Pay rises could push public service pensions to €25bn

THE long-term cost to the taxpayer of the pension pot for public servants from benchmarking awards could be as high as €25 billion, according to consumer champion Eddie Hobbs.

The pay rises awarded to civil servants under benchmarking has added an extra €1.3bn to the annual public sector payroll bill.

But Mr Hobbs said one aspect of the awards that had escaped many people’s attention was that it would have a knock-on cost for the State in terms of pensions.