Pensions crux ‘not a reason to hike PRSI’

Ministers have been warned not to use a major projected shortfall in pension and special welfare funds as an excuse to bump up PRSI rates.

Opposition parties have expressed alarm at an explosive Government-commissioned report into the looming crisis.

Fianna Fáil social protection spokesman Willie O’Dea said a financial “timebomb” was ticking as he urged the Government not to use the issue as an excuse for personal tax hikes. He said the Social Insurance Fund report pointed to a €324bn gap in the pension and welfare bill and the funds available to pay them by 2066.