Hanafin says Exchequer will make up social fund deficit

Social Affairs Minister Mary Hanafin says the Exchequer will make up any deficit that may arise in the social insurance fund.

Ms Hanafin was speaking after the Oireachtas Public Accounts Committee heard yesterday that the fund is likely to be in deficit by the middle of next year because of rising unemployment.

There has been speculation that this could prompt the Government to increase PRSI payments.

Ms Hanafin says nothing is being ruled in or out at the moment, but the Government doesn't want to take measures that could be a disincentive to employment.