Dáil Éireann Debate, Thursday - 15 January 2026
49. Deputy Joe Neville asked the Minister for Social Protection the number of people his Department predicts will be signed onto the auto-enrolment pension scheme by the end of 2026; and if he will make a statement on the matter. [2881/26]
View answer51. Deputy Naoise Ó Cearúil asked the Minister for Social Protection the projected Exchequer cost of State contribution matching under auto-enrolment for 2026; and if he will make a statement on the matter. [2790/26]
View answer70. Deputy Joe Neville asked the Minister for Social Protection the number of people that were signed onto the auto-enrolment pension scheme as of 5 January 2026; and if he will make a statement on the matter. [2880/26]
View answer76. Deputy Cathy Bennett asked the Minister for Social Protection if he will report on the rollout of auto-enrolment pension scheme. [2892/26]
View answer79. Deputy Ruairí Ó Murchú asked the Minister for Social Protection for an update on the auto-enrolment pension scheme and the issues that have arisen; and if he will make a statement on the matter. [2859/26]
View answerI propose to take Questions Nos. 49, 51, 70, 76 and 79 together.
The Programme for Government contains a commitment to introduce the Automatic Enrolment (AE) Retirement Savings System. The aim of introducing AE is to address the pension coverage gap that exists in Ireland and to provide workers with access to a quality assured retirement savings scheme, thereby giving greater comfort and security regarding their retirement income. The new system - known as My Future Fund - commenced on the 1 January 2026.
Over 763,000 employees that weren't actively contributing to a qualifying pension or PRSA through payroll were eligible and were automatically enrolled in My Future Fund. Once a person is enrolled in the scheme, they remain enrolled for life. However, they may not be actively contributing at all times either because, for a period, they have opted-out or suspended contributions or joined an exempt occupational or private pension arrangement or are not in the workforce.
It is very difficult to predict with any accuracy the numbers who will be enrolled in My Future Fund by the end of 2026. It cannot be less than the number enrolled now and will be increased by any new entrants to the labour market that are not provided with a pension arrangement that facilitates exemption from My Future Fund.
It is also very difficult to predict with any accuracy the numbers who will be actively contributing to My Future Fund by the end of 2026. The introduction of My Future Fund has significantly increased awareness of and discourse about pension provision with the result that many more employees are now actively considering their options for retirement. As a consequence, more people are joining occupational pension schemes that may be available to them or taking out private pension arrangements. Both of these developments coupled with the possibility that some employees may avail of the opt-out or suspension facilities after six months participation in the scheme may result in a reduction of between 5% and 10% actively contributing. However, the overall number of people contributing to all pension schemes should be increased by over 3/4 million people.
The collection of employer and employee contributions has now commenced and this is operating in line with the design and build of the system. The contributions are being topped up by the State and are being transferred to the investment management providers for investment. This positive outcome is reflective of the huge effort made by my Department and other stakeholders, including payroll providers and employers, in advance of the launch of My Future Fund.
With regard to the projected Exchequer cost of the State top-up contribution, Budget 2026 provided for an estimate of €154 million in this regard.
I hope this clarifies matters for the Deputies.
