Public service bodies to up fees to plug pensions hole

The fees charged by a number of public service bodies are set to be hiked to make up for a pensions funding hole.

Public service bodies to up fees to plug pensions hole

The fees charged by a number of public service bodies are set to be hiked to make up for a pensions funding hole.

While a new pensions system for the public sector was introduced in 2013, a number of State-funded organisations have not been making employer contributions to this and have now been ordered to make up for hundreds of thousands of euro of a deficit.

The Public Accounts Committee (PAC) has heard that landlords may face an increase in the registration fees they pay as the Residential Tenancies Board (RTB) is among the bodies that have not been making provision for pension payments.

A total of four public service bodies have not made employer contributions to the single public service pension scheme, it was yesterday revealed. These are the RTB, Health Products Regulatory Authority, Dental Council, and National Standards Authority of Ireland.

The PAC will now write to the four boards to ask how exactly they will come up with the funds.

The Comptroller and Auditor General (C&AG) Seamus McCarthy yesterday told the PAC: “The concern I had was there were bodies who were likely to have a liability and that were not providing for it, weren’t collecting the funds. It is an issue for them, they have got to recover it from their sources of income which in general would be fees or charges for services provided,” he said.

Social Democrat TD Catherine Murphy asked if the liability would impact on their ability to deliver services.

Mr McCarthy responded: “In many cases what you would expect is because they are recovering their costs from those who pay fees or pay charges there will have to be an increase in fees or charges to make the payment.”

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