asked the Minister for Finance whether he has received proposals from the trustee savings banks for the setting up of special investment departments to enable them to make loans to local authorities and to invest in other securities; if he will give an outline of the proposals made; and when it is hoped to give a decision on the matter.
Ceisteanna—Questions. Oral Answers. - Trustee Savings Banks: Special Investment Departments.
25.
On the 21st April, 1961, I received a request from the trustee savings banks to promote legislation to permit these banks to establish special investment departments.
Under these proposals the banks would accept separate deposits from customers for investment under State supervision in a prescribed range of securities which would include mortgage loans to local authorities. The interest to be paid on the deposits would be fixed by each bank from time to time in accordance with the income earned by the investments.
The banks' observations have been sought on a number of aspects of the matter and when these observations are received I will consider the request for legislation without delay.