SSIA pension plan may cost €800m

A NEW incentive to encourage lower-earning SSIA account holders to transfer their savings into pensions could cost the Exchequer €800 million, Finance Minister Brian Cowen said yesterday.

The new scheme was the most eye-catching initiative of the Finance Bill, which was published yesterday in Government Buildings.

The scheme will allow lower income earners who have invested in the savings scheme to get a bonus of €1 for every €3 they transfer to a pensions account.