Older people’s charity Age Action today welcomed comments by Taoiseach Brian Cowen that pensioners who rely solely on the State pension may not be adversely affected in the budget.
Mr Cowen gave a strong hint last night that the old age pension will not be cut in the budget on December 9th.
Speaking at the European Pension Funds awards, he said there is a large amount of people who don't have a lot of disposable income to participate in saving schemes or in pension investments and, therefore, rely solely on the state pension.
"It is my intention in dealing with the budgetary crisis to ensure that those people will not be adversely affected by the decisions we have to make," he added.
"It is unclear if the Taoiseach is talking about protecting all social welfare payments to older people, or just the State pension," Age Action spokesman Eamon Timmins said.
While welcoming the Taoiseach’s comments, elderly support group Older & Bolder said no commitment had been given that the State pension and supports would not be cut.
Director Patricia Conboy, said “the comments by the Taoiseach were not a guarantee and we must therefore continue to fight against cuts made to this sector of society who are already struggling in the current climate”.
Mr Cowen also said the banks need to accept that they have wider societal responsibilities and obligations now that the taxpayer has helped them survive.
He said banks need to demonstrate that they are extremely mindful of the fact that without the intervention of the State, the prospects of their recovery would be remote.
“Banks and financial institutions need to understand, that because we can't have a functioning economy without a functioning financial system, the taxpayer has stepped in and has provided the banks with the capital they will need,” he said.
“They [the banks] need to remember that they are in a new situation now,” he added.
Mr Cowen criticised the banks for moving away from a traditional and prudential business model that would have avoided excessive gain but provided the security of a safe investment, to aggressively seeking a return for their shareholders in the international financial market place.
“It has now deprived many such small investors of providing a better living for themselves and perhaps leaving a financial legacy for their children”.