Keynote Speech by Dara Calleary T.D.

Minister for Social Protection

IAPF Annual Dinner

Clayton Hotel, Burlington Road

26th February 2026

Introduction

Thank you, Tony and good evening everyone.

I’m delighted to join the IAPF again this year for your annual dinner.

I want to begin by thanking Tony and Joyce for the kind invitation to be here, and for this opportunity to speak to you about the ever-changing landscape of Irish pensions.

My Future Fund

We meet here this evening shortly after the rollout of what is one of the most fundamental reforms in the history of the Irish Pension landscape, the introduction of My Future Fund.

After talking about Automatic Enrolment in this country for over two decades, it has finally been delivered by this Government in line with our Programme for Government commitment.

The commencement of My Future Fund on the 1st January 2026 followed on from many years of stakeholder engagement, and collaboration with colleagues across the public sector and the wider financial services industry on a wide range of issues including scheme design, legislation and systems development.

It has been introduced to complement and supplement the State Pension, which remains the bedrock of the Irish pension system, and to ensure that people do not suffer significant and unwanted reductions in their income and living standards in their retirement years.

Its establishment, then, is about sending a clear message to our workers – and in particular to the young workers of today – that we want you to be able to look forward to a secure financial future.

I’m delighted to report that it is working very well and as planned.

Since it commenced just under 2 short months ago, nearly 764,000 employees working for around 105,000 employers, have been automatically enrolled, and over 5,000 more who are outside the age or earnings thresholds have applied to join because they recognise its considerable benefits.

We have fully-featured portals available to both employers and employees to engage with the system, and in the case of employees to access their account and exercise their investment and participation options.

While the enrolment of participants and the operation of the system is not dependent on employers registering with My Future Fund, it does considerably reduce the administrative burden for employers and for NAERSA if they do, and, of course, it ensures that they are compliant with their legal obligations.

Approximately 104,000 employers have registered to date. So, we have had incredibly high compliance rates – exceeding our expectations in fact – and I’d like to take this opportunity to commend employers and their representative groups in realising this fantastic achievement and doing the right thing for their employees.

As a result of all of this, approximately €80 million of contributions has been collected for investment with our three contracted investment managers to date.

But of course, we are not resting on our laurels. Firstly, NAERSA will be focussed over the coming months on ensuring that high compliance rates are maintained and on ensuring that participants fully understand the value of My Future Fund to them as we approach the opt-out window in the summer.

And secondly, my Department will continue to work over the next while with NAERSA to examine and, where feasible, develop approaches for Additional Voluntary Contributions, Transfers in and out of the scheme, Drawdown Arrangements, and extending the scheme to others, including perhaps, the self-employed.

Finally, on this matter, I would like to take this opportunity to acknowledge the enormous contribution made to this initiative by my predecessors in the Department, Leo Varadkar, Regina Doherty and Heather Humphreys; I would like to thank the Department’s team for their tremendous work in getting it developed and delivered; and I would like to wish Roma Burke and the Board of NAERSA as well as Dermot Griffin and his team in NAERSA every success with its operation.

Occupation and Supplementary Pensions

Master Trusts

Alongside the roll-out of My Future Fund, Ireland’s occupational pensions landscape is undergoing a period of unprecedented change. We are seeing greater consolidation, stronger governance standards and enhanced protection for members — all part of the move toward a more robust and sustainable pension system.

Since the implementation of IORP II, demand for Master Trusts and Personal Retirement Saving Products has increased significantly.

Master Trusts offer important advantages over traditional single-employer arrangements which include economies of scale, stronger governance, enhanced security and lower costs for members. It is essential that these benefits are fully realised.

This move towards consolidation is necessary and positive. It is not about reducing choice but about raising standards.

But, as you know, multi-employer Master Trusts present different features and risks compared to traditional single-employer schemes.

For this reason, it is essential that trustees of Master Trusts are subject to additional legal obligations reflecting their size, complexity and growing market share.

These requirements will build on existing IORP II obligations and will include enhanced regulation in areas such as trusteeship, capitalisation, risk assessment, charges and communication. They will strengthen the management of Master Trusts and further protect members’ interests.

Consolidation into Master Trusts will also allow for more effective supervision by the Pensions Authority. My officials are working very closely with the Authority on the legislative provisions needed to provide for a stronger legal underpinning for the Master Trust regime in Ireland.

Scheme Authorisation

My Department is also working with the Pensions Authority, the Revenue Commissioners and the Department of Finance to introduce a revised, single-step pension scheme authorisation process. This revised process will ensure that all schemes meet the standards expected of them.

Under this new system, schemes and trust RACs will be required to demonstrate compliance with key governance standards, including those set out under IORP II, in order to receive authorisation. This will establish clear expectations for governance and ensure that only properly constituted schemes operate in the market.

It is important to ensure that no existing scheme members are disadvantaged by these reforms. Where consolidation occurs, member benefits must be protected and, where possible, enhanced through improved governance and reduced costs.

The Government is committed to progressing the legislative measures necessary to underpin both the Master Trust regime and the new authorisation process as quickly as possible.

EU Developments

Turning now to EU developments, last November the European Commission announced a package of measures designed to help citizens secure adequate income in retirement by improving access to better and more effective supplementary pensions.

The package of measures forms part of the Commission’s broader Savings and Investments Union Strategy which seeks to ensure that EU savings are used more effectively to support long-term growth and prosperity. It includes proposed amendments to both the IORP II Directive and the PEPP Regulation.

These amendments are designed to modernise and strengthen the framework for supplementary pensions by supporting greater efficiency, scale and trust. They aim to enhance protection for savers while removing barriers to market-led consolidation and the achievement of economies of scale.

In practical terms, these measures will help IORPs to operate more efficiently, reduce costs, diversify investment portfolios and ultimately deliver stronger returns for citizens. They will also create greater financing opportunities for European companies.

The Commission’s package also provides important clarification on the prudent person principle that governs how IORPs and PEPP providers invest and manage their assets.

The proposals will be negotiated by the European Parliament and the Council. The discussions are likely to continue during Ireland’s Presidency of the EU from July to December 2026. This will present an opportunity for Ireland to contribute meaningfully to the next phase of regulatory development in this area.

My Department is examining these proposals closely in developing Ireland’s response. We also look forward to further engagement with the Cypriot Presidency and other Member States as negotiations progress.

These reforms, together with other regulatory changes such as DORA and SFDR, mean that the occupational pensions landscape will continue to evolve and develop in the coming years.

And finally, on this matter, the roll-out of My Future Fund provides us all with the opportunity to explore how we can improve the provision of occupational pension schemes even further for participants, by looking at such matters as –

• waiting periods
• vesting periods
• the contribution levels needed for adequacy in retirement
• the remuneration basis for contribution calculation
• the level and types of charges, and overall value for money

I’ve asked my Department and the Pensions Council to consider these and undoubtedly we will be engaging with you on all of them over the coming months and more.

Conclusion

Through these reforms, we are building a pension system that is more robust, more efficient, and more focused on the needs of members.

With the advent of My Future Fund, over three-quarters of a million workers who were previously outside of the pension system, have begun saving for their retirement. This is something to be truly celebrated.

The success of these reforms depends on continued collaboration between all of us. Together, we can ensure that all pension savers have access to well-governed, professionally managed pension arrangements that will provide security and dignity for all our people in retirement.

Thank you for listening, and I wish you all an enjoyable evening.

Go raibh míle maith agaibh.

ENDS