The Gazette 1980

JULY-AUGUST

1

GAZETTE

RETIREMENT

double that figure. In those days I could Fill the tank in my car for £3.00. It now costs me £15.00. I could heat my office for £300 a year. Using a lot less oil now, it costs me over £1,200 a year. During those eight years there has been a vast increase in the cost of stationery, postage, telephone charges, lighting, rents and all the other overheads that are routine to running a business. The last general increase that this profession received in fees was eight years ago. On the 20thSeptember 1978, we filed an application with the Prices Commission for adjustment in Court costs, and no action whatsoever has been taken by the Commission in relation to our application. Professor Lees headed an enquiry into solicitors' remuneration and he received every assistance from this profession. The findings were by and large fair, and, with one or two exceptions, were acceptable. His findings were not implemented by the Prices Commission, nor by the Department of Justice. So, we have had the expense of a lengthy enquiry paid for out of State funds and the disullusionment of the members of the profession throughout the country, who gave many hours of their time in assisting the enquiry on a voluntary basis. REPORTS IGNORED "The all to frequent failure to implement the many reports which have issued from voluntary boards are are a cause of concern. If this practice continues it will become very difficult to find first-class people to serve on Boards in the future. Apart from the Pringle Report of Civil Legal Aid, many worthwhile reports have been submitted by the Committee on Court Practice and Procedure, and reform here is long overdue. Nothing has been done to implement these reports, and our Courts are, therefore, not able to function as they should. The Law Reform Commission was established in 1975 and working papers have been published to deal with a number of subjects. There is a great need for reform of the law in this country in a practical way. There are many instances where out- moded practises still exist, and where fines and other statutory money figures are quite ludicrous. "I would urge the Department of Justice to get down to it, and to bring in legislation swiftly to cure such anomalies as exposure to being made bankrupt for £40, which was fixed by statute when Queen Victoria was still a young woman. Another example is Section 49 of the Civil Liability Act 196 1, which fixed the limit on compensation for distress in fatal injury cases at £1,000, a figure that had same meaning then but has none now. An indexing formula should be introduced in all statutes in future, so that money values will keep pace with inflation."

FUND GROWTH

There was an increase in the membership of the Society's Retirement Annuity Plan during the past year, but the committee believes that the comparatively slow growth is due, in part, to the age imbalance of the profession where half the members are still concentrating on developing their careers and not interested in retirement. The Retirement Annuity Plan is operated on a unit basis. The initial (1975) unit was lOOp (97.59 after the administration charges); on March 1 last the unit value was 21 1.03p — a gain of over 11 lp free of tax since the inception of the Fund. The Fund valuation on March 1 last was just over £950,000, by the end of April — due to the subscriptions received to that date — the total Fund reached £1.13 million. The first property investment was made during the past year; further such investments will be made, as appropriate. In the meantime the Fund continues to be invested in Irish and UK gilts and equities. The associated Life Assurance Plan is commended to the younger members of the profession; it is organised through the New Ireland Assurance Company Ltd. at very competitive rates. Since April 6th last premiums payable under the Income Continuance Plan are fully allowable against personal tax, under Section 8 of the 1979 Finance Act. Benefits, however, once tax relief has been granted on the premiums will be taxable under PAYE at source, the underwriting company acting as a subsidiary employer. Solicitors who are self employed, can apply for an exclusion order under Section 125 of the 1967 Income Act, and once an exemption has been granted, any claims payments will be brought into the individual's accounts and charged as part of business profits. This tax relief should be an added incentive for solicitors who have not yet joined the Income Continuance Plan, to become mambers and avail of the protection provided. Negotiations were successfully concluded during the year, which increased the maximum cover available from £15,000 to £520,000, provided this amount does not exceed 75% of annual remuneration less a single person's basic disability entitlement, if applicable. Also, the exclusions relating to suicide and alcoholism have been removed, the only siginficant exclusion remaining is the war risks clause. The Committee, in its report, thanked the Trustees — Mr. E. M. A. Cummins and Mr. J. Power, Trustee Department, Bank of Ireland; Mr. D. Harvey Kelly and his colleagues in the Investment Bank of Ireland; Mr. John O'Connor, Solicitor, and the Society's Finance Director, Mr. P. J. Connolly, who audits the Fund.

R. W. RADLEY M.Sc., C.Chem., M.R.l.C.

HANDWRITING AND DOCUMENT EXAMINER

220, Elgar Road, Reading, Berkshire, England. Telephone (0734) 81977

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