The FOI Acts give a definition of “commercially sensitive information” as “information whose release could prejudice the competitive position of the organisation”. The pillar banks regularly supply information to my Department and the Central Bank and much of this information is described by the banks as commercially sensitive. In some cases, the banks may be willing to put the information requested into the public domain notwithstanding that it may be commercially sensitive. To my knowledge, neither pillar bank has published information on new lending to new customers.
As the Deputy pointed out, the CEO of AIB told the Joint Committee on Finance, Public Expenditure and Reform that €600 million of its lending was specifically new lending. This includes both brand new facilities and top ups/increases to existing facilities but only the additional element of top ups is included in the €600 million.
The CEO of Bank of Ireland told the same Committee that at least 97% of the €3.5 billion will be new or increased lending to existing or new customers. He also said that Bank of Ireland do not count restructured lending in their targets. Officials in my Department are continuing to engage with both banks and with the Central Bank and Credit Review Office on these numbers.
The lending targets imposed on the two pillar banks are only a part of the Government’s strategy to ensure that viable SMEs are able to access the credit they need. In my recent budget statement, I announced a ten point tax reform plan to help small businesses. I also announced the sanctioning of the appointment of additional reviewers in the Credit Review Office to ensure that SMEs appealing the banks’ decisions to decline credit receive a considered and timely response to their application. We are currently engaged in a public consultation process in order to see what more the Credit Review Office can do to ensure SMEs are getting the support on bank lending they require and I would welcome any proposals from the Deputy on this topic which can be submitted to croassessment@finance.gov.ie. I would strongly urge viable SMEs to appeal any refusals of credit to the Credit Review Office.
