In 2023, legislation for a series of landmark reforms to the State Pension system was introduced in response to the recommendations from the Pensions Commission. This set of measures represented the biggest ever structural reform of the Irish State Pension system. Persons reaching State Pension age from the beginning of 2024 can defer access to their State Pension (Contributory) at any age from 66 up to the age of 70 and receive an actuarially adjusted higher rate of payment.
A person can use the period between 66 and 70 years of age to pay PRSI and build up additional entitlements for the State Pension (Contributory), and, if a person has less than 520 PRSI reckonable paid contributions, they may be able to use this period to establish entitlement.
As part of the pension reforms, it was decided by Government that those who defer claiming their State Pension (Contributory) and continue to work would have access to a limited number of short-term contingency payments. The schemes available beyond age 66 are:
• Illness Benefit,
• Partial Capacity Benefit,
• Jobseeker’s Benefit,
• Jobseeker’s Pay-Related Benefit,
• Jobseeker’s Benefit (Self-Employed).
All other schemes, including Treatment Benefit, were unaffected by this change and continued to retain their previous qualifying conditions.
It should be noted, however, that if a person qualifies for the Treatment Benefit scheme between age 60 to attaining pension age at 66 years, that person will be entitled to this benefit for life.
My Department will continue to keep its range of supports under review to ensure that they meet their overall objectives. Any changes to the current system would need to be considered in an overall policy and budgetary context, taking account of the overall sustainability of the Social Insurance Fund.
