards the reduction of the overall deficit on the social insurance fund.
Because of this there is no surplus as such arising from the pay-related benefit scheme, but for the Deputy's information figures for the income and expenditure under the scheme in each year since its inception are set out in a tabular statement which, with the permission of the Ceann Comhairle, I propose to circulate with the Official Report.
Following is the statement:
Comment on this
On the basis that the figures are very extensive, could the Parliamentary Secretary give us the figures for 1975?
Comment on this
As I said, there is a series of figures in it and I will circulate them with the Official Report.
Comment on this
I think the Parliamentary Secretary will agree with me that the surplus of income over expenditure is quite considerable. Whilst I agree that there is statutory provision for redirecting that money into the social insurance fund, could the Parliamentary Secretary indicate to the House in what direction that money so directed to the social insurance fund goes?
Comment on this
As I said in answer to the question, the measure provides that all income and all expenditure in relation to the pay-related benefit scheme are paid in connection with the social insurance fund. There is no separate fund that operates the scheme as such.
Comment on this
I appreciate that, but on the question of income over expenditure is there a suggestion that in some instance in one year or over a period of years since the operation of the Act itself, there has been an £18 million excess of income over expenditure, and would the Parliamentary Secretary agree with me that in the circumstances this effectively flies in the face of the intention of the Act itself?
Comment on this
Why cannot we have them now? I hope this is not another effort to hide the figures. I am not suggesting that there is a possibility that it might be.
Comment on this
If the Deputy is not suggesting it, he has a peculiar way of phrasing his questions.
Comment on this
——although there is no overall calculation in respect of it in so far as it is not separate. It is part of the social insurance scheme. As the Deputy will, no doubt, recall, since the introduction of the operation of the scheme there have been no fewer than three extensions of the period in which the scheme operates. I am glad to say that the scheme is not in danger of going into——