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Dáil
‹ Ceisteanna—Questions. Oral Answers. - UK Pensions Value.

UK pension exchange-rate payments

Summary

Bruton challenged the reduced Irish-pound value paid to UK pensioners in Ireland and sought retrospective compensation; Haughey said the issue was under discussion with British and Irish authorities but gave no refund assurance.

asked the Minister for Social Welfare if United Kingdom pensioners being paid by him under reciprocal arrangements with the United Kingdom Government are receiving full sterling value pensions or the equivalent figure in Irish pounds.

Comment on this

The question of the rates of payment of social welfare pensions of other member states, in the light of currency fluctuations, has been the subject of constant discussions between the countries of the EEC since its inception but no satisfactory solution has yet been found.

On the entry of this country into the European Monetary System in March last it was agreed with the British postal authorities that, as a temporary measure, British pensioners in this country and Irish pensioners in Britain would continue to be paid their pensions at post offices at the rates shown on their pension books.

At that time there was only a slight difference in the exchange rates and this arrangement was regarded as the most equitable method of payment for pensioners in both countries. It also has the advantage of saving the pensioners any currency exchange charges for which they would ordinarily be liable if pensions were paid otherwise than at the post offices.

This matter is, however, under active discussion between officials of my Department and the Department of Posts and Telegraphs and officials of the corresponding British Ministries with a view to finding a solution which will be equitable and convenient to the pensioners.

Comment on this

Would the Minister not agree that, in view of the fact that the British £ is now worth considerably more than the Irish £, Irish residents—who are in receipt of British pensions paid to them by courtesy of his Department—are being exploited; that a profit is being made by somebody at their expense, someone who is receiving the difference between the pension they are getting in Irish pounds, which are worth less, and the pension they should be getting in British pounds if they were resident in Britain?

Comment on this

I accept that.

Comment on this

What is the Minister prepared to do about it? Who is receiving this profit and what is the Minister prepared to do about it?

Comment on this

I have told the Deputy that the matter is under discussion between my Department, the Department of Posts and Telegraphs and the appropriate British Ministries to see what can be done.

Comment on this

Would the Minister give an assurance that a retrospective refund will be made to these pensioners to ensure that they will receive the same amount——

Comment on this

No, I will not.

Comment on this

——as they would have received had they been resident in Britain, and that no public authority, Irish or British, will make a profit at their expense?

Comment on this

No, I could not give any such assurance.

Comment on this

In view of the unsatisfactory nature of the Minister's reply, I propose, with your permission, Sir, to raise this matter on the Adjournment.

Comment on this
Joseph Brennan An Ceann Comhairle Fianna Fáil

I will communicate with the Deputy.

Comment on this