Ifac: Workers may have to pay average of €2,150 more in taxes to preserve pension age

Keeping the state pension age at 66 years will have a big impact on future workers, according to the Irish Fiscal Advisory Council, who say the typical earner will have to pay an annual PRSI increase of €1,800 and a tax increase of €350

The number of people claiming the state pension is due to rise from around 52,000 people per year in this decade to 75,000 per year in the 2040s. Picture: Fergal Phillips

Workers on average salaries may have to pay around €2,150 a year in extra taxes and PRSI to keep the state pension age at 66, according to the state’s financial watchdog.

Taoiseach Micheál Martin has already sent a strong signal that the government will reject the recommendation of the Pensions Commission, an advisory body, to gradually raise the state pension age by three months per year until it reaches 67 in 2031.

Martin, who told ...