Call for access to pension funds

A radical plan to create a €1.8bn stimulus out of pension funds has been proposed by business body Ibec, which says it could create over 7,000 jobs.

In a paper published yesterday Ibec said that allowing individuals to access additional voluntary contribution (AVC) pension funds now could result in an immediate exchequer windfall of €600m, rising to €1.24bn as a result of additional spending in the economy, and providing a domestic economic stimulus worth €1.8bn.

Similar initiatives have been very successful in both Denmark and Iceland, and Ibec has called on the Government to follow the Nordic example.