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File image of Patrick Neary. James Horan/Photocall Ireland
Holiday Pay

Former Financial Regulator was paid €13,000 in untaken holidays on retirement

The Minister for Finance this week revealed that the former Financial Regulator has taken cuts totalling €24,000 to his pension.

PATRICK NEARY, THE Financial Regulator who retired in January 2009, has had his pension cut twice in the last number of years, but walked away with €84,000 upon his retirement.

The details of Neary’s pension has previously been disclosed as being €143,000 a year, but Finance Minister Michael Noonan revealed how much he had taken upon his retirement, which came just four months after the bank guarantee.

In response to a Dáil question from Independent TD Patrick Nulty, Noonan said that Neary had been paid a salary of €84,501 on retirement. This included €47,550 owed to Neary because he was available to the Central Bank for three months after retirement.

It also included €13,178 that Neary was owed in unpaid holiday leave entitlements, a common practice across the board.

Noonan added that as Neary’s retirement allowed for the reintegration of the Irish Financial Services and Regulatory Authority with the Central Bank, he had been given a notional payment.

“I am also informed that as the former Chief Executive, who had 2 years remaining on his contract, facilitated significant organisational change by his retirement, he received additional notional service and immediate pension payment without actuarial adjustment, consistent with the Central Bank Financial Services Authority of Ireland Superannuation Scheme rules.

He also received a payment of €151,500, equivalent to six months remuneration in lieu of the time remaining on his contract. His retirement lump sum and pension was based on a final reckonable salary of €285,341 and 40 years reckonable service.

The response concluded by saying that cuts to Neary’s pension had amounted to €24,000 a year.

Nulty said that while not wishing to comment on individual circumstances, he felt it was “important that the pensions of those paid by taxpayers” were known.

“I believe the problems were the result of light touch regulation. I do believe that such large pensions such be subject to taxation and further cuts.

“Those with these lavish pensions who were at the wheel during one of the greatest banking collapses in the history of the world should contribute more through a levy on their pension puts.”

Read: ‘My contract has been accepted by government’: Richie Boucher on his €843k salary

Read: Cut in private pension tax break could facilitate universal pension for all over 65s

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