Written Answers Nos. 63-66
63. Deputy Brendan Smith asked the Tánaiste and Minister for Foreign Affairs and Trade the recent discussions he has had in relation to the need to progress the proposal to establish a successor programme to the Peace III Programme; and if he will make a statement on the matter. [3637/13]
View answerThe existing PEACE III programme will make its final allocations this year, although some projects will be funded up to late 2015. We have been working actively to ensure that a successor programme will be put in place. I discussed this matter most recently at the meeting in Belfast on 17 January, 2013 with the Secretary of State, Theresa Villiers MP, Minister of State Mike Penning MP, the First Minister, Peter Robinson and the Deputy First Minister, Martin McGuinness. The EU funding for a new PEACE programme will depend on the outcome of the overall EU Multiannual Financial Framework negotiations, which are currently ongoing in Brussels.
64. Deputy Pearse Doherty asked the Minister for Finance the value that a shareholding the €1 billion CCNs in Bank of Ireland earlier this month would have if they were realised as ordinary shares in the bank. [3480/13]
View answerAs announced by my Department last week the State was successful in disposing of its entire €1 billion holding of Contingent Capital Notes in Bank of Ireland. In the end, the book build process generated significant excess demand to enable the State to dispose of its entire holding in the CCNs at a price of 101% of their par value plus accrued interest. This generated a profit for the State of €10 million. Taking account of the coupon paid to the State last year, the taxpayer has earned a total return of over 15% in the space of 18 months.
As the Deputy will be aware the CCNs would only have converted to ordinary shares in BOI on the occurrence of a conversion event, i.e. a capital deficiency event (capital ratio less than 8.25%) or non-viability event. The CCNs were not convertible into ordinary stock at the option of the holder at any time, including when the State entered into the transaction.
65. Deputy Pearse Doherty asked the Minister for Finance when the Mercer report on bankers' pay will be published. [3481/13]
View answerThe position is as outlined in my reply of 17 January 2013 to the Deputy on the matter, namely that I expect the consultant’s final report on bankers’ remuneration to be submitted shortly. I fully recognise that there is a real public interest in the levels of remuneration at the covered institutions and I will endeavour to have the details underpinning the review published in the shortest timeframe possible.
66. Deputy Joanna Tuffy asked the Minister for Finance if hhe will provide an update on the changes in budget 2013 that affect AVCs; and if he will make a statement on the matter. [3513/13]
View answerIn my Budget 2013 speech, I announced that I would make provision in Finance Bill 2013 for persons making additional voluntary contributions used to supplement their main scheme retirement benefits to withdraw up to 30% of the value of those contributions. Any amounts withdrawn will be subject to tax at the individual’s marginal rate. The option will be available for three years from the passing of the 2013 Finance Bill which is expected to become law in early April at the latest. This is a restricted measure which will enable rather than incentivise certain individuals to access part of their pension savings beyond their regular or compulsory pension contributions. I do not wish to damage future pension provision and it is important that individuals continue to provide for their retirement. For these reasons, I have no plans to extend the measure beyond AVCs.
