Fine Gael TDs angry at ‘gross’ pensions hikes for ex-taoisigh

A group of Fine Gael TDs have raised concerns about increases in ministerial pensions which will be given to former office holders such as ex -taoisigh Brian Cowen and Bertie Ahern.

A number of backbenchers have also raised concerns about the operation of the National Asset Management Agency at a meeting of the Fine Gael parliamentary party on Wednesday night.

Mr Ahern and Mr Cowen will be among a number to benefit from the changes which will take effect because of a provision in the new pay and pensions deals struck by Minister for Public Expenditure Brendan Howlin.

The pair currently receive about €134,000 per year, but will see that rise by €2,000 annually over the next three years as a result of the recent deal. Former minister for finance Charlie McCreevy will see his pension increase from €108,000 to €110,000.

The issue was first raised at the Fine Gael meeting by Cork South-Central TD Jerry Buttimer, who described the increases as "gross". Mr Buttimer was supported by Paul Connaughton of Galway East, Anthony Lawlor of Kildare North, Alan Farrell of Dublin North, Brendan Griffin of Kerry South and Gabrielle McFadden of Longford-Westmeath.

Sources said many of the deputies told Taoiseach Enda Kenny the public perception of giving the former office holders pension increases was extremely negative. Mr Buttimer told Mr Kenny it undermined the work of the Government and claimed many former politicians were in receipt of pensions similar in amount to the Taoiseach’s salary.

Mr Griffin said the raises were “disgusting” in light of difficulties faced by people in recent years and added there is an onus on the Government to find a way to reverse the recent increases.

Mr Farrell suggested legislating to cap increases beyond a certain point, which was also pressed by Mr Griffin.

Mr Kenny told his parliamentary party there would be issues and difficulties in touching people’s pensions and is understood to have said moves to do so could interfere with constitutional rights.

The Taoiseach also said some of the pensions could be returned voluntarily. Sources said Dublin South Central TD Catherine Byrne, who was chairing the meeting, attempted to shut debate down, leading to further objections.