Government ‘will not be held to ransom on deal’

THE Government will not be held to ransom in efforts to build a new social partnership agreement, according to Minister Mary Hanafin.

With prospects of a new deal dwindling, the Social and Family Affairs minister said the economy had to take priority. “We need social partnership, but it won’t be at any cost.”

Ms Hanafin said there had been progress on broad terms in the talks. However, she told RTÉ’s The Week in Politics there was still a large gap between the various groups, particularly over private sector pension protection and support for homeowners. The minister’s new scheme, announced last week, to make it cheaper for private sector pensions to operate did not appease the social partners.