FINANCE MINISTER SIMON Harris has said that Irish savers are being short-changed on returns, as he signalled plans for a new government strategy aimed at getting more people to invest rather than leaving their money sitting in low-interest accounts.

Speaking at a Fine Gael parliamentary party meeting this evening, the Tánaiste said many “hard-pressed” people who are trying to plan for their families and futures simply do not have enough opportunities to make their savings work for them.

Harris added that those who save responsibly should be rewarded with better returns, adding that investment options should not feel out of reach or overly complex for ordinary households.

Officials in the Department of Finance, Harris said, are now working on proposals for a new savings and investment strategy, which he plans to bring to government in the coming weeks.

Harris pointed to the sheer scale of household savings in Ireland, noting that around €170bn is currently sitting on deposit, a record level.

People are doing the right thing by saving, Harris said, but warned that too much money is effectively standing still.

The Tánaiste said he shared the view of Central Bank governor Gabriel Makhlouf, who urged the government to enable greater household participation in financial markets in a letter sent to Harris yesterday.

Recent figures suggest there is significant scope to do just that.

Research published in December by the Banking and Payments Federation of Ireland found that while more than three in four Irish adults have a savings account, fewer than half have any form of investment.

Of those who do save, more than a third have less than €5,000 set aside, while most people prioritise short-term goals such as rainy-day funds, holidays or major expenses over longer-term needs like retirement.

Among investors, nearly three-quarters describe themselves as cautious or very cautious, preferring low-risk options, while almost one in five say they do not fully understand the fees or taxes attached to their investments.

Harris said the government wants to change that picture, arguing that people who are willing to plan for the future should be supported to do so.

He also used the parliamentary meeting to criticise Sinn Féin’s decision to vote against an EU support package for Ukraine, describing the move as disgraceful and accusing the party of being anti-EU and weak on Russia.