Tom Hayes
Question:9 Mr. Hayes asked the Minister for Finance his views on whether consumers have enough legal protection to ensure that a bank’s overcharging practices (details supplied) cannot be repeated anywhere. [17937/04]
Written Answers.
The following are questions tabled by Members for written response and the ministerial replies received from the Departments [unrevised].
Questions Nos. 1 to 8, inclusive, answered orally.
Consumer Protection.
John Perry
Question:51 Mr. Perry asked the Minister for Finance for the latest information on the investigation of a bank’s unlawful and improper activities (details supplied). [18699/04]
Joan Burton
Question:70 Ms Burton asked the Minister for Finance the steps he will take to prevent customers from being exploited in regard to the statement the Tánaiste issued after the disclosure that banks (details supplied) overcharged foreign exchange customers for eight years; if he will change consumer credit legislation to provide for the imposition of penalties when financial institutions exceed charges authorised by the regulatory authorities. [13962/04]
Eamon Ryan
Question:74 Mr. Eamon Ryan asked the Minister for Finance the role of his Department in overseeing the work of the Irish Financial Services Regulatory Authority on the regulation of Irish bank charges; if he is satisfied with the level of IFSRA’s enforcement and punitive powers in existing legislation in view of the recent evidence that a bank (details supplied) persistently overcharged for foreign exchange transactions; and when he will introduce legislation to provide the regulator with further powers. [13908/04]
I propose to take Questions Nos. 9, 51, 70 and 74 together.
Last year the regulatory structure of Irish Financial Services was radically adjusted. At the time the Government promised the following Bill would provide enhanced consumer protection. The Central Bank and Financial Services Authority of Ireland Bill 2003 will confer new powers on IFSRA to impose stiff administrative penalties. It can be applied where there is a breach of: any financial services legislation; codes of conduct issued by the regulator; or any condition, requirement or direction imposed under legislation or codes.
Penalties will include the issue of a reprimand, orders to refund charges improperly applied, monetary penalties of up to €5 million and orders to pay the cost of the investigation. Individuals may also be subject to penalties. For example, a senior manager might be disqualified from employment at management level in the financial services sector and a fine of up to €500,000 could be applied. These provisions will apply to breaches of consumer protection provisions as well as to breaches of prudential requirements.
In addition, amendments presented on Report Stage will specifically make it an offence for credit institutions and bureau de change to charge fees in excess of those notified to IFSRA under the Consumer Credit Act 1995.
The new Bill will also give the regulator considerable powers to require compliance statements from financial institutions. They will be additional to those required under recent changes to company law. The Bill will also enhance consumer protection by establishing for the first time a statutory financial services ombudsman scheme. IFSRA will also have consultative panels available to it for consultation with consumer and industry interests.
My role in regard to the work of IFSRA is set out in the Central Bank Act 1942, as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. IFSRA is accountable to me in regard to its budget, the raising of levies from the industry and the form of its strategy statement. It also reports to me on regulatory matters relevant to my role in setting the legislative framework for regulation. It is required to report publicly on its activities and is accountable to the Oireachtas Committee on Finance and the Public Service.
Since April IFSRA has overseen an investigation into the amounts charged by AIB to its foreign exchange customers. The initial investigation concentrated on identifying the amount involved and the customers affected. The latest indications are that it should be possible to identify from records at least two thirds of the people concerned, representing about 80% the value of the transactions. IFSRA also agreed with AIB that a €25 million deposit would be made with the Central Bank to cover anticipated costs of reimbursing customers, including interest. AIB was also obliged to appoint an external expert to inquire into how the problem arose. A first report, compiled with independent assurance, will be rendered to IFSRA and AIB before the end of July.
IFSRA has also overseen another investigation on certain matters concerning AIB Investment Managers Limited during the period 1989 to 1996, inclusive. These matters concern taxation, inappropriate dealing transactions and other regulatory issues. As a result AIB has already taken action on some of these issues, including disciplinary measures and has committed to pay restitution plus interest to affected clients. The Revenue Commissioners have also announced that they are conducting an investigation into the tax aspects of this matter.
Lessons will be learnt from the issues that have arisen at AIB. These lessons will have to be taken on board as appropriate by the financial institutions concerned, by banking institutions and their shareholders, by IFSRA and the other regulatory agencies and by the Government and the Oireachtas. It is clear that the public have the right to expect and receive the highest levels of service and corporate responsibility. I am satisfied that the regulatory structures put in place last year, together with the provisions of the complementary Bill that recently passed Report Stage in this House, will go a long way towards ensuring that problems of this nature will not arise in the future. Suggestions, if any, by various investigations for further legislation will be dealt with as a matter of urgency.
Tax Code.
Jack Wall
Question:10 Mr. Wall asked the Minister for Finance if he intends to change legislative provisions on residency abroad for tax purposes. [18595/04]
The residence rules for tax purposes were last updated in the 1994 Finance Act by the then Fianna Fail-Labour Government. It was done following a comprehensive review of the matter by the Revenue Commissioners and my Department. Prior to this the rules were based on a mixture of statutory provisions, old case law and Revenue administrative practice. It was an unsatisfactory situation. The new residence rules set out in the 1994 Finance Act simplified and clarified the area and were generally welcomed.
I have no plans to change legislative provisions on residency abroad for Irish tax purposes.
Michael Ring
Question:11 Mr. Ring asked the Minister for Finance the number of houses that qualify for section 19 relief as heritage homes open to the public; and the total value of tax refunded under the scheme. [18659/04]
I am advised by the Office of the Revenue Commissioners that 171 houses qualified for tax relief under section 482 of the Taxes Consolidation Act 1997, formerly section 19 of Finance Act 1982. The most recent annual cost available is for the tax year 2000-2001 and is estimated at €2.7 million. The estimated cost of the relief from the tax year 1982-83 to the tax year 2000-01, inclusive, is €14.7 million.
At present the list of properties that qualify for relief under section 482 is available on the Revenue website. The information is also available in booklet form.
Freedom of Information Reviews.
Pat Rabbitte
Question:12 Mr. Rabbitte asked the Minister for Finance the progress made to date to clear the backlog of appeals in the Office of the Information Commissioner; the number of appeals outstanding at the latest date for which figures are available; and the average time taken to hear an appeal. [18608/04]
On 18 June the 2003 annual report of the Office of the Information Commissioner was published. It contained a comprehensive statistical analysis of FOI requests and the number of applications for reviews of FOI decisions.
The office completed 728 reviews during 2003 compared with just 534 in 2002, an increase of 36% year on year. A total of 886 reviews were received in 2003 and 434 were completed during the year. Of those completed 256 or 59% were completed within the four month deadline. A further 294 received before 2003 were also completed. Since the beginning of 2003 there was progress in reducing the backlog. At 21 June the number of outstanding reviews was reduced to 685.
The office makes every effort to ensure that the majority of reviews are completed within the deadline, the Information Commissioner stated that some reviews can involve complex issues or a large number of records and take considerably longer than the proscribed four months to conclude. At present figures are not available on the average time taken to conclude reviews. I hope an average time to conclude a review would have limited value given the wide variety of types of reviews and the varying degrees of complexity in each case.
European Council Meetings.
Caoimhghín Ó Caoláin
Question:13 Caoimhghín Ó Caoláin asked the Minister for Finance if he will report on his participation in the European Council of Finance Ministers meeting of 2 June. [18720/04]
On 2 June I chaired the last meeting of the ECOFIN Council of the Irish Presidency in Luxembourg. As in the Presidency generally, the meeting made good progress on the agenda items.
The Ministers agreed their report on the updated broad economic policy guidelines for member states that was endorsed by the European Council last week. The guidelines emphasise the continuing importance of implementing the Lisbon agenda of structural reforms. The priorities stressed are policies to promote growth and stability, reforms to create more and better jobs and strengthening the long-term sustainability of public finances.
Under the Stability and Growth Pact, ECOFIN decided that an excessive deficit exists in the Netherlands. The Council issued a recommendation calling on the Netherlands to implement corrective measures.
The Status Report on Information Requirements in EMU was endorsed. It examined the status of implementation of the EMU statistics action plan to provide reliable statistics. The statistics are central to the economic analysis required to ensure the sound management of the euro.
ECOFIN noted with satisfaction that agreement in principle was reached with the dependent and associated territories and with Andorra, Liechtenstein, Monaco, San Marino and Switzerland on the necessary arrangements to enable the savings tax directive to be applied. Following subsequent discussions, and the associated agreements with these third countries and territories, it was unanimously agreed at official level that its application date would be 1 July 2005. It is expected that the accord on the application date will be endorsed by the Council on 28 June.
The Council also agreed conclusions for the report on financial integration produced by the financial services committee. It also noted a number of related reports on the promotion of the EU internal market in financial services.
The meeting heard reports on negotiations on adopting new International Accounting Standards Nos. 32 and 39. It also heard from Commissioner Bolkestein on the latest developments in the EU-US financial services regulatory dialogue.
Over lunch Ministers discussed the future financing of the EU post-2006 and the price of oil. We took the opportunity to call on oil producers to provide increased supplies to keep oil prices consistent with stable, sustained growth in the world economy.
As I indicated already, the meeting made good progress and was very satisfactory from the Irish Presidency's point of view.
Tax Code.
Ciarán Cuffe
Question:14 Mr. Cuffe asked the Minister for Finance the reason value added tax does not apply to fruit, but does apply to the juices of fruit. [18707/04]
A zero rate of VAT applies to fruit, as with most food. The standard 21% rate of VAT applies to all fruit juices, bottled water and soft drinks. Fruit juices were standard rated with effect from November 1992. The change was made to correct a competitive anomaly, as fruit juices and bottled water were zero rated while similar competing products such as soft drinks were standard rated. The change in the VAT treatment coincided with the removal of excise duty from bottled water in November 1992.
Revenue Investigations.
Jan O'Sullivan
Question:15 Ms O’Sullivan asked the Minister for Finance the progress made to date by the offshore assets group of the Revenue Commission in its investigations into the use, for the purposes of tax evasion, of offshore bank accounts and trusts by Irish residents; and the total amount of such funds identified so far; the total amount of tax collected in respect of these accounts. [18601/04]
Brian O'Shea
Question:52 Mr. O’Shea asked the Minister for Finance the response received to date by the Revenue Commissioners to the letters sent by ten top banks to around 120,000 customers warning them to regularise their tax affairs by the end of March; the number of responses received; and the amount collected to date. [18599/04]
I propose to take Questions Nos. 15 and 52 together.
Revenue initiated its investigations into the use of offshore accounts and other financial investments during 2003. The initial phase involved the customers of two institutions. Last December the chairman of the Revenue Commissioners initiated a series of meetings with the chief executives of ten financial institutions with offshore subsidiaries or branches, seeking their co-operation on a wider investigation of offshore related tax evasion. It resulted in the institutions concerned writing to their customers advising them of Revenue's proposed investigation and of the opportunity to make a disclosure before the formal investigation began. A deadline of 29 March was set for individuals to give a notice of intention to make a disclosure and a further 60 days to make the actual disclosure and the payment. The 60 day deadline was later extended to 10 June.
I am advised by Revenue that precise figures are not available on the number of letters that were issued from the financial institutions. It is understood that it was in excess of 100,000. It is not known how many accounts or individuals this actually represents because some individuals had accounts in different banks or in different branches of the same bank. In other instances there was more than one name on the account. At this stage of the investigation it is also clear that some accounts will not give rise to any liabilities.
By 29 March as many as 15,000 taxpayers had notified Revenue of their intent to make a qualifying disclosure. As of 16 June Revenue had received payments of approximately €500 million in respect of about 11,000 of those taxpayers. Others have indicated that their calculations resulted in no additional liability being due. Revenue expects further payments in the coming weeks.
So far €650 million has been collected as a result of this initiative, the earlier investigations involving the customers of two institutions and investigations by the offshore assets group.
Insurance Levy.
Pádraic McCormack
Question:16 Mr. McCormack asked the Minister for Finance if it is planned to reduce or eliminate the insurance levy. [18680/04]
I have no plans to reduce or eliminate the levy. It formed part of the stamp duty receipts that yielded about €100 million in 2003.
Tax Code.
Michael Ring
Question:17 Mr. Ring asked the Minister for Finance if he is satisfied with the operation of penalty and interest rules for different categories of tax evasion that were unearthed by the Revenue Commissioners. [18687/04]
I am advised by the Revenue Commissioners that the operation of penalty rules on the different categories of tax evasion is as set out in their code of practice for Revenue auditors. It was updated in August 2002.
Interest is levied on overdue tax in accordance with the relevant provisions of the Taxes Acts. The current rate of interest is 0.0322 % for each day or part of a day from the date when tax becomes due and payable until payment is received. It is equivalent to an annual rate of approximately 11.75%
Civil penalties are generally 100% of the tax underpaid where the taxpayer negligently makes an incorrect return or in the case of fraud, twice the amount of the tax due. The Revenue Commissioners may, at their discretion, mitigate any penalty in accordance with section 1065 of the Taxes Consolidation Act. The section imposes restrictions on the mitigation of penalties for periods within the scope of the 1993 amnesty. Interest due is not mitigated.
The code of practice for Revenue auditors sets out its approach to the mitigation of penalties. The level of mitigation is based on the category of default that gave rise to the penalty. Further mitigation for a prompted or unprompted qualifying disclosure and for co-operation with the audit may also be available.
The penalty regime outlined in the code of practice is being followed in the current investigations into NIB, Ansbacher, bogus non-resident accounts and offshore accounts.
The Revenue powers group made some proposals for the reform of the interest and penalties regime. Last February I published the report. I indicated that I would consider the group's recommendations in the context of the Finance Bill 2005 and allow for a period of public debate and reflection.
Procurement Process.
David Stanton
Question:18 Mr. Stanton asked the Minister for Finance the lessons that can be learned from the recent report on the Office of Public Work’s procurement procedures for the EU Presidency. [18698/04]
Thomas P. Broughan
Question:25 Mr. Broughan asked the Minister for Finance the action he will take arising from the independent review by PricewaterhouseCoopers into procurement procedures used by the OPW in Dublin Castle, particularly the finding that many of the contracts awarded for services for EU meetings during the Irish Presidency breached procurement rules. [18584/04]
The findings of the report have raised a number of issues about the OPW's procurement of goods and services.
The nature of the event management work and operations in Dublin Castle and Farmleigh is quite different from that of other OPW units. Difficulties arose primarily because of the special nature of Dublin Castle's operations, particularly for the EU Presidency. I am satisfied that there is no basis to draw any inference from the report. The OPW provides a broad range of services. It conforms to the highest possible standards of fairness, transparency, integrity and value in public procurement and the awarding of contracts. The report acknowledges the special nature of the Dublin Castle operation, particularly in having to respond at short notice to changing circumstances and client requirements. It also acknowledged the high standards of service and facilities necessary for significant and important State events such as the EU Presidency. The report includes a number of recommendations for improvement in procurement procedures at Dublin Castle.
As I have said on previous occasions, I accept the report's findings and I am committed to implementing its recommendations. Work commenced on organising open tender competitions for the supply of audio-visual and simultaneous interpretation services, cleaning, catering and other services in Dublin Castle. The initial steps involve an analysis of the service needs and, in the light of that analysis, the preparation of a detailed specification for the services required. A revised edition of the public procurement guidelines was published in May. A formal open tender process will be conducted, in accordance with the revised guidelines, where expenditure on any service in any year exceeds €50,000 per annum.
An open EU procurement process for audio-visual services will be followed in line with the recommendation in the PricewaterhouseCoopers report. Revised procurement procedures are being prepared for Dublin Castle and its unique operations within the OPW.
Departmental Programmes.
Seymour Crawford
Question:19 Mr. Crawford asked the Minister for Finance his views on the proposal of an evaluation unit within his Department for independently evaluating capital projects as proposed by the ESRI. [18670/04]
The key responsibility for the evaluation, planning and execution of capital projects rests with line Departments and the relevant implementing agencies. My Department has a strong concern to promote the pursuit of optimal value for money by Departments and has provided guidance to Departments in this regard. This guidance is set out in the the 1994 capital appraisal guidelines. My Department is drafting revised guidelines in the light of experience of the operation of the existing guidelines and of the implementation of infrastructure projects in recent years.
As regards the specific proposal to establish an evaluation unit in my Department, as I have advised previously, the national development plan-CSF evaluation unit is an independent evaluation unit under the aegis of my Department which is co-financed by the Exchequer and the EU and has responsibility under the direction of the technical assistance monitoring committee for evaluation of the NDP operational programmes and related issues. In this regard it has engaged in or overseen a number of evaluations since the commencement of the NDP, including the evaluation of investment in key capital programmes such as the road network and in public transport. The NDP-CSF evaluation unit has also been engaging with my Department in relation to the ongoing work on the revision of the capital appraisal guidelines.
My Department co-ordinates the expenditure review initiative, ERI, under which Departments conduct internal evaluations or reviews of their key expenditure programmes or policy areas on the basis of centrally agreed criteria. Final responsibility for conducting reviews, submitting them for external quality assessment, disseminating their findings and implementing their recommendations rests with each Department. My Department also provides the secretariat to the expenditure review central steering committee, ERCSC, a committee chaired by the Secretary General of my Department. The ERCSC supports the expenditure review process at a strategic level. This includes making recommendations on future reforms to the process.
The future scope for greater co-ordination between the NDP-CSF evaluation unit and the expenditure review process will be kept under review in the context of the implementation of the €33.6 billion, five-year rolling capital envelopes framework which I announced in the 2004 budget and the review of the capital appraisal guidelines.
Procurement Process.
Paul Nicholas Gogarty
Question:20 Mr. Gogarty asked the Minister for Finance if he will review Government procurement rules in view of recent breaches. [18710/04]
Procurement rules, both EU and national, are important and I endorse compliance with them by contracting authorities. Compliance is a matter for the relevant Department or public body in the first instance.
I am satisfied with the current rules. They are constantly monitored and are revised as the need arises. Recently my Department, after considerable work over a long period, published updated guidelines on the procurement of supplies and services by public bodies. They were not the result of recent breaches of the rules. The guidelines were issued after consultation with the Government's contracts committee, the Competition Authority, purchasing and materials management officials in most State bodies and other participants in the public procurement market. They reflect newly adopted EU directives on public procurement and give clear simple guidance on rules and procedures designed to achieve best value for public money through an open fair competitive tendering process.
Stability and Growth Pact.
Simon Coveney
Question:21 Mr. Coveney asked the Minister for Finance if the Irish Presidency has made progress on reforming the Stability and Growth Pact. [18676/04]
As I have explained previously to the House, Ireland supports it. During Ireland's presidency of the Economic and Financial Affairs Council our priority has been the continued implementation of the pact.
In principle I am in favour of introducing more flexibility into certain aspects of the pact. The general view among my ECOFIN colleagues is that there should be a period of reflection. It would allow us to consider, in a thoughtful and deliberate way, how the EU economic governance system operates. We need to ensure that any proposed changes to the pact are developed on the basis of consensus so that any reforms can command the broad level of support that is required.
The Commission is expected to introduce, in the months ahead, its initiative on improving economic governance in the EU. This will include proposals to improve the workings of the pact. I anticipate that the initiative will contribute to the ongoing deliberations on the matter.
The new constitutional treaty was agreed by the EU Heads of State and Government at last week's meeting of the intergovernmental conference. Certain technical changes vis-à-vis the existing treaty were included. It will have the effect of modifying the operation of the pact subject to the ratification of the new treaty.
Under the proposed new treaty provisions, the Commission will be empowered to bring forward a proposal. The Council can only amend a proposal, by a unanimous decision rather than a recommendation, on the existence of an excessive deficit in a member state. A recommendation can be amended by a qualified majority of the Council. The Council's rules for voting on the issue will also be modified to exclude the vote of the member state in question.
In addition, the intergovernmental conference agreed the text of a declaration on the pact. It includes a reaffirmation of its commitment to the provisions of the pact as the framework for the co-ordination of budgetary policies. The conference agrees that member states should use periods of economic recovery actively to consolidate public finances and improve their budgetary positions to create the necessary room to accommodate economic downturns. The declaration also makes it clear that it does not prejudge the future debate on the pact.
Fiscal Policy.
Denis Naughten
Question:22 Mr. Naughten asked the Minister for Finance his plans to introduce new procedures for the presentation of proposals for more meaningful and timely spending and taxation in Dáil Éireann. [18683/04]
The Government's spending proposals are outlined in the two Estimates Volumes. They are presented to Dáil Éireann in accordance with its Standing Orders. I normally present the pre-budget or abridged Estimates volume to Dáil Éireann approximately two weeks before budget day. For the past two years the proposed Estimates have been debated in the Dáil. The post-budget or Revised Estimates Volume is normally presented to the Dáil within eight weeks of the start of the fiscal year to which it relates. The Estimates by departmental Vote are then subject to individual scrutiny and approval by the relevant Oireachtas committee.
The financial statement on budget day outlines the main taxation measures proposed. Their details are contained in the budget book that is distributed to Members on budget day. I presented my first budget, budget 1998, on the first Wednesday in December so that the details were announced before the start of the fiscal year. I have continued the practice for the following six budgets. The budget and Finance Bill debates provide the House with the opportunity to give its views on these measures.
The above detail shows that the spending and tax proposals are presented to the Dáil in a timely manner. In other words, before the start of the fiscal year to which they relate. I have no plans to amend the arrangements.
I would like to update the House on some recent reforms, and ongoing consideration of proposals, to improve the presentation of information on departmental spending on services.
In my Budget Statement on 3 December 2003 I announced a major change in the financial treatment of capital spending through the introduction of rolling five year multi-annual capital envelopes. In implementing the new envelope system, Departments can carry over to the following year, subject to Dáil approval, any unspent Exchequer capital allocations, up to a maximum of 10% of each year's voted capital allocation. The roll-out of the capital envelopes — and the facility to carry-over savings — will mean changes in the presentation to the Dáil of the Estimates in respect of voted capital spending. The Finance Act 2004 provided for the new carry-over arrangement. Under the new arrangements the Dáil will be apprised of the amounts to be carried over in the AEV. It will be asked to approve the amounts on three separate occasions: the Appropriation Act of the carry-over year; a ministerial order that must be approved by the Dáil in the following year; and in the REV of the following year. The 2004 public capital programme included material on the multi-annual capital envelopes and more project level information on major capital projects.
Changes by way of tidying up or rationalisation of subheads and Votes were made in the REV in recent years in consultation, as appropriate, with the Committee of Public Accounts. The 2004 REV contained a revised presentation of the subheads in the Vote for the Department of Agriculture and Food. It reflects better the Department's main goals, as set out in its strategy statement. It also facilitates a match between the subheads of the Vote and the main programmes or strategic areas of the Department.
Work is ongoing on a pilot project under the aegis of my Department, involving the Departments of Agriculture and Food, Social and Family Affairs and Transport as pilot Departments. The purpose of the pilot project is to examine ways of improving the links between departmental strategy statements, business planning and resource allocation and performance measurement. The results will be evaluated. Consideration will be given to whether the approach should be mainstreamed across Departments. If it is considered that the pilot project should be further developed and mainstreamed, I will bring proposals to Government and to the Committee of Public Accounts. Drafting of the pilot project report commenced and I expect that it will be submitted for consideration in the near future.
Question No. 23 answered with QuestionNo. 8.
EU Insurance Market.
Phil Hogan
Question:24 Mr. Hogan asked the Minister for Finance the action his Department and the Government have taken to promote the creation of a single European insurance market. [18149/04]
Competitiveness is a key priority of the Irish Presidency. In the area of financial services, including insurance, my priority has been to make progress on the completion of the EU financial services action plan.
The plan aims, among other measures, to improve the functioning of the Single Market and benefit insurance policyholders and other consumers of financial services. It does so by removing barriers to cross-border trade in financial services and thus increasing the choice available to consumers.
Directives on insurance solvency and insurance mediation have already been approved under the plan. The insurance solvency directive sets new solvency margin requirements for insurance companies. It increases the amount of capital that a company must hold to help meet unexpected events and thus offers increased assurance to policyholders, wherever they are living. The insurance mediation directive makes it easier for intermediaries to operate anywhere in the Single Market, thus increasing the choice of insurance products available to customers and helping to ensure they can trust any associated advice. The Commission can propose new EU legislation. Last April it published a directive to address the current lack of a harmonised reinsurance supervision regime. The different national rules in reinsurance have created uncertainty for direct insurance companies and their policyholders, barriers to trade within the internal market and increased administrative costs.
Achieving a functioning Single Market in the insurance area is a key dimension of the Government's insurance reform programme. It would increase the range of competitively priced insurance products available to Irish consumers.
Question No. 25 answered with QuestionNo. 18.
Question No. 26 answered with QuestionNo. 8.
Tax Code.
Paul Connaughton
Question:27 Mr. Connaughton asked the Minister for Finance his views on the desirability of capping the aggregate value of special tax reliefs that can be claimed by a person. [18671/04]
There is no cap on the aggregate value of such tax reliefs. In budget 1998 I announced, as and from 3 December 1997, that an annual cap of €31,750 would apply on the amount of capital allowances that an individual passive investor could claim against non-rental income on capital expenditure incurred on certain industrial buildings. Any unrelieved capital allowances can be carried forward for offset against the individual's rental income. Industrial buildings such as factories, docks and hotels are affected by the provision. Buildings under the area based schemes such the urban, rural and town renewal schemes and a range of other schemes such as multi-storey car parks and private hospitals are also affected.
There is a cap of €31,750 on the annual amount that can be claimed against income in general by investors under the business expansion scheme. There is also a cap of €31,750 on the maximum annual amount that can be claimed against income in general in respect of a qualifying film under the scheme of relief for investment in films. In the case of the latter scheme, this is further restricted as only 80% of total investment is eligible for relief under the scheme.
In my response to the Dáil debate on Second Stage of the 2004 Finance Bill I mentioned that the special reliefs provide undoubted economic and social benefits. They also narrow the tax base, have a cost and are inevitably used by high earners to reduce their tax bill. A judgment must be made on whether the advantages outweigh the disadvantages. Imposing an overall cap on the aggregate value of special tax reliefs, other than the caps already applying to them, that can be claimed by an individual could undermine the effectiveness of many incentive schemes in providing the economic and social benefits referred to above. I will keep the various tax reliefs under review in the context of annual budgets and Finance Bills.
Tax Harmonisation.
Bernard Allen
Question:28 Mr. Allen asked the Minister for Finance his views on the proposal of the French Finance Minister to harmonise corporation taxes among some member states under enhanced co-operation provision of the EU Treaties. [18685/04]
As I said in my reply to Question No. 68 on 6 May, the Commission issued a communication in 2001 setting out its twin track approach to company taxation. It is as follows: targeting particular obstacles in the short to medium term by taking a direct approach to each of the issues and finding a specific answer to the problem; and adopting a long-term comprehensive measure, a common consolidated corporate tax base for companies for their EU-wide activities. The Commission made it clear that this did not involve harmonising rates.
In November 2003 the Commission updated its position with a communication entitled An Internal Market without company tax obstacles — achievements, ongoing initiatives and remaining challenges. The common consolidated tax base was discussed at EU conferences and has been the subject of a Commission consultation paper.
Ireland does not see the Commission's proposals for a common consolidated base as an appropriate way forward. We support efforts to eliminate unfair business tax practices in the EU and the removal of barriers to cross-border trade and business.
It is now suggested that member states which favour the common consolidated corporate tax base should proceed under enhanced co-operation. Ireland does not favour such a course of action. However, it is a matter for each member state to decide whether to participate in an enhanced co-operation procedure. Ireland does not intend to do so. It has not been established that we are in a position of last resort where adoption of enhanced co-operation would be appropriate. Ireland's opposition to the harmonisation of corporation tax is well known and clear. It is important that the tax rights of member states are retained at the national level. Recently such rights were confirmed in the EU Constitution agreed by the 25 Heads of Government.
EU Presidency.
Eamon Ryan
Question:29 Mr. Eamon Ryan asked the Minister for Finance the reason estimated costs on hosting the EU Presidency far exceeded original estimates. [18713/04]
Thomas P. Broughan
Question:77 Mr. Broughan asked the Minister for Finance the estimated total cost to the Exchequer of Ireland’s Presidency of the EU. [18585/04]
I propose to take Questions Nos. 29 and 77 together.
This is the sixth occasion that Ireland has undertaken the EU Presidency. Since the last Irish Presidency in 1996 there has been a significant increase in its workload, notably in the areas of common foreign and security policy and justice and home affairs. Ireland is also the first member state to preside over a further enlarged Union of 25 member states, with the addition of ten member states during our term.
It is a matter for each Minister to manage their Presidency arrangements. During 2003 the Government spent approximately €15.3 million on the additional costs associated with the lead up to our tenure as President. It set aside €60 million to meet the costs arising in 2004. Indications are that, with the exception of costs arising on the Garda and Office of Public Works Votes, expenditure will be broadly in line with the allocation. Expenditure as reported to end May 2004 was around €41 million. The additional costs are mainly attributable to the high level of policing and security work necessitated by the EU Presidency, additional meetings organised during its term and security costs for the major events. The costs will be met from existing resources available to the two Votes in the first instance. It will be some time before the final cost for this year is known as bills continue to be presented.
The costs, such as general staffing, training, accommodation, cultural events, communications and information technology, transport and security, represent once-off expenditure. They were deemed necessary to ensure an efficient and effective discharge of the additional functions and responsibilities arising from Ireland's EU Presidency.
On Ireland's behalf I congratulate all of those involved who have made this a successful and well received EU Presidency.
Questions Nos. 30 and 31 answered with Question No. 8.
Tax Revenue.
Simon Coveney
Question:32 Mr. Coveney asked the Minister for Finance the total value of tax revenue collected from the purchase, registration and use of motor vehicles, distinguishing the amount collected under different tax headings. [18665/04]
The Revenue Commissioners have informed me that the relevant information is the amount of tax revenues collected as VAT, excise and VRT in respect of motor vehicles.
The latest provisional figures for 2003 on the yield of VAT, excise and VRT from various commodities associated with motoring are as follows:
|
VAT Yield |
2003 |
|
€ million (estimated) |
|
|
Petrol |
290 |
|
Auto Diesel |
32 |
|
Motor Oil & LPG |
2 |
|
Cars |
431 |
|
Motor Cycles |
6 |
|
Car Repairs |
47 |
|
Car Accessories |
26 |
|
Car Hire |
12 |
|
Driving Instruction |
5 |
|
Haulage |
28 |
|
Total |
879 |
|
Excise Duty |
2003 |
|
€ million |
|
|
Petrol |
854 |
|
Auto Diesel |
703 |
|
Auto LPG |
0.10 |
|
Total |
1,557.10 |
|
VRT |
2003 |
|
€ million |
|
|
Cars |
807 |
|
Motor Cycles |
3 |
|
Car Derived Vans |
7 |
|
Commercial Vehicles |
3 |
|
Total |
820 |
The Department of the Environment, Heritage and Local Government has informed me that it collected approximately €680 million in motor tax during 2003.
The estimated VAT yield on toll roads for 2003 is €6 million. VAT returns are not required to be compiled in a manner that identifies the yield from particular goods and services. The Exchequer also receives an annual fee, known as the gross toll revenue, and it is estimated at €8 million for 2003.
Church Restoration Funding.
Joe Costello
Question:33 Mr. Costello asked the Minister for Finance the basis on which he agreed to sanction a payment of €1.5 million in public funds for the restoration of College Chapel, Maynooth University; if a formal application for a grant was received; the scrutiny or assessment it was subjected to; and whether the payment was agreed at a meeting between himself and the university’s president without civil servants being present. [18586/04]
John Gormley
Question:68 Mr. Gormley asked the Minister for Finance the circumstances in which he made €1.5 million available to the National University of Ireland, Maynooth. [18712/04]
I propose to take Questions Nos. 33 and 68 together.
Over the past two years a total of €1.5 million was made available to college for the purpose of renovating its college chapel.
The president of the college made a detailed presentation on the merits of the project during a discussion with me. My decision to recommend to the Dáil in the Estimates that funding should be made available arose from that encounter. There were no civil servants present during the discussion.
Budget Statements by Ministers for Finance have regularly included announcements of relatively small additions to expenditure to support particular groups or projects. They are usually of a once-off or time-limited nature. The funds for the college's project were not provided in the budget but in the Revised Estimates Volumes for 2003 and 2004.
There are a number of recent precedents for payments of this type. For example, the Christchurch Cathedral in Waterford, St. Isidore's College in Rome and the Irish College in Paris.
The work on the chapel involved the renewal and repair of elements of the external roof fabric, stone parapets, rainwater goods and pointing of external stonework plus an additional rainwater drainage run for the south side cloister roof. The Office of Public Works examined the schedule of works and found it satisfactory. It confirmed that the price was competitive and that it represented value for money. It also confirmed that the firm that successfully tendered to carry out the work had a current C2 certificate and all of the necessary insurance.
Question No. 34 answered with QuestionNo. 8.
EU Budget.
Dinny McGinley
Question:35 Mr. McGinley asked the Minister for Finance the impact on the net flow of funds between Ireland and the EU if Commission proposals for a multi-annual framework for the EU budget were adopted; and Ireland’s key objective in negotiations surrounding the framework. [18677/04]
Last February the European Commission published its proposals for the framework for the EU budget for the period 2007-13, inclusive. It is known as the financial perspective. The Committee of Permanent Representatives in Brussels is chaired by the Irish Presidency. It was assisted by an ad hoc group of experts. It carried out a preliminary examination of the Commission’s proposals. The results of the examination were set out in an analytical report that the Irish Presidency submitted to the European Council last week.
The European Council indicated that it considered the report a useful contribution towards clarifying issues and positions and providing feedback to the Commission. The incoming Netherlands Presidency was invited to continue work on the issues identified. The Council stated that the further work should take full account of the range of positions of member states and respect the timeframe envisaged in the Council's multi-annual strategic programme. That programme envisages that the European Council will aim for agreement on principles and guidelines by December with a view to getting political agreement at its meeting in June next year.
At this early stage of the negotiations it would be premature to estimate the impact on Ireland of either the Commission's proposals or alternative scenarios. More detail will be needed to get a clearer picture of their effect on member states. The Commission has yet to publish its detailed legislative proposals and to issue a report on the EU's own resources that will form part of the negotiations.
Detailed, intense and tough negotiations lie ahead over the next year. The impact on the overall flow of funds between Ireland and the EU will essentially be determined both by the contribution that Ireland will make to the budget under whatever EU own resources arrangements prevail after 2006. It will also be determined by our receipts under the Common Agricultural Policy and cohesion or structural policy.
It is clear that Ireland is moving towards becoming a net contributor to the budget and this reflects our substantial prosperity. The timing and extent of the move will depend on the outcome of the negotiations.
Ireland's objective in the negotiations will be to secure the best outcome for us in the context of the most appropriate policies for the enlarged Union. We must ensure there is adequate funding for the already agreed CAP and seek an acceptable and equitable outcome for Ireland on the future cohesion policy. Our approach will also be influenced by our prospective net contributor status and the need to keep our contribution at the level appropriate for the financing of agreed EU policies.
Commission Investigation Powers.
Mary Upton
Question:36 Dr. Upton asked the Minister for Finance the reason he did not act on the suggestion from the Standards in Public Office Commission to consider amending section 21(4) of the Standards in Public Office Act 2001 to provide it with additional powers of investigation into evidence of compliance with the Tax Acts provided to it by Members of the Houses of the Oireachtas. [18613/04]
As I informed the House in a previous reply, a suggestion was made to me by the Standards in Public Office Commission in December 2003. It wanted consideration to be given to amending section 21(4) of the Standards in Public Office Act 2001. It would enable the commission to conduct additional investigations into evidence of tax compliance provided to it by Members. Such evidence takes the form of a tax clearance certificate and a statutory declaration that must be provided to it by a Member within a certain period.
The suggestion raised a number of issues on the functions of the Revenue Commissioners. One such issue is information obtained in the course of an investigation that may already have been undertaken by Revenue into an individual's tax affairs. In particular, the amendment suggested gave rise to the question of waiving Revenue confidentiality for such tax affairs. Issues also arose in the context of a prosecution for a false statutory declaration. It related to the evidential status of information that may have been obtained by the Revenue Commissioners for the purposes of recovering tax, interest and penalties due.
These considerations may not present insurmountable obstacles to the commission's suggestion. However, they support my view that the need for additional powers of investigation for it under section 21(4) was not established. The Revenue Commissioners have considerable powers to investigate the tax affairs of any person, including Members. They can pursue, as appropriate, the relevant penalties in the case of non-compliance. Any Member in breach of his or her tax obligations or who may have made false tax returns faces the prospect of investigation under the Tax Acts.
On 5 May the Standards in Public Office Commission issued a press statement. It stated that the Committee of Members' Interests of Dáil Éireann had determined, by resolution, that an investigation should be carried out by the Commission pursuant to section 22(2)(5)(b) of the Ethics in Public Office Act 1995, as inserted by Schedule 1 of the Standards in Public Office Act 2001. It would be prudent to await the outcome of the investigation before commenting further.
The Department of Justice, Equality and Law Reform is considering, in consultation with my Department, a separate suggestion by the commission. It wants to amend the Petty Sessions (Ireland) Act 1851 by changing the timescale whereby a possible offence under section 6 of the Statutory Declarations Act 1938 could be referred to the Director of Public Prosecutions. I await the deliberations of that Department.
Tax Code.
Michael Noonan
Question:37 Mr. Noonan asked the Minister for Finance if he plans to make commitments on the tax code as part of the process of securing a national pay settlement; and the taxation areas in which the social partners have sought changes. [18690/04]
The Government and the parties have recommitted to the provisions on taxation set out under section 3.3 of Sustaining Progress. In concluding the pay agreement for the next 18 months, IBEC and ICTU have impressed on the Government the need to support the agreement with appropriate measures.
Questions Nos. 38 and 39 answered with Question No. 8.
Fiscal Policy.
Ciarán Cuffe
Question:40 Mr. Cuffe asked the Minister for Finance the plans he has to increase public spending in view of the fact that Exchequer returns exceed expectations. [18708/04]
Bernard J. Durkan
Question:42 Mr. Durkan asked the Minister for Finance the degree to which Government expenditure to date in 2004 is in line with targets; and if he will make a statement on the matter. [18634/04]
Eamon Gilmore
Question:67 Mr. Gilmore asked the Minister for Finance the main features of the Exchequer returns for the first five months of 2004; the way in which spending and the tax take for the first quarter compares with the projected levels; if he intends to review any of the budgetary targets for 2004 in view of these returns; and if he will make a statement on the matter. [18589/04]
I propose to take Questions Nos. 40, 42 and 67 together.
The full, detailed Exchequer statement is published on my Department's website each month. The Exchequer balance for the first five months of 2004 showed a deficit of €0.5 billion. My Department's budget day forecast is for a deficit of €2.8 billion for the year as a whole. At the end of May there was a current budget surplus of €0.7 billion and a capital budget deficit of €1.2 billion.
At the end of May 2004 — the latest date for which figures are available — tax receipts amounted to €13.3 billion, which is €0.6 billion, or 5%, ahead of the Department's tax profile published in January. The bulk of the excess was due to a better-than-expected performance from income tax, which was €252 million over target and included once-off receipts from special investigations such as the Offshore Assets Group investigation, and capital gains tax, which was €241 million over target. The bulk of the capital gains tax excess occurred in the first quarter of 2004 with receipts since that time slowing down. This slowdown is expected to continue. Stamp duties and VAT were ahead of profile to the end of May and excise receipts were on target, but corporation tax receipts were behind profile.
Overall net voted spending, at €12.2 billion, was €0.6 billion, or 5.2%, below the Department's spending profile. Both current and capital spending were behind profile, which is a reflection of a range of timing factors. The budget 2004 spending projections for each Department were updated in the 2004 Revised Estimates for Public Services which were published last February. The REV provided €32.9 billion for net voted spending on departmental services in 2004. My expectation is that the overall and departmental spending outturn will be broadly in line with the February target.
I have no plans to increase public spending over the substantial provisions in the 2004 REV and, as I indicated in a reply to a previous question, it is neither practical nor prudent to adjust tax rates between budgets.
Question No. 41 answered with QuestionNo. 8.
Question No. 42 answered with QuestionNo. 40.
Question No. 43 answered with QuestionNo. 8.
Public Representatives’ Salaries.
Dan Boyle
Question:44 Mr. Boyle asked the Minister for Finance if consideration is being given to placing a limit on the wages of elected public representatives in receipt of two or more salaries. [18705/04]
The legislation governing the pay of members of the Oireachtas, ministerial and parliamentary officeholders and Irish Members of the European Parliament does not place any restriction on the individuals concerned receiving another salary, either as a public representative or otherwise. I do not propose to introduce any such restriction. However, as the Deputy will be aware, the European Parliament Elections (Amendment) Act 2004 provides for the termination of the dual mandate for a person who is a member of either House of the Oireachtas and the European Parliament with effect from the next general election. Dual membership of either House of the Oireachtas and of a local authority was abolished under the Local Government (No. 2) Act 2003.
EU Presidency.
Trevor Sargent
Question:45 Mr. Sargent asked the Minister for Finance if he will report on his involvement during Ireland’s Presidency of the European Union. [18716/04]
The Presidency period has been a very busy, but rewarding, period for both my Department and me.
As Minister, the most important role I assumed during the Presidency was that of President of the Council of Economics and Finance Ministers of the EU, ECOFIN and of the Eurogroup, which comprises the 12 Finance Ministers of member states whose currency is the euro. This required drawing up and publishing in advance of the Presidency a policy work programme for the Council and Eurogroup and chairing both the ECOFIN and Eurogroup meetings held each month, January to June, to address this programme. Both the Council and Eurogroup normally meet in Brussels or Luxembourg, with one informal meeting per Presidency period held in the member state that holds the Presidency.
Our informal ECOFIN meeting was held in Punchestown, County Kildare, on 2-4 April. Some 250 delegates and over 300 media personnel attended. Besides the 25 Ministers, including ten representing the countries who at that point were about to join the EU, the participants included the 25 national Central Bank governors, the President of the Commission, Romano Prodi, Commissioners Solbes, Bolkestein and Schreyer, President Trichet of the European Central Bank and President Maystadt of the European Investment Bank. The meeting was one of the largest to take place in Ireland during the Presidency and was regarded as highly successful both on the organisational and policy aspects.
As President of the Council I also represented ECOFIN and put forward its views at important international meetings with our global partners, such as the World Bank, the International Monetary Fund and the Group of Seven, G7, Ministers for Finance. I attended, with the Taoiseach, the European Council meeting of Heads of State or Government in March in Brussels. In addition the Minister of State at my Department, Deputy Parlon, hosted an important meeting of regional Ministers of the EU in Portlaoise, County Laois, on 26-27 February.
Other Presidency events hosted by my Department that required significant logistical preparation were the Asia-Europe Meeting, ASEM, held at Finance Ministers' Deputies level in Cork in March, and the meeting of EU budget officials in Tullamore and the meeting of Directors General for Public Administration in Dublin Castle, both of which were held in May.
The work programme priorities that I set for the ECOFIN for the Presidency can be accessed on the Presidency website at www.eu2004.ie.
Two of the most significant priorities in the programme were the promotion of economic growth and coping with the effects of enlargement. The overall programme could be summarised broadly under the following headings: preparation of ECOFIN Presidency's key issues paper for the spring European Council on the Lisbon Agenda to promote the EU economy; examination of member states' stability and convergence programmes under the Stability and Growth Pact; integration of the new member states into the EU's economic policy co-ordination and Lisbon processes; preliminary consideration of the post-2006 financial perspective that determines the medium-term framework for the EU budget, and the future regional policy in the EU; pushing forward with legislation in financial services and other sectors; four Presidency joint initiative on better regulation welcomed by Heads of State and Government at the spring European Council; and certain other areas, most notably the initiative for growth proposed by the Italian Presidency of the second half of 2003. All these elements of the programme were completed successfully.
Apart from these achievements in the ECOFIN context, my Department and I were heavily involved in the economic aspects of the EU constitutional treaty negotiations successfully concluded by the Taoiseach on behalf of the Irish Presidency at the recent European Council. Our national concerns in the negotiations in regard to taxation, economic governance and EU budget procedures were fully safeguarded in the final agreed text.
My overall assessment would be that, on both the organisational and the policy aspects, the Presidency, in the economic and financial areas represented by my Department and me, has had a very good record of achievement and in this respect has made a significant contribution towards the overall success of the Irish Presidency.
Private Sector Pay.
Brendan Howlin
Question:46 Mr. Howlin asked the Minister for Finance if his attention has been drawn to the recent report from the Federation of European Employers showing that pay levels here remain among the lower range in western Europe; the Government’s views on the appropriate level of wage increase for private sector workers in the second half of the Sustaining Progress deal; and if he will make a statement on the matter. [13815/04]
The report to which the Deputy refers is Pay in Europe 2004, which was compiled by the Federation of European Employers. This is a very limited survey comparing a small number of job types across a range of countries. I do not believe this is the most reliable indicator of the relative position of Ireland when it comes to wage levels.
Official European Commission statistical data show a very different picture. Compensation per employee in Ireland is almost 10% above the EU15 average in 2004, and over 20% greater than the average for the expanded Union of 25.
This presents a significant challenge for Ireland as we go forward. The competitiveness of the Irish economy is a key factor in our economy's potential to grow. I am satisfied that the level of pay increases agreed for the second phase of Sustaining Progress will help to safeguard Irish competitiveness over the next 18 months. They should act to bring Ireland closer to the average increase pertaining in the EU as a whole.
Civil Service Promotion Systems.
Pat Breen
Question:47 Mr. P. Breen asked the Minister for Finance if he has satisfied himself that the promotion systems operated within the Civil Service are achieving best international practice; and if he will make a statement on the matter. [18657/04]
I am satisfied that the Civil Service is operating a best practice model for promotion systems.
Best practice for both recruitment and promotion, as accepted internationally, involves the use of a process whereby each candidate is objectively assessed against the requirements of the job and selected on that basis. This selection process can involve a number of different methods, including aptitude testing, assessment of competencies and interviews.
In recent years, the Civil Service Commissioners and Departments have put in place a range of modern selection systems to improve interdepartmental promotion competitions at all grades including key management levels within the Civil Service. The Civil Service Commissioners have carried out comprehensive job analysis studies in line with best practice models on all the main general service grades, and these are informing the selection process.
With regard to promotions within Departments, which are not handled by the Civil Service Commissioners, the modernisation programme outlined in the Sustaining Progress agreement contains a number of important measures designed to improve promotions procedures. In particular, the agreement commits the Civil Service to "greater use of competitive, merit-based promotions within Departments".
In 2003, a cross-departmental group of assistant secretaries examined the area of competitive promotions within Departments in the light of the best practice in Ireland and elsewhere, and considered the steps that should be taken by Departments to meet the commitments in this regard. The group recommended that the personnel officers' network, in consultation with the Civil Service Commissioners, draw up detailed guidelines on appropriate competitive processes, to further strengthen the internal promotions systems currently in operation in Departments. This is currently being done. In addition, my Department, in consultation with the Civil Service Commissioners, is also drawing up best practice guidelines on methods of selection that will be issued to Departments shortly.
I am confident that the promotion procedures being used within the Civil Service are in line with international best practice.
Benchmarking Awards.
Arthur Morgan
Question:48 Mr. Morgan asked the Minister for Finance if his attention has been drawn to the incidences in which employers are not paying the benchmarking awards agreed under recent social partnership agreements contrary to the terms of those agreements; if so, the actions he intends to take to ensure employers are complying with terms of the agreements; and if he will make a statement on the matter. [17948/04]
The benchmarking increases are being paid by public service employers to public service employees on foot of the agreement encompassed by the national partnership programme — Sustaining Progress — and in accordance with the recommendations of the Public Service Benchmarking Body. Provision for the payment of the increases, which is subject to certain conditions, is contained in section 19 of the Sustaining Progress agreement. This section of the agreement deals with public service pay only.
I am not aware of any public service agency which has not made the payments due to staff entitled to receive the increases where the staff have fully complied with the provisions of Sustaining Progress.
I understand that some private sector companies who are grant aided by the Exchequer have received claims for benchmarking-related increases from their staff. The question as to how these claims should be managed is a matter for the companies themselves.
Question No. 49 answered with QuestionNo. 8.
Equal Opportunities.
Trevor Sargent
Question:50 Mr. Sargent asked the Minister for Finance his views on the theory that inequality is good for the economy. [18717/04]
It is important not to confuse inequality with equal opportunity. During my term as Minister for Finance, providing equal opportunity of access to the labour market and incentivising employment has been my priority. I have consistently implemented policies designed to reduce inequality in incomes, increase living standards and tackle poverty throughout Ireland. The significant changes I have made in the income tax system, such as the standard rating of tax credits and putting the standard rate band on a per person basis, are testament to my commitment to equality of opportunity. In the seven years I have been Minister for Finance, I have exempted 90% of the national minimum wage from income tax while more than 35% of income earners are now exempt from income tax. The huge increase in the numbers in employment proves that this Government has succeeded in providing equal opportunities in the labour market for those who are willing and able to work.
The Government has also protected and enhanced the position of people in receipt of a social welfare payments. Since 1997, the rate of the old-age contributory pension has increased by almost 70%, which is well in excess of inflation over the period. All other social welfare rates have also significantly increased in real terms since 1997.
Question No. 51 answered with QuestionNo. 9.
Question No. 52 answered with QuestionNo. 15.
Question No. 53 resubmitted.
Tax Collection.
Willie Penrose
Question:54 Mr. Penrose asked the Minister for Finance the progress made by his Department and the Revenue Commissioners in their consideration of the recommendations of the Revenue Powers Group; and if he will make a statement on the matter. [18605/04]
I established the Revenue Powers Group, chaired by Mr. Justice Frank Murphy, to examine Revenue's main statutory powers and report to me on changes needed. As I have pointed out to Deputies in my response to several parliamentary questions over the past few months, I have decided to allow a period for debate and public reflection on the many and varied issues with which the group's report deals. I published the group's report on 4 February 2004 to facilitate this process. With one important exception, I did not implement any of the group's recommendations in the Finance Act 2004. This exception involved a power to allow Revenue to access information held by a non-resident entity over which a domestic financial institution has control, a matter which would have arisen anyway. However, I will review all of the group's recommendations for next year's Finance Bill. In the circumstances, I remain of the view that it is not appropriate to comment now on individual recommendations.
Question No. 55 answered with QuestionNo. 8.
Tax Code.
John Bruton
Question:56 Mr. J. Bruton asked the Minister for Finance the action he has taken on the views expressed by the Comptroller and Auditor General in his 2003 report on his Department’s failure to calculate the cost of many tax incentive schemes and tax expenditure. [18559/04]
As the Deputy may be aware, in general it is the Office of the Revenue Commissioners which is the main source of information, statistics and data on tax incentives and expenditures. However, Revenue's primary function is founded on the administration of the tax system and the collection of tax. The collection of statistical information flows from that primary function. The trend to simplify returns made by taxpayers has meant that some tax reliefs are returned in aggregate form. The result is that total costs of the individual reliefs concerned cannot always be readily identified. For example, capital allowances are treated in this way. On the other hand, where information in relation to individual reliefs is provided separately on the tax returns form, it can be captured electronically and may be examined centrally by Revenue. An example of this is the data relating to the artists' exemption where virtually all the information relating to numbers of claimants and the amounts exempted from tax can be obtained.
I am of the view that it is important that data be improved to facilitate assessments of such expenditures and reliefs. In this context, my Department has been working closely with the Revenue Commissioners to investigate information and data capture issues arising with a view to producing possible solutions. I am also conscious that capturing additional information on tax return forms must be considered in the context of not over-burdening compliant taxpayers. On foot of this work, the Revenue Commissioners will be introducing a number of changes to the forms relating to the annual return of income in respect of the tax year 2004 and to the P35 form, which is returned to Revenue at year's end with totals for earnings and deductions for each employee, in respect of the tax year 2005. These changes will yield additional information regarding the cost of various tax reliefs and relief in relation to pensions.
I included provisions in Finance Act 2004 to underpin these changes. In addition, the use of the Revenue on-line system, ROS, has been increasing and will continue to be encouraged. Returns filed using ROS can more readily accommodate information data capture. Some changes have already been made in this area. As the Deputy will be aware, I stipulated in the Finance Act 2003 that returns of income must henceforth be made for stallion stud fees and commercially managed woodlands. I do not believe that each and every relief needs to be captured as some of them are on such a small scale that the cost involved would not be commensurate with the value of the information sought. An example is the relief for thalidomide victims or HIV groups. Equally, the manner of capturing information on tax reliefs is not limited to examining return forms. For example, there is no need to seek information on tax returns in relation to the tax exemption for child benefit as the cost involved can readily be estimated from other available data.
Detailed reviews of the costs and benefits of various tax reliefs are carried out from time to time. Examples of this are the reviews carried out on tax reliefs for urban renewal, films and the business expansion scheme.
Garda Stations.
Jimmy Deenihan
Question:57 Mr. Deenihan asked the Minister for Finance if agreement has been reached on the acquisition of a site for the new Garda station in Castleisland County Kerry; and if he will make a statement on the matter. [18555/04]
The Commissioners of Public Works are continuing negotiations to acquire a suitable site in Castleisland for a new Garda station. All going well, they expect to acquire a suitable site in the near future.
Tax Code.
Jan O'Sullivan
Question:58 Ms O’Sullivan asked the Minister for Finance the progress that has been made by the Revenue Commissioners in their discussions with the Portuguese authorities with a view to closing off tax loophole which allows those who sell off assets here to avoid tax by taking up residence in such countries as Portugal; and if he will make a statement on the matter. [18602/04]
In response to previous parliamentary questions on this matter, I stated that a first round of negotiations between the authorities in Portugal and the Revenue Commissioners for a protocol to amend certain provisions of the Ireland-Portugal double taxation convention was held in Lisbon in May 2003. I am informed by the Revenue Commissioners that a second round of negotiations took place in Dublin in May 2004. The Revenue Commissioners are still in discussion with the Portuguese authorities and the Deputy will, therefore, appreciate that it is not possible at this stage of the negotiations to comment further on their likely outcome.
As I also mentioned in my previous replies to questions on this matter, section 69 of the Finance Act 2003 amended Irish domestic law to impose a charge to capital gains tax on an individual in respect of a deemed disposal of certain assets on the last day of the last year of assessment for which the individual is taxable in the State, prior to becoming taxable elsewhere, where the individual disposes of these assets while resident outside the State and returns to the State within five years. I announced this anti-avoidance measure in my 2003 budget on 4 December 2002 and it had effect from that date.
Public Service Contracts.
Kathleen Lynch
Question:59 Ms Lynch asked the Minister for Finance the main changes to public sector procurement procedures announced by him on 12 May 2004; and if he will make a statement on the matter. [18587/04]
My recent announcement follows what I said in the 2004 Budget Statement about my intention to introduce significant changes in the areas of public sector contracts for construction and construction-related services. These changes are intended to complement the new rolling multi-annual investment envelopes, which amount to over €30 billion in the period to 2008, and to provide better value for money for the State. The changes will involve the amendment and introduction of new standard forms of construction contracts which will transfer appropriate risks to contractors where they are best placed to manage them. The purpose of this initiative is to help reduce the scale and scope of cost overruns on construction projects and enable public sector bodies to control construction projects more effectively. While there are many causes of cost overruns, this initiative seeks to address an important component which can help improve cost control and facilitate improved budget planning going forward.
Under current arrangements, in many parts of the public sector the bulk of risks are borne and paid for by the public sector body at the end of the contract which can result in a significant difference between the price set for the project at tender award stage and the final price paid by the public body. Under the new approach, contractors will be required to submit competitive tenders where the price — including a cost for the identified risks they intend to manage and control — is tendered for on a lump-sum, fixed-price basis. This contract price should remain firm and fixed for the duration of the project to the greatest extent possible. It is accepted that the risk transfer will carry a cost in terms of higher up-front tender prices but that the final cost of the project should be less than under current contract arrangements.
In the context of construction-related services such as those supplied by architects and engineers, I want to move away from a situation where fees rise as projects costs rise. Some areas of the public service are already making progress in that regard and I would like to see the practice become the norm. It is proposed to introduce greater competition into the procurement process without compromising on quality.
Question No. 60 answered with QuestionNo. 8.
Departmental Properties.
Pat Breen
Question:61 Mr. P. Breen asked the Minister for Finance if a review will be arranged of the policies and practices in relation to the disposal of equipment and stocks which are surplus to requirement by public sector bodies to ensure that value for money from such disposal is maximised. [18654/04]
First, I would point out that primary responsibility for management and disposal of their assets rests with Government Departments and public bodies. As Accounting Officers, Secretaries General of Departments are personally accountable to the Public Accounts Committee, PAC, for the regularity and propriety of transactions and for economy and efficiency in the use of resources and systems in their Departments.
My Department has a strong concern to ensure that all public assets are properly managed, accounted for and disposed of in a manner which secures maximum value for money for the taxpayer and there are a number arrangements in place to ensure that this is the case.
The Department of Finance Public Financial Procedures, or Blue Book, provides general guidance to Civil Service Departments on asset management. Departments are required to have asset management systems in place which ensure that assets are acquired only when needed, are adequately controlled and maintained, are properly safeguarded and disposed of, and that utilisation is monitored. Guidelines on internal audit standards provide that the range of activities conducted by internal audit functions in Departments and offices should include reviewing the compliance with procedures for the acquisition and disposal of assets and their safeguarding.
My Department's 1994 Guidelines on Public Procurement, or Green Book, states that the disposal or letting of property should be dealt with by competitive tendering or by auction in order to ensure that disposals are both transparent and likely to achieve a fair price. It also provides for the possible disposal of surplus materials elsewhere in the public sector and this possibility should be investigated before disposal by contacting other likely users.
Department of Finance Circular 30/03 sets out the principles, intended to maximise value for money, which should be applied when disposing of IT equipment. Among the requirements are that disposal of unwanted equipment should be carried out in the most financially advantageous manner possible, including minimising storage and removal costs and that it should be sold at market value, in accordance with the general guidelines for the disposal of State assets, regardless of the depreciated book value. This may include sale to staff. Any items found to have zero market value may be given free to staff, schools, charities etc.
The conditions attaching to the capital envelopes announced in the budget include a requirement on Departments to enter into appropriate contractual arrangements for all grants of public funding to private companies and individuals or community groups to safeguard the State's interest in such assets.
As part of updated procedures for the control and management of expenditure, which included incentives for Departments to improve efficiency and cost-effectiveness, the Government decided in November 2002 that Departments could use the proceeds from the disposal of surplus property to finance high priority capital projects within their area of responsibility. The prior approval of my Department is required to any such proposal.
As regards semi-State bodies, the Code of Practice for the Governance of State Bodies addresses in considerable detail the disposal of assets by any State-sponsored body — whether commercial or non-commercial. The code was approved by Government in October 2001 and is binding on all State-sponsored bodies. Under the code it is necessary to ensure that transparency applies and that a fair market price is achieved. The disposal of assets with an anticipated value at or above a threshold of €70,000 should be by auction or competitive tendering. Any exceptional cases, where assets above the threshold have been disposed of without auction or competitive tendering, must be set out in detail and explained in the chairp erson's annual report to the relevant Minister. Chairpersons are required to affirm, in their annual report to their respective Ministers, that the disposal procedures set out in the code have been complied with.
I believe that the guidance and arrangements in relation to the management and disposal of assets which are in place provide sufficient encouragement and advice to Departments and public bodies to enable them to secure maximum value for money in relation to the management and disposal of their assets.
Financial Services Regulation.
Brendan Howlin
Question:62 Mr. Howlin asked the Minister for Finance if he has satisfied himself with the current arrangements for the supervision of the credit union in view of ongoing reports of problems and irregularities in a number of credit unions; and if he will make a statement on the matter. [13816/04]
The Credit Union Act 1997 provides the framework for the regulation of credit unions in the interests of their members. To this end, it lays down various restrictions designed to ensure that the savings of members are not put at risk. With the enactment of the Central Bank and Financial Services Authority of Ireland Act 2003 responsibility for statutory supervision of credit unions under the Credit Union Act 1997 passed from the Registrar of Friendly Societies to the Registrar of Credit Unions within the Irish Financial Services Regulatory Authority, IFSRA. The registrar states in IFSRA's recently published progress report that he has initiated a structural reform process to enhance regulatory and inspection activity in relation to credit unions, and that a systematic basis of communication with the representative associations has been agreed. The registrar further explains in the report that a key priority has been the upgrading and strengthening of the present statutory prudential supervision system by means of off-site supervision with a new quarterly reporting system due to commence soon. In addition a programme of more frequent on-site review meetings with individual credit unions has been embarked upon.
It is a matter for the registrar and IFSRA to ensure that the supervision of credit unions is both appropriate to the type of institution concerned and sufficient to the needs of consumer protection. As Minister, I am open to considering changes in legislation where these seem necessary.
Non-Resident Accounts.
Ruairí Quinn
Question:63 Mr. Quinn asked the Minister for Finance the progress made by the Revenue Commissioners into allegations that tax improprieties may surround trust operations in a bank (details supplied) in Jersey; if Revenue has reached any determination as to whether these trusts facilitated tax evasion as distinct from tax avoidance; and if he will make a statement on the matter. [18604/04]
I am informed by the Revenue Commissioners that this investigation is still ongoing and that substantial progress has been made. Arising from a voluntary disclosure programme, 254 individuals came forward and made voluntary disclosures. To date in excess of €105 million has been received by the Revenue Commissioners. They now intend to pursue vigorously those individuals who failed to come forward, using all powers available. Criminal prosecution will be considered in these cases subject to obtaining the relevant evidence.
It is clear from some of the disclosures and the amount collected to date that some trusts were used to evade tax.
Capital Allowances Scheme.
Liam Twomey
Question:64 Dr. Twomey asked the Minister for Finance if his Department’s attention has been drawn to the new private hospitals being built by investors availing of current tax relief; and his views on the current situation whereby 30% of publicly funded beds are used by privately insured patients who essentially contribute a second time to the funding of these hospitals. [18560/04]
In Finance Act 2001 I provided for a scheme of capital allowances in respect of capital expenditure incurred on the construction or refurbishment of buildings used as private hospitals. This legislation was amended in Finance Act 2002 following consultations with the EU Commission from a state aid perspective. In order to qualify for the allowances, the hospital must have the capacity to afford medical or surgical services all year round. It must provide a minimum of 70 in-patient beds, out-patient services, operating theatres and on-site diagnostic and therapeutic services and have facilities to provide at least five specialist services, ranging from accident and emergency to oncology and cardiology etc. While the hospital will provide services to those patients with private health insurance, 20% of the bed capacity must be available for public patients, and the hospital must provide a discount of at least 10% to the State in respect of the fees to be charged in respect of the treatment of public patients. Fulfilment of the above criteria will, in the main, be certified by the local area health board.
The capital allowances regime provides for a seven year write-off period. Allowances of 15% a year are available for the first six years with the balance of 10% being written off in year seven. The allowances will be subject to a clawback if the building ceases to be a qualifying hospital within ten years. The allowances are subject to the usual €31,750 limit per annum on the amount of capital allowances which an individual passive investor can set against non-rental income.
The implementation of the legislation in relation to private hospital developments is a matter for the local health board and the Revenue Commissioners in the first instance. However, I understand from the Department of Health and Children that it is aware of a number of proposals to develop private health care facilities which are at various stages of planning and development, and which may come within the provisions of the relevant legislation.
In relation to public hospitals, all persons irrespective of income are entitled to in-patient treatment, subject to certain statutory charges. As a matter of choice, certain persons also avail of the option to buy private health insurance which, depending on the nature of cover purchased, entitles them to treatment in either private beds in public hospitals or in private hospitals.
The provision of private care in public acute hospitals has been a long standing feature of the Irish health care system. The 1999 White Paper on Private Health Insurance set out the advantages of allowing private practice on public hospital sites, as follows: it helps to ensure that medical and other staff of the highest calibre continue to be attracted into and retained in the public service; it promotes the efficient use of consultant's time by having public and private patients on the one site; it represents an additional income stream to the public hospital system; and it allows patients to avail of private health care when admitted as emergencies to public hospitals.
The consultants' common contract includes a provision to allow consultants treat private patients in public hospitals and in private hospitals. Beds in public hospitals are designated public or private. On average 20% of the beds in public hospitals are designated as private beds.
The key policy challenge is to ensure that a fair balance is achieved and that patients dependent on the public system are not disadvantaged. Policy responsibility in that regard rests with my colleague, the Minister for Health and Children.
Revenue Investigations.
Joe Sherlock
Question:65 Mr. Sherlock asked the Minister for Finance the number of High Court orders sought to date by the Revenue Commissioners under the Finance Act 1999 to require financial institutions to supply names, addresses and other relevant information regarding holders of bogus accounts at the latest date for which figures are available; the number of cases where orders have been granted; the general progress made to date in identifying the holders of such accounts who did not avail of the recent voluntary disclosure scheme; and if he will make a statement on the matter. [18610/04]
Authorised Revenue officers are empowered to make an application to a judge of the High Court seeking an order requiring financial institutions to supply names, addresses and other relevant information concerning account holders who may have held bogus non-resident deposit accounts. Such applications are made under section 908 of the Taxes Consolidation Act 1997, as amended by the Finance Act 1999.
I am advised by the Revenue Commissioners that 18 applications for orders under section 908 have been made and have been granted. When one includes institutions which have been taken over or amalgamated with other institutions, these orders seek information in respect of accounts in 26 financial institutions. No further applications for such orders are pending in regard to the bogus non-resident account inquiries.
A large volume of information has been reported to Revenue under the High Court orders. Inquiry work in relation to the examination of the first batch of taxpayers commenced on 11 October 2002. Further general issues of inquiry letters were made in January, May, July, September and October 2003 and January 2004. These general inquiry letter issues relate to 91,000 non-resident accounts that had Irish addresses connected to them. A total of 177,000 inquiry letters have been issued to taxpayers in respect of these non-resident accounts. The final general inquiry letter issue took place in January 2004.
While it is clear that the Revenue Commissioners are facing a long programme of investigations they have informed me that they are satisfied that significant progress has been made in this the final phase of the investigations. Since 15 November 2001 payments of €302 million have made to Revenue by taxpayers who held bogus non-resident accounts.
Tax Compliance.
Róisín Shortall
Question:66 Ms Shortall asked the Minister for Finance the progress made to date by the large cases division established within the Revenue Commissioners; and if he will make a statement on the matter. [18600/04]
I am informed by the Revenue Commissioners that the division was established last October. It is responsible for ensuring the highest possible level of tax and customs compliance by 340 of the largest business enterprises. This means firms with an annual turnover in excess of €125 million. The division is also responsible for 250 of the wealthiest individual taxpayers or those with an estimated net worth in excess of €125 million. It also deals with the entire financial services sector. Business units have been built around the main economic sectors and high wealth individuals and two further specialist units concentrate on counter-avoidance work.
The division operates a two-pronged strategy to ensure compliance. This involves audit and control programmes based on assessment of the risks in any area of tax or customs. There is also direct contact with the management of large businesses to encourage and support high compliance practices. An explanation is given on the downsides of non-compliance in terms of interest, penalties, publication and potential prosecution.
To date the division has written to all its large businesses and wealthy individuals explaining its strategy. It has met senior management of around 150 businesses as part of a programme that will involve meeting them all over the next year. Bilateral meetings have taken place with the main accountancy or tax advisory firms that deal with large businesses. Recently a seminar was held for the accountants or tax advisers.
Contact persons have been assigned to all the large businesses and wealthy individuals and they are now working with them. This is to help ensure the growth in Revenue of knowledge of these businesses and of their sectors to allow greater understanding of the main risk areas. The office want to ensure that the taxpayer and the tax adviser's interpretation of tax, customs law and practice corresponds with its interpretation.
Profiles of the risks associated with each tax and with customs have been compiled. At present profiles of the business sectors, businesses and individuals, including risk profiles, are being assembled to ensure that the audit programmes are directed at the areas of highest risk.
Substantial training and retraining of the division's staff has been under way for some months. They are being equipped to deal with the business and technical complexities presented by large taxpayers across the entire range of taxes, duties and customs. The training includes specialised training in computer auditing and forensic auditing.
Audit and control programmes are under way in all the business units. They focus on issues associated with the risk areas identified.
Question No. 67 answered with QuestionNo. 40.
Question No. 68 answered with QuestionNo. 33.
Freedom of Information.
Eamon Gilmore
Question:69 Mr. Gilmore asked the Minister for Finance if, in view of the huge decrease in the number of applications received under the Freedom of Information Act 1997 and in the number of cases where decisions made by a Department are processed to internal appeal, he will review the restrictions imposed by the Freedom of Information (Amendment) Act 2003; and if he will make a statement on the matter. [18588/04]
I have no plans to review the Freedom of Information (Amendment) Act 2003. These amendments were focused on key provisions of the Act relating to sensitive areas of Government activity and followed careful consideration of the operation of the legislation by the high level group of Secretaries General.
A number of amendments, particularly those relating to up-front fees, were intended to strike a better balance between the cost of administering freedom of information requests and the need to continue to allow people have access to information. I am satisfied that a better balance has been struck and that a greater appreciation of the service provided by public bodies and more considered and responsible use of the Act has resulted.
Question No. 70 answered with QuestionNo. 9.
Tax Yield.
Bernard J. Durkan
Question:71 Mr. Durkan asked the Minister for Finance the extent to which VAT, stamp duty and CAT receipts to date in 2004 are in line with targets; and if he will make a statement on the matter. [18633/04]
The position at end May 2004 is that Exchequer tax receipts in respect of VAT amounted to €4,921 million. This is €85 million, or 1.8%, ahead of the target to end-May outlined in the profile of expected Exchequer tax receipts in 2004 published by my Department at end-January 2004. Stamp duty receipts amounted to €720 million at end-May which is €66 million, or 10.1%, ahead of target. CAT receipts were €67 million at end-May which is €5 million, or 8.1%, ahead of profile.
Capital Projects Funding.
Mary Upton
Question:72 Dr. Upton asked the Minister for Finance the number of capital projects which have been referred to the National Development Finance Agency; the number which have been approved, the percentage that have been funded by PPPs; and if he will make a statement on the matter. [18614/04]
The role of the National Development Financing Agency is to advise Departments about the optimum means of financing the cost of capital projects in order to achieve value for money, including those procured through a PPP approach or through traditional procurement. Departments and agencies, which are the decision-making bodies, are obliged to seek the advice of the National Development Finance Agency in relation to all capital projects valued in excess of €20 million. For projects valued under that amount the advice of the agency may be sought but is not obligatory. The National Development Financing Agency does not have a project approval role.
I am advised by the agency, which was established just under 18 months ago, that it has completed or substantially completed its input on nine major infrastructure projects with a combined value of over €1 billion. All nine projects have been approved. Three of these projects are PPPs involving private finance of about €660 million.
As I mentioned in my budget 2004 speech in December last, I have initiated a major change in the financial treatment of capital spending by introducing a system of five year multi-annual capital investment envelopes. These envelopes include a commitment to keep the level of Exchequer funded capital investment at close to 5% of GNP over the period 2004 to 2008. A significant development of these capital envelopes is the setting of specific targets for projects financed through public private partnerships or by the NDFA. These targets increase from 3% of total spending in 2004 to 15% by 2008 and amount to €3.6 billion in total. This is in addition to a target of €1.3 billion for PPPs funded by user charges over the same period, giving a total target for PPP/NDFA funded investment of almost €5 billion by 2008. The NDFA will have an important role to play in advising Departments and agencies in regard to the optimum financing of these projects to achieve value for money.
Question No. 73 resubmitted.
Question No. 74 answered with QuestionNo. 9.
Non-Resident Accounts.
Willie Penrose
Question:75 Mr. Penrose asked the Minister for Finance the progress made to date with regard to the negotiations between the Revenue Commissioners and the authorities in the Cayman Islands with a view to the conclusion of a tax information exchange agreement; and if he will make a statement on the matter. [18603/04]
In response to a question on 6 May 2004, I stated that first round negotiations between the Cayman Islands authorities and the Revenue Commissioners for a tax information exchange agreement were held in Dublin on 24 November 2003. I also stated that a second round of negotiations took place on 7 April 2004. Further discussions are planned but as yet no definite dates have been fixed. As the Deputy will appreciate, it is not possible at this stage of the negotiations to comment further on their likely outcome.
Tax Code.
Jim O'Keeffe
Question:76 Mr. J. O’Keeffe asked the Minister for Finance if he will exempt charities from VAT and other taxes or reimburse them directly the amounts involved. [18556/04]
I should explain that charities and non-profit groups are exempt from VAT under the EU Sixth VAT Directive. This means that they do not charge VAT on their services and cannot recover VAT incurred on goods and services that they purchase. Essentially only VAT-registered businesses which charge VAT are able to recover VAT. Nor have I any plans, in the circumstances, to provide for reimbursement. The cost of such a refund would be expensive and could not be justified in view of the considerable and generous tax reliefs and other Exchequer funding already provided to the charitable sector.
The tax code currently provides exemption for charities from income tax, corporation tax, capital gains tax, deposit interest retention tax, capital acquisitions tax, stamp duty, probate tax and dividend withholding tax. In the Finance Act 2001, I provided for a new scheme of tax relief for donations to charities. This is a generous scheme which, I understand, has already been of significant benefit to the charitable sector.
Question No. 77 answered with QuestionNo. 29.
Motor Fuels.
Joan Burton
Question:78 Ms Burton asked the Minister for Finance if he intends to conduct any review of the excise duties or VAT rates levied on petrol and diesel, especially in view of the substantial hike in prices over recent months; if he has an estimate of the likely additional amount that will accrue to the Exchequer as a result of recent price increases; and if he will make a statement on the matter. [18583/04]
As the Deputy will be aware, changes in taxation are made in the context of the annual budget and, accordingly, any requests made regarding changes in tax rates are considered in the period leading up to the budget. The Deputy will appreciate that it is neither practical nor prudent to adjust tax rates between budgets, and especially in response to what may prove to be a short-term problem.
The tax content on petrol and diesel is made up of two elements, the excise content and the VAT content. The excise content of a litre of petrol, or diesel, does not fluctuate with price changes.
The standard VAT rate of 21% is applicable to both petrol and diesel. VAT is charged on the total consideration for the goods supplied. Therefore, an increase in price will result in an increase in the Exchequer yield, mainly from petrol. This is because businesses can recover VAT on diesel and any change to the price does not impact on their VAT liability. However, VAT returns are not required to be compiled in a manner which identifies the yield from particular goods and services. It is not possible therefore to estimate with any accuracy any additional VAT which may accrue to the Exchequer.
It should be noted that Ireland's current excise rates remain well below those of many of our main EU trading partners while the rate for diesel is at the EU average for these member states.
Tax Code.
Breeda Moynihan-Cronin
Question:79 Ms B. Moynihan-Cronin asked the Minister for Finance the progress made to date with regard to the commitment given in An Agreed Programme for Government to remove all those on the national minimum wage from the tax net; and if he will make a statement on the matter. [18596/04]
An Agreed Programme for Government states that over the next five years our priorities will be to achieve a position where all those on the minimum wage are removed from the tax net. The five year period mentioned commenced two years ago when the Government was elected to office. I should also point out that the commitment to exempt the minimum wage from tax is given in the context of a broader economic and budgetary strategy which provides, among other things, that the public finances will be kept in a healthy condition and that personal and business taxes will be kept down in order to strengthen and maintain the competitive position of the Irish economy.
The current national partnership agreement, Sustaining Progress, contains a commitment in generally similar terms. The statutory minimum wage is an average hourly rate of gross pay for an employee as defined under the National Minimum Wage Act 2000. The wage currently stands at €7 per hour having been increased on 1 February 2004 from the previous amount of €6.35 per hour. The annualised equivalent of the present minimum wage is just under €14,200.
I would remind the Deputy that it was the current Government parties who legislated for the introduction of the statutory minimum wage which came into effect in April 2000. At that time less than 64% of the annualised figure of €11,330, £8,923, was exempt from taxation. In the 2002 budget, 90% of the minimum wage became exempt from tax and this position has been maintained in the 2003 and 2004 budgets even though the minimum wage has increased twice in the intervening period. Currently, the position is that a single PAYE person may earn up to €12,800 — 90% of €14,200 — without paying tax.
In my reply to a question from Deputy Costello on 6 May 2004, I indicated that the question of when those earning an amount equivalent to the statutory minimum wage annualised will not be liable for income tax is a matter for consideration in the context of annual budgets over the next number of years consistent with the Government's overall economic and budgetary strategy and with the Government's commitments in An Agreed Programme for Government and Sustaining Progress. That remains my position.
Question No. 80 answered with QuestionNo. 8.
Revenue Investigations.
Ruairí Quinn
Question:81 Mr. Quinn asked the Minister for Finance the number of breaches detected of the Waiver of Certain Tax, Interest and Penalties Act 1993 in respect of each year since 1994; the number of prosecutions initiated and convictions secured arising from such detections; if he is satisfied that the law is being applied in the manner intended by the Oireachtas; and if he will make a statement on the matter. [18606/04]
I am advised by the Revenue Commissioners that there are two ways in which a taxpayer may have been in breach of the amnesty, first, in making a false declaration or, second, in not making a declaration. I am informed that Revenue do not have figures for the number of detected breaches of the amnesty. Because of the confidentiality conditions built into the 1993 amnesty legalisation such breaches are difficult to identify and prove.
No individual has been successfully prosecuted to date for failure to comply with the obligatory provisions of the Waiver of Certain Tax, Interest and Penalties Act 1993.
Growing numbers of individuals and companies have been successfully prosecuted in recent years as a result of Revenue investigations, and although these investigations have in some instances involved consideration of possible amnesty breaches, it was not possible in any of them to obtain the evidence necessary to meet the required standards of "beyond reasonable doubt" in relation to those offences. Revenue's criminal investigation programmes have been refocused recently with the establishment of an investigations and prosecutions division, one of whose functions is to increase the number of prosecutions for serious tax evasion. Where in the course of investigations, amnesty offences are identified they will be investigated with a view to taking a criminal prosecution.
Given the evidential difficulties which arise in successfully bringing a case through the courts for amnesty non-compliance, I am satisfied that the Revenue Commissioners are making every effort to ensure the law is applied in the manner intended by the legislation as passed by the Houses of the Oireachtas.
Defence Forces Security Operations.
Aengus Ó Snodaigh
Question:82 Aengus Ó Snodaigh asked the Minister for Defence the cost to the State of the Defence Forces security operations in relation to the upcoming US Presidential visit. [18888/04]
The Garda Síochána has the primary responsibility for law and order, including the protection of the internal security of the State. Among the roles assigned to the Defence Forces is the provision of aid to the civil power, meaning in practice to assist, when requested, the Garda Síochána, which duties include the protection and guarding of vital installations, the provision of certain security escorts etc.
In relation to the forthcoming US presidential visit, the Defence Forces will render such assistance as it deemed necessary and appropriate when requested by the Garda. The level and demand for Defence Forces assistance depends on ongoing security assessments undertaken by the Garda. As the planning for this event is in its final stages and as the level of security can vary over time and depending on the circumstances pertaining, it is not possible, at this stage, to quantify the costs to the State which may arise in respect of security duties undertaken by the Defence Forces during the US presidential visit this week.
Garda Security Escorts.
Bernard J. Durkan
Question:83 Mr. Durkan asked the Minister for Defence the costs incurred by the exchequer in connection with security provided for banks and other leading institutions in each of the past five years; and if he will make a statement on the matter. [19146/04]
To aid the civil power — meaning in practice to assist, when requested, the Garda Síochána who have the primary responsibility for law and order, including the protection of the internal security of the State — is among the roles assigned to the Defence Forces. In this regard, the Defence Forces assist the Garda as required in duties, which include escorting cash deliveries to banks, post offices and other institutions.
The number of requests for cash escorts received by the military authorities from the Garda Síochána for the years 1999 to 2003 was as follows:
|
1999 |
2000 |
2001 |
2002 |
2003 |
|
2,161 |
2,285 |
2,488 |
2,516 |
2,335 |
The total cost in respect of the provisions by the Defence Forces of assistance to the Garda Síochána in protecting movements of cash for the years 1999-2003, including pay, allowances, transport, aerial surveillance and administration charge, was as follows:
|
1999 |
2000 |
2001 |
2002 |
2003 |
|
€5.68 m |
€5.99 m |
€6.58 m |
€6.87 m |
€6.64 m |
Part of these costs is recouped from the banks through an annual contribution. A sum of €2.86 million has been refunded by the banks to my Department each year since l995. The contribution from the banks is designed to part cover the total costs to the State of providing cash escorts. An annual contribution is also made to the Department of Justice, Equality and Law Reform in respect of the Garda Síochána. However, I can say in the case of the Defence forces, that the contribution by the banks has generally covered the non-pay costs of providing such escorts. The matter is reviewed on an ongoing basis in my Department.
Grant Payments.
Michael Ring
Question:84 Mr. Ring asked the Minister for Agriculture and Food the reason a person (details supplied) in County Mayo was awarded extensification premium on three animals, when he expected to be paid on 27 animals. [18750/04]
On 11 June 2004, a payable order for €240 issued to the person named representing his full entitlement to 2003 extensification premium in respect of the three animals that had already qualified for payment of 2003 special beef premium on his holding.
He did not apply for any other animals under the 2003 special beef premium scheme. Also, he did not lodge an application under the 2003 suckler cow premium scheme. Accordingly, he has been paid his full entitlement of 2003 extensification premium.
Michael Ring
Question:85 Mr. Ring asked the Minister for Agriculture and Food the reason a person (details supplied) in County Mayo has been paid slaughter premium on three animals, when he expected to be paid on nine animals. [18751/04]
Under the 2003 EU slaughter premium scheme, four animals were deemed eligible under the herd number of the person named. Full payment has issued on these animals.
The person named contacted my Department regarding four animals which had been slaughtered under the herd number of the deceased brother of the person named. My Department wrote to the person named advising that CMMS records for these animals did not deem them eligible for slaughter premium to the person named. These records have now been amended to reflect eligibility to the person named and accordingly payment will issue shortly.
Seymour Crawford
Question:86 Mr. Crawford asked the Minister for Agriculture and Food when the extensification grant will be awarded in full or in part to a person (details supplied) in County Monaghan; his views on whether it is fair to hold money from a full-time livestock farmer who is depending on this money to meet his bills; and if he will make a statement on the matter. [18752/04]
The person named was prosecuted by the Northern Regional Fisheries Board under section 171 of the Fisheries Act 1959, as amended, for alleged pollution of a river. The case was heard on 1 April 2004 and the facts were found proven. On payment of €2,517.19 costs and €2,200 contribution towards rehabilitating and restocking the stretch of the river affected, the case was dismissed on 6 May 2004 pursuant to the Probation of Offenders Act 1907.
My Department is obliged under EU regulations to ensure that farmers in receipt of direct aid follow good farming practices and in certain cases to penalise farmers found in breach of regulations. The payment of extensification premium to the person named was held pending clarification of the court's ruling. It has now been decided to pay the extensification premium of €5,680 in full and payment will issue shortly.
Animal Remedies Regulations.
Mary Upton
Question:87 Dr. Upton asked the Minister for Agriculture and Food if his attention has been drawn to the outcome of a District Court case (details supplied); the implications of this decision for the enforcement of the Animal Remedies Regulations 1996 and other relevant legislation; and if he will make a statement on the matter. [18807/04]
The case in question involves a criminal prosecution in the District Court which has not concluded. The District Court judge has referred a question of law to the High Court by way of a case stated and the matter will return to the District Court when the High Court has given its ruling. The State will strenuously contest the arguments raised by the defendant against the regime in the High Court. In the interim, normal inspection etc. activity by my Department will continue.
Mary Upton
Question:88 Dr. Upton asked the Minister for Agriculture and Food the reasons for proposing changes to the Animal Remedies Regulations 1996; the implications of his proposals if implemented including the implications for the ready availability and costs of such products from a farmer’s perspective and the health and safety risks of allowing for the first time licensed merchants and others to dispense these remedies on foot of prescriptions; and the timeframe within which he hopes to complete his consultations on the issue and make the revised regulations. [18808/04]
In the almost ten years during which the Animal Remedies Regulations 1996 have been in force, there have been a range of developments impacting both directly and indirectly on the control regime for veterinary medicines. Prominent among these have been improvements in the regulation of the veterinary medicines market through the licensing regimes operated by the Irish Medicines Board and my Department, as well as improvements in the areas of residue surveillance and animal identification. My Department, through its inspection and enforcement activities, has also gained valuable experience in the operation of the legislation, which while mainly positive, also revealed scope for improvements particularly in the areas of traceability and record-keeping.
In reviewing the regulations, I had to take into account the tendency for an increasing range of veterinary medicines to come under prescription control, including the recommendation to this effect from the Irish Medicines Board in regard to intramammary veterinary medicines. In addition, my Department had been made aware of the negative effects, particularly in the area of animal welfare, resulting from certain inflexibilities in the current national prescribing rules which have been among the strictest in the EU.
Against this background, I announced in mid-February my intention to make certain changes to the national control regime to make it more effective and relevant to the current climate. I would stress that paramount among my concerns in this regard is the protection of public health. These changes include amendments to prescribing rules to enable veterinary practitioners to exercise an appropriate degree of professional judgment, improvements in record-keeping, transfer of certain licensing functions to the IMB as well as certain changes to distribution arrangements referred to by the Deputy.
In regard to this latter aspect, it is important to stress in the first instance that the decision on the use of any prescription medicine, or on the particular product to be used, would continue to be reserved to the professional judgment of a veterinary practitioner, who, for the first time, would be required to issue a written prescription in all cases. I have proposed that retail outlets licensed under the regulations would for the first time be allowed to supply a limited range of prescription medicines on foot of a written prescription. However, where I am satisfied that there is a need for the supply of particular categories of prescription veterinary medicines to continue to be reserved to pharmacies and veterinary practitioners, these restrictions will remain.
The proposed changes will make for a more balanced control regime appropriate to current circumstances and will provide a basis for a greater degree of price competition in the supply of medicines while retaining the essential control elements. Following detailed briefings given by my Department to stakeholders following my announcement, submissions were received as well as requests for follow-up meetings. I am anxious to conclude this process at the earliest possible date so that the revised legislation can be in place by the autumn of this year.
Grant Payments.
Michael Ring
Question:89 Mr. Ring asked the Minister for Agriculture and Food the reason a person (details supplied) in County Mayo has not received beef premium payment. [18847/04]
The person named submitted two applications under the 2003 special beef premium scheme: one on 12 August 2003, in respect of 13 animals and one on 31 December 2003, in respect of eight animals. The 80% advance in respect of the first application has issued. However, as the herd of the person named was the subject of a field inspection, further payments were withheld pending the outcome of this inspection. The details of this inspection have now been updated on the Department's computer system and all outstanding payments will issue shortly.
Billy Timmins
Question:90 Mr. Timmins asked the Minister for Agriculture and Food the position with regard to a person (details supplied) in County Wicklow who is waiting to be paid extensification payment for 2003; if this will be paid as a matter of urgency; and if he will make a statement on the matter. [18872/04]
The person named declared a forage area of 38.36 hectares on his 2003 area aid application. An administrative check of the application has, however, found a forage area of 37.25 hectares. This area was used to calculate his livestock premia grants.
Under revised EU regulations in place since 1 January 2002, penalties are not applied to extensification premium in cases where the forage area is found to have been over-declared, unless the area over-declared gives the herdowner a more favourable payment position than would be the case had the over-declaration not been discovered.
When the stocking density of the holding of the person named was calculated using the declared area, it was found to be 1.3933 livestock units per hectare. When it was recalculated using the found area, it increased to 1.441 livestock units per hectare. In normal circumstances, where the stocking density of a holding is less than 1.4 livestock units per hectare, extensification premium is payable at the rate of €80 per qualifying animal. Again, in normal circumstances, where it is between 1.4 and 1.8 livestock units per hectare, the premium is payable at the rate of €40 per qualifying animal.
In this case the person named would have obtained a higher extensification premium had the over-declaration not been discovered. Accordingly, he is subject to an administrative fine of €20 per animal and will qualify for payment at the rate of €20 per animal.
The person named is being notified of the position in writing within the coming days and he can expect a payable order for € 1,180 shortly representing his full 2003 extensification premium entitlement on his 59 qualifying animals.
Tax Clearance Certificates.
Eamon Ryan
Question:91 Mr. Eamon Ryan asked the Minister for Finance when it is proposed that applicants for appointment to State agencies be asked to supply tax clearance certificates. [18715/04]
The Minister for Communications, Marine and Natural Resources wrote to me proposing the introduction of a requirement whereby all those appointed or re-appointed to positions of director in the State bodies under the aegis of his Department would be required to produce a valid tax clearance certificate from the Revenue Commissioners. An interdepartmental committee chaired by my Department was set up to consider this proposal, given that it would have implications for semi-State bodies other than those under the Department of Communications, Marine and Natural Resources. The inter-departmental committee has had a number of meetings and a report on the proposal is expected imminently. I will consider the matter further based on the content and recommendations of the report.
Consumer Price Index.
Bernard J. Durkan
Question:92 Mr. Durkan asked the Minister for Finance the steps he has taken to combat those cost of living price rises not reflected in the CPI; if he has identified the major contributory factors; his plans for the future in this regard; and if he will make a statement on the matter. [18096/04]
The Director General of the Central Statistics Office, CSO, has sole responsibility for and is independent in deciding, the statistical methodology and professional standards to be used in compiling the consumer price index, CPI.
The CPI is designed to measure the change in the average level of the prices paid by consumers for goods and services. It measures in index form the monthly changes in the cost of purchasing a representative basket of consumer goods and services. The latest CPI release shows inflation in May was 1.7%, down from a high last year of 5.1% in February 2003. The moderation in inflation is a very welcome development.
Computerisation Programme.
Dan Boyle
Question:93 Mr. Boyle asked the Minister for Finance the reason the Government has chosen not to make use of open source computer software. [13427/04]
It is not true to say that the Government has chosen not to make use of open source computer software. Indeed, the public service has recognised the importance of open source software, OSS, and the potential it offers for some considerable time. Consequently, OSS is used quite widely and wherever it makes operational and economic sense in Departments and offices in areas such as operating systems, interoperability middleware, mail routing, firewalls, domain name services, directory services, editing, content management, databases, web serving, application serving, web scripting, caching and proxies.
The public sector operates a procurement policy that facilitates open competition, best value for money and best technological fit to requirements in keeping with public procurement law. Within that approach, different products are evaluated on their merits, including openness in terms of future procurement and where possible, avoidance of lock-in to a particular supplier. Accordingly, an open view is taken which in practice tends to follow standards emerging from the market. These open standards are critically important to facilitate interconnection of computer systems and exchange of data and information across these systems. Consequently, with respect to the costs of software, consideration is given to the total cost of ownership, which in addition to the licensing element, also includes the issues and costs associated with development and customisation, deployment, warranties and maintenance, performance, security and reliability, management and support, upgrades, training and skills development, and adherence to and support of open standards. In keeping with this, my Department is engaged in ongoing OSS research to enable it to judge the value of new opportunities as they arise in this area.
Peace Demonstrations.
John Gormley
Question:94 Mr. Gormley asked the Minister for Finance the legal basis for refusing permission to an organisation (details supplied) for a peace picnic in the Phoenix Park on 26 June 2004; and if he will make a statement on the matter. [18729/04]
Following on firm assurances given by the organisation, permission has been granted for a peace picnic in the Phoenix Park on 26 June 2004.
Responsibility for the management of the Phoenix Park recently transferred to the Office of Public Works. Management policy is to ensure that all events are properly organised and stewarded and will not unduly interfere with the enjoyment of the facilities by the general public.
Question No. 95 answered with QuestionNo. 8.
Tax Yield.
Bernard J. Durkan
Question:96 Mr. Durkan asked the Minister for Finance the total receipts of corporation tax for the past 12 months and for the previous 12 month period; and if he will make a statement on the matter. [18874/04]
Corporation tax receipts in the past 12 months, June 2003 to end-May 2004, totalled €5,167 million. This is an increase of €76 million or 1.5% over the total of €5,091 million collected in the 12 month period June 2002 to end-May 2003.
Question No. 97 answered with QuestionNo. 8.
Economic Competitiveness.
Bernard J. Durkan
Question:98 Mr. Durkan asked the Minister for Finance the way in which he sees Ireland competing with low wage economies in the future; and if he will make a statement on the matter. [18876/04]
As indicated in Sustaining Progress, renewing competitiveness is central to the overall macroeconomic policy of sustaining non-inflationary economic growth and high levels of employment and is being dealt with under a broad range of policy headings. These include among others fiscal policy, income developments, competition and regulatory frameworks, infrastructure and labour market policies and the maintenance of conditions in which investment and enterprise can flourish.
As a small, open economy which is highly integrated into the global economy through our strong trade and investment links, economic conditions in Ireland are largely determined by our ability to supply goods and services to our main trading partners. It is vital in this context that wage and cost developments evolve in line with the agreed terms of Sustaining Progress.
The sound policies that built international recognition for our competitiveness and business capability have seen us through recent difficult global economic events. Ireland is, however, no longer a lower cost location for investment and the factors that have helped to make us one of the most dynamic economies in the world are becoming less relevant in the current international environment.
In order to ensure that our enterprise policies meet the needs of the economy in the medium term, my colleague, the Tánaiste, Deputy Mary Harney, established the enterprise strategy group last year. The group was mandated to chart Ireland's enterprise strategy over the next decade and to ensure that we remain the dynamic economy we are today. Under its terms of reference, the group is to develop a medium-term enterprise strategy and propose and prioritise national policy responses, taking into account Ireland's increased prosperity and changing cost and competitiveness base, future trends in demography, regulatory environment, and our physical research and development and technological infrastructures.
The group will also take account of long-term trends in globalisation, EU enlargement and the pervasive influence of technology underpinning our future. It is considering how to support industries of the future where Ireland is or can become a substantial player, with particular reference to segments of the ICT area, life sciences, food, financial services and internationally traded services sectors. The scope for new business promotion and generating more intensive entrepreneurial activity is also high on the group's terms of reference. The group has been asked to report by the middle of the year.
Tax Yield.
Bernard J. Durkan
Question:99 Mr. Durkan asked the Minister for Finance the extent to which revenues for the first six months of 2004 are in excess of expectations; and if he will make a statement on the matter. [18877/04]
Exchequer tax receipts, which are available for the period to end-May 2004, amounted to €13,251 million. This was €632 million or 5% above profile. This excess over target was largely accounted for by income tax and capital gains tax receipts which were running €252 million and €241 million ahead of profile respectively.
Of the €252 million excess, PAYE accounted for €72 million, Schedule D for €56 million and €114 million of the remainder arises from the Revenue Commissioners audit activity, including special investigations. It should be noted, however, that the bulk of any yield from Revenue's special investigations would be once-off in nature.
The bulk of the CGT excess occurred in the first quarter of 2004 with receipts since that time slowing down. This slowdown is expected to continue so that receipts should return to a more normal pattern by year's end.
VAT and stamps receipts were also above target, +€85 million and +€66 million respectively, while excise receipts were in line with expectations. However, corporation tax receipts were running €94 million below profile. Non-tax revenue receipts to end-May were €146 million. This compares to €117 million for the same period last year.
Vehicle Registration Tax.
Bernard J. Durkan
Question:100 Mr. Durkan asked the Minister for Finance the extent to which VRT and other motor taxation receipts for the first six months of 2004 are in line with projections; and if he will make a statement on the matter. [18878/04]
I am informed by the Revenue Commissioners that the latest relevant information available is in relation to the receipts of VRT and excise duty on petrol and auto diesel for the five months ended 31 May 2004. The target of expected receipts and provisional receipts to the end of May are in the following table:
|
Estimates to end May |
Provisional receipts to end May |
Variance €m% |
|
|
% |
|||
|
VRT |
506.0 |
551.6 |
45.69.0 |
|
Petrol |
405.8 |
424.9 |
19.14.7 |
|
Auto Diesel |
427.0 |
436.7 |
9.72.3 |
The yield from VAT on cars, petrol, auto diesel and other goods and services relating to motoring is not separately identified in the target outlined for VAT in the profile of expected Exchequer tax receipts in 2004 published by my Department at end-January. The information furnished with VAT payments made during the year does not require the yield from a particular sector or sub-sector of trade to be identified. The information requested is, therefore, not available.
Motor tax receipts are paid into the local government fund as opposed to the Exchequer. Motor tax receipts to end of May 2004 are €337.6 million. This arises as a result of a motor tax rate increase of 5% from the start of the year and underlying buoyancy of approximately 3.8%.
National Development Plan.
Bernard J. Durkan
Question:101 Mr. Durkan asked the Minister for Finance the extent to which the targets set for the national development plan have been achieved to date; and if he will make a statement on the matter. [18879/04]
The monitoring committee for the national development plan and the community support framework received reports at its meeting on 16 June 2004 on progress to the end of 2003 on each of the operational programmes. In terms of expenditure, over €28 billion has now been spent on the NDP in the period from 2000 to the end of 2003 or some 54% of the projected expenditure for the 2000-06 period. Currently, over €8 billion worth of expenditure is being incurred on the NDP annually. In overall terms, I remain confident that the expenditure targets set for the NDP should be achieved.
The ESRI in its mid-term review of the NDP stated that significant progress has been made towards the plan's objectives of continuing sustainable national economic and employment growth and consolidating and improving Ireland's economic competitiveness. The plan is having a sustainable positive economic effect with expenditure to end-2002 adding a permanent increase of 3% to GNP. In the economic and social infrastructure element of the NDP, projects of unprecedented size and scope are under way or shortly to be completed, particularly in the areas of transport and environmental infrastructure including the Luas and Dublin Port tunnel.
At this stage, it is clear that not all physical output targets in the NDP will be achieved by 2006. However, the multi-annual capital envelopes, 2004-2008, introduced recently will enable substantial funding of the NDP to continue to end 2006 and will ensure that investment in infrastructure will remain a priority beyond this period. This will bring a major enhancement of the economic and social infrastructure of the State.
Tax Yield.
Bernard J. Durkan
Question:102 Mr. Durkan asked the Minister for Finance the extent to which income tax returns for the first six months of 2004 are in line with projections; and if he will make a statement on the matter. [18880/04]
Income tax receipts, which are available for the period to end-May 2004 amounted to €3,841 million. This is €252 million or 7% ahead of the target outlined in the profile of expected Exchequer tax receipts in 2004 published by my Department at end-January.
Of the €252 million excess, PAYE accounted for €72 million, Schedule D for €56 million and €114 million of the remainder arises from the Revenue Commissioners audit activity, including special investigations. It should be noted however, that the bulk of any yield from Revenue's special investigations would be once-off in nature.
Disabled Drivers.
Bernard J. Durkan
Question:103 Mr. Durkan asked the Minister for Finance the position in regard to the interdepartmental review of the 1994 disabled drivers’ and disabled passengers’ tax concessions; when it is expected to extend the current limits of the scheme; the reason for the long delay in bringing the matter to a conclusion; and if he will make a statement on the matter. [18881/04]
As I have said in a reply to a previous parliamentary question, the interdepartmental report of the review group on the disabled drivers' and disabled passengers', tax concessions, scheme has been under consideration in my Department. The report is a substantive one and needed to be studied carefully. This process has now been completed and the report will be made available publicly in the near future.
Garda Stations.
Bernard J. Durkan
Question:104 Mr. Durkan asked the Minister for Finance the position in regard to the provision of the proposed new Garda station at Leixlip, County Kildare and the timeframe for same; and if he will make a statement on the matter. [18884/04]
The Office of Public Works is preparing a revised architectural sketch which will be submitted to the Department of Justice, Equality and Law Reform for approval by July 2004.
Transport Strategy.
Finian McGrath
Question:105 Mr. F. McGrath asked the Minister for Foreign Affairs if he will raise an issue (details supplied) with the authorities in Wales. [18741/04]
The matter raised in the details supplied to me by the Deputy is an issue for decision solely by the Welsh Assembly Government, in the context of the overall road transport strategy for the United Kingdom. I will, however, arrange to have the views raised in the correspondence brought to the attention of the Welsh authorities as appropriate.
Citizenship Applications.
Finian McGrath
Question:106 Mr. F. McGrath asked the Minister for Foreign Affairs if a person (details supplied) is entitled to Irish citizenship; and if this person will be given the best possible advice in relation to obtaining the birth records they require. [18748/04]
Before the person to whom the Deputy refers can become an Irish citizen, on the basis of having a grandmother who was born in Ireland, it will be necessary for him to apply to the nearest Irish Embassy or Consulate General for Ireland for Irish citizenship through entry in the foreign births register.
Each such applicant for foreign births registration is required to produce sufficient documentation including birth and marriage certificates and other relevant records for himself and the parent and grandparent through whom citizenship is claimed to confirm the applicant's entitlement to Irish citizenship. The General Register Office in Dublin will be able to advise him whether the birth of his paternal grandmother in Ireland was registered.
If the person requires any further advice with his application, the nearest embassy or consulate general will be happy to assist him in any way possible.
Trade Sanctions.
Jim O'Keeffe
Question:107 Mr. J. O’Keeffe asked the Minister for Foreign Affairs his response to the request of the Secretary General of the UN, Mr. Kofi Annan, to provide relevant information to enable him to prepare a report on the implementation of the UN Resolution 58/7 on the ending of the economic embargo imposed by the US against Cuba; when such request or requests were received in recent years; and when they were replied to. [18849/04]
I refer the Deputy to my reply to Question No. 104 of 17 June 2004, which also deals with this matter.
The Government's position on the US embargo has been made very clear over the years by our voting pattern — and that of our EU partners — in the UN General Assembly, most recently on 4 November 2003. On that date, the General Assembly approved Resolution 58/7 entitled Necessity of ending the economic, commercial and financial embargo imposed by the United States of America against Cuba.
The main effect of Resolution 58/7 is to reiterate the General Assembly's call upon all states to refrain from promulgating and applying laws and measures such as the Helms-Burton Act of 1996. The resolution further urges states that have and continue to apply such laws and measures to take the necessary steps to repeal or invalidate them as soon as possible.
Each year, in accordance with the terms of the resolution, it is customary for the UN Secretary General to prepare a report on the implementation of the resolution. In line with this, on 19 April 2004, Secretary General Annan invited all UN member states to "provide any relevant information" by 16 June 2004.
Since the Government has never promulgated or applied laws or measures such as the Helms- Burton Act, it has not been customary to make a submission to the UN Secretary General on this matter. The Irish Presidency has, however, conveyed an EU submission to the UN Secretary General, which includes the following: the European Union believes that United States trade policy towards Cuba is fundamentally a bilateral issue. Nevertheless, the European Union and its member states have clearly expressed their opposition to the extraterritorial extension of the United States embargo, such as that contained in the Cuban Democracy Act of 1992 and the Helms-Burton Act of 1996.
US Presidential Visit.
Aengus Ó Snodaigh
Question:108 Aengus Ó Snodaigh asked the Minister for Foreign Affairs if he will report on the total cost to the State of the upcoming US Presidential visit, and to itemise these costs. [18890/04]
The EU-US summit is scheduled to take place in Dromoland Castle, County Clare on Saturday, 26 June 2004. It is therefore not possible, at this stage, to indicate what the cost of hosting the summit will be.
Overseas Development Aid.
Dan Boyle
Question:109 Mr. Boyle asked the Minister for Foreign Affairs his views on the Government’s decision to reach overseas aid spending levels of 0.7% of GNP by 2007; and the way in which he intends to complete its implementation. [18709/04]
The Government has as an objective the attainment of the UN target for aid expenditure by 2007. Despite the many pressures on the public finances at present, an allocation of €400 million has been made in the 2004 Estimates to the Vote for international co-operation which is administered by the Department of Foreign Affairs. In addition, elements of ODA which are administered by other Departments are expected to total some €80 million this year. Total spending on ODA, therefore, is expected to approach €480 million in 2004, the highest ever in the history of the programme. This level of expenditure demonstrates the strong commitment of the Government to the attainment of the UN target.
In 2001 and 2002 our aid expenditure amounted to 0.33% and 0.41% of GNP, respectively. Provisional figures indicate that we maintained the percentage at 0.41% in 2003. This year it is likely to reach the same level or possibly exceed it. In percentage terms, Ireland is one of the world's leading donors — we are currently in joint seventh place — and well ahead of the EU average. The Government hopes that increased allocations, the scale and timing of which will be considered on an ongoing basis, will be possible over the coming years with a view to the achievement of our objective.
Special Educational Needs.
Olwyn Enright
Question:110 Ms Enright asked the Minister for Education and Science if his attention has been drawn to the fact that there are 14 children who have been psychologically assessed as having emotional and behavioural disabilities at a school (details supplied) in County Kildare thus needing the assistance of at least seven special needs assistants; if seven special needs assistants will be retained at this school; and if he will make a statement on the matter. [18725/04]
I can confirm that the school in question currently has the services of seven special needs assistants.
Special needs assistants may be approved to support a pupil who has a significant medical need for such assistance, a significant impairment of physical or sensory function or where their behaviour is such that they are a danger to themselves or other pupils. The criteria used for the assessment of the need for special needs assistant support is outlined in the Department's circular 07/02.
My Department continues to review the existing arrangements for the allocation of special educational supports to primary schools. The basic purpose of the review is to ensure that each school has the level of resources required to cater for its pupils with special educational needs.
I am anxious to ensure that special education support services are properly targeted at the children who require them and that the substantially increased resources which are being made available in the special educational area have the desired effect of ensuring that all children assessed as having special needs receive the support they require.
Since 1998, the number of special needs assistants in primary schools has grown from about 300 to in excess of 5,500 full-time and part-time posts. I wish to assure the Deputy that special needs assistants posts will be retained in schools where there is a continuing care need in accordance with circular 07/02.
Schools Building Projects.
Olwyn Enright
Question:111 Ms Enright asked the Minister for Education and Science the progress which has been made in obtaining a new site for a school (details supplied) in County Kildare; and if he will make a statement on the matter. [18726/04]
The need for a new school in the area referred to by the Deputy is acknowledged. A range of site options is being considered at present to progress the matter.
Psychological Service.
Willie Penrose
Question:112 Mr. Penrose asked the Minister for Education and Science if a person (details supplied) in County Westmeath will be given a psychological assessment by his Department’s psychologist as a matter of urgency; and if he will make a statement on the matter. [18727/04]
I have made inquiries about this case, and I understand that the health board may arrange a psychological assessment for this person in the near future. However, if this does not prove to be possible, I am informed by the National Educational Psychological Service that the school attended by the person may commission an additional assessment under the scheme for commissioning psychological assessments. The school has received details of how to avail of this scheme.
Pupil-Teacher Ratio.
Seán Crowe
Question:113 Mr. Crowe asked the Minister for Education and Science if his attention has been drawn to the overcrowding in classes at a school (details supplied) in Dublin 24; if his attention has further been drawn to the set of solutions identified by the school management, that is, class sizes, the procurement of an additional learning support teacher, one special needs assistant per class and one year paid leave for every ten years’ service; and if he will respond to the school management’s proposal. [18733/04]
The staffing of a primary school for a particular school year is determined by reference to the enrolment of the school on 30 September of the previous year. The number of mainstream posts sanctioned is determined by reference to a staffing schedule and is finalised for a particular school year following discussions between my officials and the education partners.
The overall maximum class size in primary schools, by reference to the staffing schedule, has been reduced from 35 in the 1995-96 school year to 29 in the 2002-03 school year. The staffing schedule for the current school year is structured to ensure that all primary schools will operate to an average mainstream class size of 29 pupils. School authorities should ensure that there is an equitable distribution of pupils in mainstream classes and that the differential between the largest and smallest classes is kept to a minimum.
Regarding the question of additional learning support provision, the position is that my Department continues to review the existing arrangements for the allocation of special educational supports to primary schools. The basic purpose of the review is to ensure that each school has the level of resources required to cater for its pupils with special educational needs.
I am anxious to ensure that the support services are properly targeted at the children who require them and that the substantially increased resources which are being made available in the special educational area have the desired effect of ensuring that all children assessed as having special educational needs receive the support they require.
In Circular 24/03, my Department stated its intention to engage in discussions with representative interests with a view to developing a weighted system of teacher allocations for special needs teaching. The allocation of an additional 350 teaching posts for special needs and a new system for the allocation of resources for special needs in primary schools have now been approved. Details of the weighted system are outlined in Circular SP ED 09/04, which will issue to schools this week. A copy of the circular may be viewed on my Department's website. Special needs assistants may be approved to support a pupil who has a significant medical need for such assistance, a significant impairment of physical or sensory function or where his or her behaviour is such that the pupil is a danger to himself or herself or other pupils. The criteria and procedures relating to the allocation of special needs assistant support are outlined in my Department's Circular 07/02. This circular may be accessed on my Department's website under children with special needs.
Claims for improvement in the conditions of service of teachers must be processed through the Teachers Conciliation Council.
Schools Refurbishment.
Seán Crowe
Question:114 Mr. Crowe asked the Minister for Education and Science if the promised €31,000 will be provided to refurbish the toilets at a school (details supplied) in Dublin 1. [18735/04]
The school referred to by the Deputy applied for contingency funding in 2003 to carry out works to toilet facilities. On the basis of the budgetary allocation, it was not possible to fund the project at that time.
However, the scope of works required at the school is appropriate for consideration under the summer works scheme, SWS. The school did not apply for funding under the scheme for 2004. It is open to the school's management authority to apply for the key priority works required at the school as part of the 2005 SWS, details of which will be announced shortly.
School Services Staff.
Pádraic McCormack
Question:115 Mr. McCormack asked the Minister for Education and Science the position regarding the three special needs teachers employed at a school (details supplied) in County Galway; if these teachers will remain on at the school after the summer recess 2004; if his attention has been drawn to the vital work these teachers are performing; and if he will make a statement on the matter. [18738/04]
I take it that the Deputy is referring to special needs assistants at the school in question. Special needs assistants may be approved to support a pupil who has a significant medical need for such assistance, a significant impairment of physical or sensory function or where his or her behaviour is such that the pupil is a danger to himself or herself or other pupils. The criteria and procedures relating to the allocation of special needs assistant support are outlined in my Department's Circular 07/02. This circular may be accessed on my Department's website under children with special needs.
My Department continues to review existing arrangements for the allocation of special educational supports to primary schools. The basic purpose of the review is to ensure that each school has the level of resources required to cater for its pupils with special educational needs.
Since 1998, the number of special needs assistants in primary schools has grown from about 300 to in excess of 5,500 full-time and part-time posts. I wish to assure the Deputy that special needs assistants posts will be retained in schools where there is a continuing care need in accordance with Circular 07/02.
School Dispute.
Jan O'Sullivan
Question:116 Ms O’Sullivan asked the Minister for Education and Science if his attention has been drawn to a dispute at a school (details supplied) in County Cavan; the role he has in finding a resolution to the problem; if he will take action to protect the children’s rights to education; and if he will make a statement on the matter. [18744/04]
I am aware of the difficulties arising from the dispute in the school referred to by the Deputy. I am concerned at the impact of the dispute on the education of the pupils in the school and I have asked my Department's inspectorate to monitor the situation.
The resolution of the dispute is a matter for the authorities of the school in the first instance. However, I would urge all involved to take all the necessary steps to resolve the dispute as speedily as possible, having due regard to the rights of all concerned.
Schools Building Projects.
Liam Aylward
Question:117 Mr. Aylward asked the Minister for Education and Science the reason for the delay in payment by his Department to contractors employed on a school project (details supplied) in County Kilkenny; and if he will make a statement on the matter. [18749/04]
The client for the project in question is the board of management and responsibility lies with it, in the first instance, for the management and delivery of the project.
In this case, the board of management does not have a contract with the contractor named, as he is a sub-contractor nominated to the main contractor. The payments on this project, other than for retentions, have already been made to the main contractor. Any issues arising between the main contractor and the sub-contractor are a matter for both parties to agree upon.
School Transport.
Bernard J. Durkan
Question:118 Mr. Durkan asked the Minister for Education and Science, further to Question No. 293 of 15 June 2004, if free school travel is available to students from Maynooth attending the school in question; and if he will make a statement on the matter. [18809/04]
My Department is awaiting a report from Bus Éireann on the matter. The Deputy will be advised of the position when the report has been received and assessed.
School Accommodation.
Jack Wall
Question:119 Mr. Wall asked the Minister for Education and Science his views on a submission (details supplied); and if he will make a statement on the matter. [18810/04]
Jack Wall
Question:120 Mr. Wall asked the Minister for Education and Science the reason a school (details supplied) in County Kildare has not been granted a further prefab in view of the class numbers involved and that an extra teacher is to be employed in September 2004 with no facilities to facilitate such a position; the action the board of management can take; and if he will make a statement on the matter. [18811/04]
Jack Wall
Question:121 Mr. Wall asked the Minister for Education and Science the action the board of management can take to provide facilities when a school (details supplied) has not got the facilities for an extra teacher when the valid enrolment exceeds the Departments figures and there is a need for such a teacher; and if he will make a statement on the matter. [18812/04]
Jack Wall
Question:123 Mr. Wall asked the Minister for Education and Science if he will re-assess an application for a prefab by a school (details supplied) in view of the fact that the only option, unless he positively re-assesses the decision, is for the school to deprive all of the children in the school of their physical education classroom and its facilities and use such a room as an extra classroom; if this type of decision is within the Department’s guidelines; if he will re-assess the application and ensure that such a decision is not necessary and that the Department of Education and Science will provide the necessary funding to ensure the provision of a prefab; and if he will make a statement on the matter. [18814/04]
I propose to take Questions Nos. 119 to 121, inclusive, and 123 together.
The school planning section of my Department has considered all applications for temporary accommodation. In the context of the available funding, and the number of applications for that funding, it was not possible to approve all applications received, and only those with an absolute and demonstrated need for additional accommodation were approved. All other schools are required, as an interim measure, to maximise the use of existing accommodation until my Department is in a position to make extra accommodation available.
The need for additional accommodation at the school to which the Deputy refers will be considered in the context of a review which is being undertaken of all projects that did not proceed as part of the 2004 school building programme, with a view to including it as part of a multi-annual school building programme from 2005, details of which will be announced later in the year.
Jack Wall
Question:122 Mr. Wall asked the Minister for Education and Science his views on whether it is his Department’s policy that where a school has not got the facilities to provide for an extra teacher that is necessary under his guidelines, the school should deprive the children of a physical education classroom to facilitate such a teacher; and if he will make a statement on the matter. [18813/04]
The school planning section of my Department has considered all applications for temporary accommodation to facilitate the appointment of extra teaching resources. In the context of the available funding, and the number of applications for that funding, it was not possible to approve all applications received, and only those with an absolute and demonstrated need for additional accommodation were approved. All other schools are required, as an interim measure, to maximise the use of existing accommodation until my Department is in a position to make extra accommodation available.
The need for additional accommodation at any given school will be considered in the context of a review which is being undertaken of all projects that did not proceed as part of the 2004 school building programme, with a view to including them as part of a multi-annual school building programme from 2005, details of which will be announced later in the year.
Question No. 123 answered with QuestionNo. 119.
Special Educational Needs.
Olivia Mitchell
Question:124 Ms O. Mitchell asked the Minister for Education and Science the request by a school (details supplied) to make adaptations to accommodate a four year old wheelchair user; the request for a personal assistant for a person (details supplied) in County Dublin who suffers from spina bifida as the absence of firm information about their future is causing great distress. [18815/04]
I can confirm that my Department has received an application for resource teaching and special needs assistant support for the pupil referred to by the Deputy.
All applications for special educational resources received after 31 August 2003, including the application for the person in question, are being considered by the National Educational Psychological Service, NEPS. In those cases, it is intended that the applicant schools will be notified of the outcome as soon as possible in advance of the commencement of the next school year.
The school has been advised to liaise with my Department's building unit concerning the matter of any adaptations that may be necessary to the building to facilitate wheelchair access.
School Accommodation.
Seán Ryan
Question:125 Mr. S. Ryan asked the Minister for Education and Science if his attention has been drawn to the recent allocation of an additional prefab for a school (details supplied) in County Dublin which is totally inadequate in view of the fact that there was a need for three prefabs; if his attention has further been drawn to the fact that as a result 20 children have been refused enrolment for September 2004; and if, in view of this information and the fact that families with school going children are buying houses in Balbriggan on a daily basis, he will sanction the necessary extra classrooms as part of the short-term solution in Balbriggan. [18889/04]
The school planning section of my Department has considered all applications for temporary accommodation. In the context of the available funding, and the number of applications for that funding, it was not possible to approve all applications received, and only those with an absolute and demonstrated need for additional accommodation were approved. As an interim measure, all schools are required to maximise the use of existing accommodation to meet the needs of their own areas until my Department is in a position to provide extra accommodation.
The need for additional accommodation at the school to which the Deputy refers will be considered in the context of a review which is being undertaken of all projects that did not proceed as part of the 2004 school building programme, with a view to including it as part of a multi-annual school building programme from 2005, details of which will be announced later in the year.
In addition, as I recently announced, over the remainder of this school year a new school planning model involving published area development plans will be piloted in five areas. Included in the pilot scheme is the north Dublin/south Louth region which covers the Balbriggan area.
The purpose of this new approach to school planning is to ensure that, in future, the provision of school infrastructure will be decided only after a transparent consultation process. In this regard, parents, trustees, sponsors of prospective new schools and all interested parties from a locality will have the opportunity to have their voices heard in the process.
Following the consultation process, individual plans will set out the blueprint for schools' development in an area covering a period of up to ten years. The needs of the school in question will be taken into consideration in the context of the proposed development plan for its own area.
Nursing Home Subventions.
Seán Ryan
Question:126 Mr. S. Ryan asked the Minister for Health and Children the progress made to date by the group established by his Department to undertake a review of the nursing home subvention scheme; and when it is expected that the group will report. [18627/04]
The review is taking into account issues arising from the interpretation of certain aspects of the 1990 Act and the subvention regulations which have arisen over the years, the Ombudsman's comments on the operation of the nursing home subvention scheme, the recommendations in the O'Shea and Mercer reports, and the views of clients and service providers on the operation of the nursing home subvention scheme.
The aims and objectives of the review are: to recommend any changes necessary in the light of Professor O'Shea's recommendations; to make recommendations on an equitable means assessment test for subvention; to make recommendations on the development of a standardised dependency test; to examine alternative care settings such as home care and to make recommendations for the funding of such care settings as an alternative to long-term residential care; to make recommendations on the development and implementation of quality care standards in institutional settings; and to make recommendations on such other matters as the group considers appropriate within the broad parameters of its mandate.
The ultimate aim of the review will be the development of a system which will be transparent, provide equity, be less discretionary and be financially sustainable. The review group has been working for a number of months and is comprised of a wide variety of stakeholders representing the many and varied interests associated with long-term care. These include Departments, health agencies, voluntary and professional groups and the private nursing home sector.
The group has been hearing submissions from interested parties and has also benefited from hearing presentations from the authors of the above mentioned reports. At its most recent meeting, which was held on 27 May, the group has been considering issues such as the broad principles which should underpin any revisions to the nursing home subvention scheme as well as the themes on which it might be possible to make progress in the short or longer term. One of the key matters to be discussed and considered will be the need to maintain synergy between the group's work and deliberations elsewhere in relation to the Mercer report. For these reasons it is not possible at this stage to be precise about the date on which the group will report.
Health Board Services.
Olivia Mitchell
Question:127 Ms O. Mitchell asked the Minister for Health and Children the plans in place to ensure that children eligible for orthodontic treatment receive it within a reasonable timeframe. [18736/04]
I am pleased to advise the Deputy that I have taken a number of measures to increase the treatment capacity of the orthodontic service on a national basis and thus reduce waiting times for treatment.
The grade of specialist in orthodontics has been created in the health board orthodontic service. In 2003, my Department and the health boards funded 13 dentists from various health boards for specialist in orthodontics qualifications at training programmes in Ireland and at three separate universities in the United Kingdom. These 13 trainees for the public orthodontic service are additional to the six dentists who commenced their training in 2001. Thus, there is an aggregate of 19 dentists in specialist training for orthodontics. These measures will complement the other structural changes being introduced into the orthodontic service, including the creation of an auxiliary grade of orthodontic therapist to work in the orthodontic area.
Furthermore, the commitment of the Department to training development is manifested in the funding provided to both the training of specialist clinical staff and the recruitment of a professor in orthodontics for the Cork Dental School. This appointment at the school will facilitate the development of an approved training programme leading to specialist qualification in orthodontics. The chief executive officer of the Southern Health Board has reported that the professor commenced duty on 1 December 2003. In recognition of the importance of this post at the Cork Dental School, my Department has given approval in principle to a proposal from the school to further substantially improve the training facilities there for orthodontics. This project should see the construction of a large orthodontic unit and support facilities; it will ultimately support an enhanced teaching and treatment service to the wider region under the leadership of the professor of orthodontics.
Orthodontic initiative funding of €4.698 million was provided to the health boards/authority in 2001 and this has enabled health boards to recruit additional staff, engage the services of private specialist orthodontic practitioners to treat patients, and build additional orthodontic facilities. The health boards/authority have developed a number of additional orthodontic facilities, including new developments at St James's Hospital, Loughlinstown Hospital and Ashtown.
In June 2002, my Department provided additional funding of €5 million from the treatment purchase fund to health boards/authority specifically for the purchase of orthodontic treatment. This funding is enabling boards to provide both additional sessions for existing staff and purchase treatment from private specialist orthodontic practitioners.
The chief executive officers of the health boards/authority have informed my Department that at the end of the March quarter 2004, there were 21,033 children receiving orthodontic treatment in the public orthodontic service. This means that there are nearly twice as many children getting orthodontic treatment as there are children waiting to be treated and almost 4,000 extra children are getting treatment from health boards/authority since the end of 2001.
Brian O'Shea
Question:128 Mr. O’Shea asked the Minister for Health and Children his proposals to provide the €1 million per annum required to introduce the Caredoc co-operative after hours service to Waterford city and county (details supplied); and if he will make a statement on the matter. [18739/04]
Between 2000 and 2003, €7.124 million was allocated to the South Eastern Health Board for the expansion of their out of hours co-operative, Caredoc. In 2004, €3.492 million has been included in the health board's base allocation for the continued provision of services under this heading. The dedicated funding is exclusive of the fees paid to participating general practitioners.
All decisions in relation to the geographical areas to be covered by co-operatives and the order of their commencement are matters for the relevant health board to make, having regard to the range of financial and other issues involved in any such expansion.
Michael Ring
Question:129 Mr. Ring asked the Minister for Health and Children the reason persons within the remit of the Western Health Board who have finally come to the top of the orthodontic treatment list are not being treated in Galway; the reason they are being sent to Enniskillen, Northern Ireland; the reason the costs of the travel involved for this treatment are not being paid for from the national treatment purchase fund; if the persons’ families are not in a position to pay for the necessary travel, the position the persons will be placed on the list again; and if he will make a statement on the matter. [18747/04]
As the Deputy is aware, the provision of orthodontic services is a matter for the health boards/authority in the first instance.
I am pleased to advise the Deputy that I have taken a number of measures to increase the treatment capacity of the orthodontic service. The grade of specialist in orthodontics has been created in the health board orthodontic service. In 2003, my Department and the health boards funded 13 dentists from various health boards — including two from the Western Health Board — for specialist in orthodontics qualifications at training programmes in Ireland and at three separate universities in the United Kingdom. These 13 trainees for the public orthodontic service are additional to the six dentists who commenced their training in 2001. Thus, there is an aggregate of 19 dentists in specialist training for orthodontics. These measures will complement the other structural changes being introduced into the orthodontic service, including the creation of an auxiliary grade of orthodontic therapist to work in the orthodontic area.
Furthermore, the commitment of the Department to training development is manifested in the funding provided to both the training of specialist clinical staff and the recruitment of a professor of orthodontics for the Cork Dental School. This appointment at the school will facilitate the development of an approved training programme leading to specialist qualification in orthodontics. The chief executive officer of the Southern Health Board has reported that the professor commenced duty on 1 December 2003. In recognition of the importance of this post at the Cork Dental School my Department has given approval in principle to a proposal from the school to further substantially improve the training facilities there for orthodontics. This project should see the construction of a large orthodontic unit and support facilities; it will ultimately support an enhanced teaching and treatment service to the wider region under the leadership of the professor of orthodontics.
Orthodontic initiative funding of €4.698 million was provided to the health boards/authority in 2001 and this has enabled health boards to recruit additional staff, engage the services of private specialist orthodontic practitioners to treat patients and build additional orthodontic facilities.
In June 2002, my Department provided additional funding of €5 million from the treatment purchase fund to health boards specifically for the purchase of orthodontic treatment. This funding is enabling boards to provide both additional sessions for existing staff and purchase treatment from private specialist orthodontic practitioners; €0.465 million was provided to the Western Health Board for the treatment of patients in this way.
The management of orthodontic waiting lists and the provision of orthodontic treatment is the statutory responsibility of the Western Health Board in this instance; my Department has therefore asked the chief executive officer of the board to investigate the matter raised by the Deputy and respond to him directly.
The chief executive officers of the health boards/authority have informed my Department that at the end of the March quarter 2004, there were 21,033 children receiving orthodontic treatment in the public orthodontic service. This means that there are nearly twice as many children getting orthodontic treatment as there are children waiting to be treated and almost 4,000 extra children are getting treatment from health boards/authority since the end of 2001.
Hospital Services.
Breeda Moynihan-Cronin
Question:130 Ms B. Moynihan-Cronin asked the Minister for Health and Children the reason the Warfin Clinic at Tralee General Hospital closed down; and if he will make a statement on the matter. [18753/04]
Responsibility for the provision of hospital services at Tralee General Hospital is a matter for the Southern Health Board. My Department has, therefore, asked the chief executive officer of the Southern Health Board to investigate the matter and to reply directly to the Deputy.
Cancer Treatment Services.
Brian O'Shea
Question:131 Mr. O’Shea asked the Minister for Health and Children the number of patients who have to leave the south eastern region for radiotherapy treatment; and if he will make a statement on the matter. [18754/04]
The provision of hospital services for people living in the south-eastern region is a matter for the South-Eastern Health Board. My Department has therefore asked the chief executive officer of the board to investigate this matter and to reply directly to the Deputy.
Brian O'Shea
Question:132 Mr. O’Shea asked the Minister for Health and Children his views on whether the fact that patients from the south eastern region having to leave their region in order to obtain radiotherapy treatment is in accordance with the ideal cancer centre at which the three treatment modalities are available; and if he will make a statement on the matter. [18755/04]
Brian O'Shea
Question:133 Mr. O’Shea asked the Minister for Health and Children the way in which he proposes to provide radiotherapy treatment for public patients based on equity regardless of location when distance to travel is taken into account; and if he will make a statement on the matter. [18756/04]
Brian O'Shea
Question:135 Mr. O’Shea asked the Minister for Health and Children his views on the fact that the ideal cancer site is one where three modalities of treatment are available; and if he will make a statement on the matter. [18758/04]
Brian O'Shea
Question:136 Mr. O’Shea asked the Minister for Health and Children the reason for downgrading St. Luke’s Hospital, Dublin, which has one of the treatment modalities for cancer, that is, radiotherapy, in favour of two new centres in Dublin where the three modalities are available; and if he will make a statement on the matter. [18759/04]
Brian O'Shea
Question:137 Mr. O’Shea asked the Minister for Health and Children his views on the fact that international best practice for cancer treatment involves the three modalities of treatment being available on one site, that gives a 20% improvement in outcomes; and if he will make a statement on the matter. [18760/04]
Brian O'Shea
Question:138 Mr. O’Shea asked the Minister for Health and Children his views on the funding which has been made available for designated transport and accommodation for public patients regarding the sub-committee on radiotherapy; and if he will make a statement on the matter. [18761/04]
I propose to take Questions Nos. 132, 133 and 135 to 138, inclusive, together.
The Government's objective is to provide a model of cancer care which ensures that patients with cancer receive the most appropriate and best quality of care regardless of their place of residence. In order to achieve this objective, an integrated and co-ordinated approach is required, which encompasses prevention, screening, cancer treatment — including medical, surgical and radiation oncology — education, training and research.
As the Deputy is aware, I launched the Report on The Development of Radiation Oncology Services in Ireland in October last year. Its recommendations have been accepted by Government. The group which prepared the report formulated guidelines for the development of additional radiation therapy facilities as follows: a sufficient patient population should exist within a proposed catchment area to support the future development of a radiation oncology service; a radiation oncology service should enable maximum patient access to the highest quality service; other clinical specialties and support services that enable the appropriate function and development of a radiation oncology centre and/or supra-regional cancer centre should exist on the site; radiation oncology must be part of organised multi-disciplinary cancer care; a radiation oncology service should take account of patient groups with special needs; a radiation oncology service should develop links between those hospitals providing radiation oncology care and other hospitals involved in the provision of cancer care but without physical treatment facilities; and where radiation oncology facilities are not available on site, it will be important to provide appropriate outreach services particularly through the development of joint clinical and other appointments between hospitals and/or health boards. I am satisfied that the application of these guidelines in the development of radiation oncology services as part of a multi-disciplinary cancer service will best ensure that cancer patients have access to the highest quality of care.
The Government has agreed that a major programme is now required to rapidly develop clinical radiation oncology treatment services to modern standards and that the first phase of the programme will be the development of a clinical network of large centres in Dublin, Cork and Galway. The development of these centres as a clinical network is of paramount importance and will, in the shortest possible timeframe, begin to address the profound deficit in radiation oncology services that has been identified in the report. The implementation of the report's recommendations is my single most important priority in cancer services in the acute setting.
The Government has also decided that in the future development of services consideration should be given to the efficacy of developing satellite centres at Waterford, Limerick and the north-west. Such consideration will take into account the international evaluation of satellite centres, the efficacy of providing this model and the need to ensure quality standards of care.
I have provided resources to begin to implement the report's recommendations. Specifically, I have approved the purchase of two additional linear accelerators for the supra-regional centre at Cork University Hospital, CUH, and the necessary capital investment amounting to over €4 million to commission this service as rapidly as possible. In 2004, €1 million ongoing revenue funding is being made available for this development which will improve services for cancer patients in the Southern, Mid-Western and South Eastern Health Boards. Approval has recently issued for the appointment of an additional two consultant radiation oncologists with sessional commitments to the South-Eastern and Mid-Western Health Boards. The capital project team in the Southern Health Board is working in conjunction with my Department to plan for the expansion from four to eight linear accelerators in the medium term.
In relation to the supra-regional centre at University College Hospital Galway, UCHG, a new radiotherapy unit has been constructed and is currently being commissioned. In 2004, €2.5 million ongoing revenue funding is being made available. Approval has recently issued for the appointment of an additional consultant medical oncologist and three consultant radiation oncologists, two of whom have sessional commitments to the North Western and Mid-Western Health Boards. I have requested the Western Health Board to prepare a development control plan to facilitate the expansion from three to six linear accelerators in the medium term. The capital project team is working in conjunction with my Department to develop a brief for this expansion.
The immediate developments in the south and west will result in the provision of an additional five linear accelerators. This represents an increase of approximately 50% in linear accelerator capacity. As already outlined, I have provided for the appointment of an additional five consultant radiation oncologists. Recruitment for these posts is under way. We currently have ten consultant radiation oncologists nationally. This will result in a significant increase in the numbers of patients receiving radiation oncology in the short term. These appointments are specifically designed to offer patients in areas such as the south-east and mid-west equity of access to radiation oncology services that are in line with international best practice.
The report recommends that there should be two treatment centres located in the eastern region, one serving the southern part of the region and adjacent catchment areas and one serving the northern part of the region and adjacent catchment areas. I have asked the chief medical officer of my Department to advise on the optimum location of radiation treatment facilities in Dublin. A detailed request for submissions is being finalised at present. The chief medical officer will apply the guidelines established by the group and will be supported by the hospital planning office and international experts.
With regard to the Deputy's reference to St. Luke's Hospital, I wish to assure the House that I am committed to protecting its distinct ethos and to ensuring that its expertise plays a key role in the development programme I have outlined.
As recommended in the report, I have established the National Radiation Oncology Co-ordinating Group. The group comprises clinical, technical, managerial, academic and nursing expertise from different geographic regions. The group's remit encompasses recommending measures to facilitate improved access to existing and planned services, including transport and accommodation. I expect the group to develop proposals in these important areas.
National Treatment Purchase Fund.
Brian O'Shea
Question:134 Mr. O’Shea asked the Minister for Health and Children the number of public patients who have received radiotherapy treatment in private facilities under the treatment purchase scheme; and if he will make a statement on the matter. [18757/04]
The national treatment purchase fund, NTPF, was established to arrange treatment for those patients who have been waiting longest for surgery. As a result, it has not provided radiation oncology treatment to any patients.
The Government has agreed that a major programme is now required to rapidly develop clinical radiation oncology treatment services to modern standards and that the first phase of the programme will be the development of a clinical network of large centres in Dublin, Cork and Galway. The development of these centres as a clinical network is of paramount importance and, in the shortest possible timeframe, they will begin to address the profound deficit in radiation oncology services that has been identified in the report. The implementation of the report's recommendations is my single most important priority in regard to the provision of cancer services in an acute setting.
I have provided resources to begin to implement the report's recommendations. The immediate developments in the south and west will result in the provision of an additional five linear accelerators. This represents an increase of approximately 50% in linear accelerator capacity. As already outlined, I have provided for the appointment of an additional five consultant radiation oncologists. Recruitment for these posts is under way. We currently have ten consultant radiation oncologists nationally. This will result in a significant increase in the numbers of patients receiving radiation oncology in the short term.
As recommended in the report, I have established the National Radiation Oncology Co-ordinating Group. The group comprises clinical, technical, managerial, academic and nursing expertise from different geographic regions. The group will advise, inter alia, on the national co-ordination and delivery of existing and planned radiation oncology services, including agreeing quality assurance protocols and guidelines for the referral of public patients to private facilities. I expect the group to develop proposals in these important areas.
Questions Nos. 135 to 138, inclusive, answered with Question No. 132.
Cancer Screening Programme.
Brian O'Shea
Question:139 Mr. O’Shea asked the Minister for Health and Children the position which the unit will provide regarding the provision of a breast cancer unit at Waterford Regional Hospital for symptomatic breast cancer for non-symptomatic patients picked up through BreastCheck; and if he will make a statement on the matter. [18762/04]
The national breast screening programme commenced in March 2000 to implement a scheme for the early diagnosis and primary treatment of breast cancer in women in the 50 to 64 age group. Phase 1 of the scheme operates in the eastern part of the country. Last year, I announced the extension of the programme to counties Carlow, Kilkenny and Wexford and the national roll-out to the west and southern parts of the country. Under the BreastCheck scheme women will have their diagnosis, investigation and primary treatment managed by a multi-disciplinary team.
Two centres currently operate in the eastern region, one at St Vincent's Hospital, Dublin and the other at the Mater Hospital, Dublin. In 2002 the European Reference Organisation for Quality Assured Breast Screening and Diagnostic Services, EUREF, evaluated the BreastCheck programme at these centres. The EUREF concluded that the programme operated to a very high standard. The overwhelming majority of women whose breast cancer is detected by BreastCheck will receive their primary treatment and follow up at the BreastCheck clinical unit for their region. Women also have an option of treatment and follow up at their regional designated centre for symptomatic breast disease. BreastCheck organises its services to ensure integrated clinical pathways are in place to effectively treat and care for women with breast cancer which involves close linkages with the symptomatic services.
BreastCheck is developing a similar model of treatment and care as part of the national extension of the programme which will require a further two centres. The centre in the south, which will provide services for women in County Waterford, will be located at the South Infirmary Hospital, Cork and the centre in the west will be located at University College Hospital, Galway. Both of these centres are at the planning stages.
Cancer Treatment Services.
Brian O'Shea
Question:140 Mr. O’Shea asked the Minister for Health and Children the proposals he has in regard to the provision of funding for a south eastern regional cancer service at Waterford Regional Hospital for a properly resourced oncology ward; and if he will make a statement on the matter. [18763/04]
Brian O'Shea
Question:141 Mr. O’Shea asked the Minister for Health and Children the proposals he has to make funding available for a drop in centre to support cancer patients at or near Waterford Regional Hospital; and if he will make a statement on the matter. [18764/04]
I propose to take Questions Nos. 140 and 141 together.
The South Eastern Health Board has submitted a draft planning brief to my Department for capital developments at Waterford Regional Hospital which includes the provision of a new oncology and haematology department. My Department is considering this proposal in the context of the Capital Investment Framework 2004 to 2008 which is being discussed with the Department of Finance.
The board has informed my Department that it will consider the development of a cancer support centre at Waterford Regional Hospital upon completion of a development control plan for the hospital.
In relation to the overall development of cancer services in the south eastern region, additional cumulative funding of almost €42 million has been allocated since 1997 for the development of appropriate treatment and care services for people with cancer. This investment has enabled the funding of an additional ten consultant posts in key areas of cancer care and also the appointment of 26 clinical nurse specialists across the region.
Last year I announced the extension of the BreastCheck programme to Counties Carlow, Kilkenny and Wexford and also the national roll-out to the southern and western counties. Screening commenced in Wexford in March of this year.
Suicide Incidence.
Bernard J. Durkan
Question:142 Mr. Durkan asked the Minister for Health and Children if extra funding can be provided to assist organisations helping persons and their families who have or are affected by suicide; and if he will make a statement on the matter. [18816/04]
Since the publication of the Report of the National Task Force on Suicide in 1998, a cumulative total of more than €17.5 million has been provided towards suicide prevention programmes and for research. This year more than €4.5 million is available to the various agencies working towards reducing the level of suicide and attempted suicide in this country. This includes funding to support the work of the health boards, the National Suicide Review Group, the Irish Association of Suicidology and the National Suicide Research Foundation for its work in the development of a National Parasuicide Register.
I am fully committed to the intensification of suicide prevention measures and research programmes and the further development of other initiatives. Additional funding for this area will be considered in the context of the Estimates process for 2005 and subsequent years. With regard to the further development of suicide prevention programmes, work is now well under way on the preparation of a strategic action plan for suicide reduction. This strategy, involving HeBE in partnership with the National Suicide Review Group and supported by the Department of Health and Children will be action-based from the outset and will build on existing policy. All measures aimed at reducing the number of deaths by suicide, including the provision of support services for people affected by suicidal behaviour, will be considered in the preparation of this strategy.
Vaccination Programme.
Jack Wall
Question:143 Mr. Wall asked the Minister for Health and Children the position regarding teachers and assistants working with persons (details supplied) in County Kildare who need hepatitis B vaccinations; the position regarding funding for such vaccinations and the method by which applicants can seek such funding or refunds in relation to such costs; and if he will make a statement on the matter. [18817/04]
Responsibility for the provision of vaccinations to employees is a matter for individual employers. In the case raised by the Deputy I would advise that the employer contact the local area health board for further information and advice in relation to any vaccinations that may be required.
Health Board Services.
Paul McGrath
Question:144 Mr. P. McGrath asked the Minister for Health and Children the number of national school children who currently require orthodontic treatment within the area managed by the South Eastern Area Health Board; the waiting time endured by the same; the number of orthodontists currently serving within the South Eastern Health Board in this capacity; and if he will make a statement on the matter. [18818/04]
As the Deputy is aware, the provision of orthodontic services is a matter for the health boards/authority in the first instance.
I am pleased to advise the Deputy that I have taken a number of measures to improve orthodontic services in the South Eastern Health Board, SEHB, area and on a national basis. The grade of specialist in orthodontics has been created in the health board orthodontic service. In 2003, my Department and the health boards funded 13 dentists from various health boards for specialist in orthodontics qualifications at training programmes in Ireland and at three separate universities in the United Kingdom. These 13 trainees for the public orthodontic service are additional to the six dentists who commenced their training in 2001. Thus, there is an aggregate of 19 dentists — including four from the SEHB — in specialist training for orthodontics. These measures will complement the other structural changes being introduced into the orthodontic service, including the creation of an auxiliary grade of orthodontic therapist to work in the orthodontic area.
Furthermore, the commitment of the Department to training development is manifested in the funding provided to both the training of specialist clinical staff and the recruitment of a professor of orthodontics for the Cork Dental School. This appointment at the school will facilitate the development of an approved training programme leading to specialist qualification in orthodontics. The chief executive officer of the Southern Health Board has reported that the professor commenced duty on 1 December 2003. In recognition of the importance of this post at the Cork Dental School, my Department has given approval in principle to a proposal from the school to further substantially improve the training facilities there for orthodontics. This project should see the construction of a large orthodontic unit and support facilities; it will ultimately support an enhanced teaching and treatment service to the wider region under the leadership of the professor of orthodontics.
In June 2002, my Department provided additional funding of €5 million from the treatment purchase fund to health boards specifically for the purchase of orthodontic treatment. This funding is enabling boards to provide both additional sessions for existing staff and purchase treatment from private specialist orthodontic practitioners.
The chief executive officer of the SEHB has informed my Department that at the end of the March quarter 2004, there was no waiting time for patients requiring category A orthodontic treatment; patients in category A require immediate treatment. The chief executive officer has also informed my Department that at the end of the March quarter 2004, there were 683 patients awaiting category B treatment with an average waiting time of 20 months.
The management of the orthodontic service, including the orthodontists currently employed by the SEHB, is the responsibility of the chief executive officer of that board. My Department has therefore asked the chief executive officer of the SEHB to provide the Deputy with the information requested.
The chief executive officer of the SEHB has informed my Department that at the end of the March quarter 2004, there were 2,115 children receiving orthodontic treatment from the health board. This means that there are over three times as many children getting orthodontic treatment from the board as there are children waiting to be treated.
Vehicle Permits.
Róisín Shortall
Question:145 Ms Shortall asked the Minister for Transport the response from local authorities to the draft guidelines on the application process for special permits for off-road dumpers; the timescale envisaged before these new guidelines are adopted; the proposals currently under discussion; the plans he has to amend legislation in this regard; and if he will make a statement on the matter. [18851/04]
All vehicles using public roads are required by law to comply with a range of standards in respect of their construction, equipment, use, weights and dimensions. The requirements are set out in the Road Traffic (Construction and Use of Vehicles) Regulations 1963 to 2002 and the Road Traffic (Construction and Use of Vehicles) Regulations 2003.
Vehicles that do not comply with the requirements in respect of maximum weight, maximum dimensions, suspension, wheels and tyre characteristics may be used in a public place provided that they are covered by a special permit under the 2003 regulations.
Special permits are issued at the sole discretion of a local authority and may include conditions limiting the use of the vehicles to particular places or routes. Applicants for permits are required to give an undertaking to refund to the local authority in question the cost of repairing any damage caused to any public road by the use of a vehicle for which a permit is issued. Vehicles, which are the subject of permits, must comply with all construction, equipment and use standards that are not specifically qualified in the permits. Permits may not include provisions that would result in the use of a defective vehicle.
My Department is engaged in a consultative process with a view to amending the permit scheme so that it is more effective in road safety and operational terms. The draft revised guidelines are intended to address vehicle/road safety, protection of infrastructure investment, environmental concerns, public project economics and job protection.
A decision on revised guidelines will take account of the degree of consensus among the concerned parties including local authorities, the Garda authorities and plant owners. However, as the views of some parties remain to be finalised I am not yet in a position to anticipate the content or timing of any decision. Amending legislation is not necessary for a revision of the guidelines.
Visa Applications.
Willie Penrose
Question:146 Mr. Penrose asked the Minister for Justice, Equality and Law Reform if he has received an application for a visa from a person (details supplied); if the visa will be granted; and if he will make a statement on the matter. [18728/04]
I can confirm that the visa in question was approved by my Department on 31 May 2004.
Registration of Title.
Cecilia Keaveney
Question:147 Cecilia Keaveney asked the Minister for Justice, Equality and Law Reform the position in relation to a Land Registry application by a person (details supplied) in County Donegal; and if he will make a statement on the matter. [18743/04]
I am informed by the Registrar of Titles that two applications for transfer of part were lodged on 14 May 2001 and 18 July 2003 on the folio referred to by the Deputy. Dealing Nos. D2001WS003831R and D2003WS006749X refer. I am further informed that these applications were completed on 21 June 2004
Adoptive Leave.
Bernard J. Durkan
Question:148 Mr. Durkan asked the Minister for Justice, Equality and Law Reform when adoptive parents will have the same entitlements as biological parents in such areas as length of maternity leave and paid time off for adoptive assessments; and if he will make a statement on the matter. [18820/04]
The Adoptive Leave Act 1995 was introduced to provide an entitlement to leave from employment similar to maternity leave for an adopting mother after the placement of a child into her care. The purpose of the Act was to redress the perceived anomaly that women who adopted children were excluded from existing maternity arrangements. The Act seeks to replicate all the relevant benefits of maternity leave for women whose motherhood arises from adoption and its provisions were modelled on existing arrangements for natural mothers. However, adoptive leave has always been shorter in duration than maternity leave to take into account the health and safety considerations which arise particularly in the last weeks of pregnancy. These considerations do not apply in the case of adoption. While maternity and adoptive leave may be analogous in many respects, it is important to differentiate between them on the basis of the biological factors applicable to natural motherhood, which are absent in the case of adoption. The 1995 Act provides an employed adopting mother or sole male adopter with 14 weeks' adoptive leave, attracting payment of Department of Social and Family Affairs benefit, commencing on the date of placement and an optional eight weeks unpaid additional adoptive leave, some or all of which may be taken prior to placement in the case of a foreign adoption.
The Adoptive Leave Bill 2004, which was passed by the Seanad on 15 June last, seeks to amend the 1995 Act in order to apply, where appropriate, to adoptive leave the recommendations made by the Working Group on the Review and Improvement of the Maternity Protection Legislation. The recommendation to increase the periods of adoptive leave from ten weeks to 14 weeks and unpaid additional adoptive leave from four weeks to eight weeks was implemented very shortly after the working group completed its deliberations.
In the interests of maintaining the parity of entitlements between adopting and natural mothers, the Adoptive Leave Bill incorporates a provision to further increase the adoptive leave period by two weeks to 16 weeks as approved by the Government last October. The increase in adoptive leave is linked to the proposed reduction in the Maternity Protection (Amendment) Bill 2003 of the compulsory pre-confinement period of maternity leave. Once the two Bills are enacted, both natural and adopting mothers will be able to avail of 16 weeks' leave, with payment of Department of Social and Family Affairs benefit, from the time a child is born or placed into their care.
The Bill also provides for a new entitlement for adopting parents to time off from work, without loss of pay, to attend the pre-adoption classes and interviews which they are obliged to attend within the State as part of the adoption process. This new provision parallels the provisions in the maternity protection legislation for paid time off work before the birth for pregnant women to attend antenatal care appointments. However, it also recognises that the adoption process differs from maternity in that it requires the full participation of both parents at each stage of preparation. This new entitlement will better facilitate prospective adopting parents in meeting their work commitments while also attending the required elements of the application and assessment process for adoption.
I am satisfied that the provisions of the Bill will offer improved employment protection and greater flexibility to employed adopting parents throughout the adoption process from the preparation stages through to placement and during the important initial period after a child is received into its new family.
Civil Debts.
Brian O'Shea
Question:149 Mr. O’Shea asked the Minister for Justice, Equality and Law Reform the proposals he has to end the practice of jailing persons who are unable to pay their civil debts; and if he will make a statement on the matter. [18850/04]
No one is imprisoned for simple inability to pay a civil debt but the law does provide for imprisonment where, following an examination of means, the debtor refuses to obey a court order to pay the debt. The Government legislation programme does not include any proposals for amending legislation in this area. However, the area is one that continues to be kept under review taking into account the work of the Money Advice and Budgeting Service, and other relevant agencies.
Garda Security Escorts.
Bernard J. Durkan
Question:150 Mr. Durkan asked the Minister for Justice, Equality and Law Reform the costs incurred by the Exchequer in connection with security provided for banks and other leading institutions in each of the past five years; and if he will make a statement on the matter. [18873/04]
I am informed by the Garda authorities that the costs incurred by the Garda Síochána in providing cash escorts for the banks-lending institutions in each of the past five years is as follows:
|
Year |
Costs |
|
€ |
|
|
2003 |
3,283,348 |
|
2002 |
3,953,886 |
|
2001 |
4,341,491 |
|
2000 |
2,971,817 |
|
1999 |
3,112,538 |
Following negotiations between the banks and my Department last year, the banks agreed to increase their contributions to these costs to €3,000,000 in respect of 2003. It was also agreed that further discussions would occur about the level of contributions to be made by the banks in future years, and my Department is currently pursuing this matter.
I am further informed by the Garda authorities that other, more generalised security provided to the banks-lending institutions forms part of operational policing and is not costed separately.
Treatment of Prisoners.
Aengus Ó Snodaigh
Question:151 Aengus Ó Snodaigh asked the Minister for Justice, Equality and Law Reform if Ireland supported or opposed the ratification of the basic principles for the treatment of prisoners, adopted and proclaimed by the United Nations General Assembly on 14 December 1990; and his views on the fact that this declaration expresses the agreed international minimum standards for the treatment of prisoners and must therefore underpin prison legislation and policy in this State. [18891/04]
Ireland, together with the other member states of the EU, supported the adoption of United Nations General Assembly resolution 45/111, to which the basic principles for the treatment of prisoners are annexed. The resolution was adopted without a vote on 14 December 1990. The basic principles had been recommended for adoption by the Eighth United Nations Congress on the Prevention of Crime and the Treatment of Offenders, which was held in Havana, Cuba from 27 August to 7 September 1990.
Such resolutions of the General Assembly outline the generally accepted political consensus among member states of the United Nations but are not legally-binding and do not impose legal obligations on states. Since they are not international legal instruments, they are not open for signature or ratification.
The Rules for the Government of Prisons 1947 provide a very detailed regulatory framework for every operational aspect of prison life and set out in considerable detail the full range of rights, duties and obligations for prisoners, prison staff and management.
Proposals for new prison rules have been prepared in my Department and transmitted to the Attorney General for legal drafting. I wish to advise the Deputy that relevant UN and Council of Europe instruments are being taken into account in the drafting of the new prison rules. The rules will come into force, as a statutory instrument, as soon as possible after the text has been finalised.
Garda Operations.
Aengus Ó Snodaigh
Question:152 Aengus Ó Snodaigh asked the Minister for Justice, Equality and Law Reform the cost to the State of the Garda security operations in relation to the coming US presidential visit. [18892/04]
I am advised by the Garda authorities that the full costs of the security arrangements relating to the forthcoming visit of the US President are not available at present.