The Pensions Ombudsman, Paul Kenny, has warned that Government Ministers may have to be prosecuted if they fail to tighten up the failings of some public service pension schemes.

Speaking after the publication of the ombudsman's annual report yesterday, Mr Kenny said that while improvements had been made in some areas of the public sector, the health service continues to be an area of huge difficulty and one where a significant number of complaints are brought.

He said there were a number of cases last year of excessive delays in resolving disputes about pension entitlements in the public sector, and expressed concern that some employees may, as a result, be unfairly out of pocket.

Mr Kenny, whose job it is to investigate complaints of financial loss due to maladministration and disputes in relation to pension schemes, said that when the ombudsman's office writes to a company or a Government department they have 21 days to reply, a deadline that has never been kept by the public service.

He said in most cases the Ministers themselves were unaware of the situation, but described his threat of prosecution as "shaking the tree" in an attempt to encourage civil servants to move the process along.

The number of new complaints received last year increased 14 per cent, to 439, a rise Mr Kenny attributed to more real complaints, rather than those from people with improbable and long-standing grievances.

He said an additional 291 cases had been carried forward from 2005 into 2006 and that at the end of 2006, his office closed 307 cases and ended the year with 423 cases on its books.

Mr Kenny also said that as of the end of September this year, 369 new files had been opened, an increase of 10 per cent on the prior year.

Overall, the success rate of complainants improved considerably during the year, from about 53 per cent last year to about 67 per cent, he said.

Still, Mr Kenny expressed disquiet that the construction industry remains one of his most pressing concerns, describing the number of complaints from the industry as "depressing".

He welcomed the fact he had been able to recover significant amounts of money for some employees, but said that in a small number of cases he had been unable to help as the employer had gone out of business.

The Minister for Social and Family Affairs, Martin Cullen, welcomed the findings and said he will liaise with Government departments to ensure future speedy responses.

The role of the ombudsman is to investigate complaints of financial loss due to maladministration and disputes of fact or law in relation to occupational pension schemes and Personal Retirement Savings Accounts (PRSAs).