Michael McGrath
Question:70. Deputy Michael McGrath asked the Minister for Finance the final cost of the winding up of the Irish Bank Resolution Corporation; and if he will make a statement on the matter. [4978/13]
View answerIBRC Investigations
Questions (70)
Written answers
IBRC provides details of their outstanding liabilities in their published accounts. This cumulative figure amounted to €50.4bn at 30 June 2012 including €45.2bn representing sale and repurchase agreements with banks and central banks. This amount will have to be repaid over time, mainly from annual instalments on the Promissory Notes. The realisable value on the remaining IBRC loan book (€15.6bn at 30 June 2012) will also be used to reduce this liability over time. The amount of money required by IBRC to repay total liabilities (including these sale and repurchase agreements) is subject to material uncertainty and market factors which include: the expected timing of asset recoveries and sales (themselves dependant on property prices, especially in the UK and Ireland); the volume and timing of maturing funding commitments and deposits; and projected interest rates within the Eurozone.
The bank’s policy is that, due to the commercially sensitive nature of such information as noted above combined with the many external variables involved, it does not issue formal projections. However, as you may be aware, the Chairman of IBRC stated at the Oireachtas Committee for Finance and Public Expenditure that he hopes the final bill for Anglo Irish Bank, “will come nearer to €25 billion.than the €29 billion to €34 billion figure”, previously announced. The bank remains of the view that there will be a small return to the State at full resolution, given the assumptions currently being used. I do not see how the comments made by the Chief Executive of the NTMA made at his recent appearance before the same Committee on the likely cost of the winding up of IBRC are inconsistent with these statements.
National Pensions Reserve Fund Plans
Questions (71)
Michael McGrath
Question:71. Deputy Michael McGrath asked the Minister for Finance the current value of the discretionary portfolio held by the National Pension Reserve Fund; his plans for these assets; the timetable he envisages for their investment in the domestic economy; the range of new assets in which he envisages the NPRF investing; and if he will make a statement on the matter. [4979/13]
View answerWritten answers
I am informed by the National Treasury Management Agency, as Manager of the National Pensions Reserve Fund, that as at 31 December 2012 the Fund’s total value stood at €14.7 billion, of which the Discretionary Portfolio comprises €6.1 billion. The Government announced the establishment of the Strategic Investment Fund (SIF) in September 2011. The purpose of the SIF is to channel commercial investment from the National Pensions Reserve Fund (NPRF) towards productive investment in the Irish economy. As well as funding from the NPRF, the SIF will seek matching commercial investment from private investors and target investment in areas of strategic significance to the future of the Irish economy. Sectors identified as being areas of importance to the Irish economy include infrastructure, water, financing for SMEs and venture capital.
The objective therefore, is to refocus investment in Ireland, supporting economic growth and employment. A business plan is being developed which will address the sectors and range of assets to be considered for investment. Within its existing statutory investment policy and in line with the SIF announcement, the NPRF has undertaken a number of investments and initiatives under which NPRF capital will be invested on a commercial basis in Ireland. The NPRF has committed to invest in: infrastructure (€250 million), PPP projects (€118 million) and finance for the SME sector (€500 million) and has entered into a collaborative relationship with Silicon Valley Bank. The NPRF continues to work on assembling and developing a pipeline of additional commercial opportunities for the SIF.
General Government Debt
Questions (72)
Michael McGrath
Question:72. Deputy Michael McGrath asked the Minister for Finance if he will set out in tabular form the ratio of general Government debt net of cash held by the National Treasury Management Agency to gross domestic product at the end of each year from 2005 - 2012; and if he will make a statement on the matter. [4980/13]
View answerWritten answers
General government debt is a gross measure which does not allow for the offsetting of cash balances and other related assets. It is the standard measure of Government debt used for comparative purposes throughout the European Union. The table below sets out the general government debt, the cash and deposits held by the NTMA and the general government debt position net of cash and deposits in monetary terms and as a percentage of GDP.
General government debt and cash assets 2005-2012: €billion
|
Description |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
2011 |
2012* |
|
General government debt (GGD) |
44.4 |
43.8 |
47.3 |
79.6 |
104.6 |
144.2 |
169.2 |
191.9 |
|
Cash & Deposits |
2.2 |
3.6 |
4.5 |
22.1 |
21.8 |
12.6 |
13.1 |
19.3 |
|
GGD less Cash |
42.3 |
40.2 |
42.9 |
57.5 |
82.8 |
131.6 |
156.1 |
172.6 |
|
GGD less Cash as % of GDP |
26% |
23% |
23% |
32% |
51% |
84% |
98% |
106% |
Source: Eurostat, NTMA
*Budget 2013 forecast of end-2012 GGD and GDP position
General Government Debt
Questions (73)
Michael McGrath
Question:73. Deputy Michael McGrath asked the Minister for Finance if he will set out in tabular form the current composition of the general Government debt in terms of Exchequer debt, borrowings under the EU / IMF programme, promissory notes, retail debt and other forms; the term to maturity and average interest rate on each component; and if he will make a statement on the matter. [4981/13]
View answerWritten answers
The most recent calculation of Ireland’s general government debt is for the end of the third quarter of 2012 when stock of debt stood at EUR 191 billion. Details of the composition of this debt, its maturity and average interest rate are set out in the table below.
General Government Debt as at end September 2012
|
Instrument |
Outstanding |
Average residual Maturity |
Average Interest rate |
|
€bn |
Years |
% |
|
|
Government Bonds |
89 |
5.9 |
4.83 |
|
EU-IMF Programme |
54 |
9.2 |
3.32 |
|
State Savings |
15 |
* |
3.04 |
|
Promissory note (IBRC) |
25 |
18.2 |
8.20** |
|
Short term debt |
5 |
0.27 (100 days) |
1.44*** |
|
Other general government debt |
3 |
**** |
**** |
|
Total general government debt |
191 |
- |
- |
Source NTMA, CSO
* The State Savings products offered to personal savers include overnight demand and 30 day notice Deposit accounts and savings products with maturities from 3 to 10 years. These balances generally have a very high re-investment rate.
** The post interest holiday interest rate on the IBRC promissory notes is 8.2%. It is worth noting that this interest is paid to a fully State-owned bank so it does not leave the system.
*** A recent auction of short term Treasury Bills in January 2013 by the NTMA raised funds at a yield of 0.20%. The table shows the average original maturity from issue date for short term debt.
**** The balance of €3 billion of general government debt includes debt of Local Authorities, the Housing Finance Agency, non-commercial semi-state bodies, voluntary hospitals, the HSE, small savings accruals and the outstanding EBS promissory note of EUR 227 million.
Tax Credits
Questions (74)
Bernard Durkan
Question:74. Deputy Bernard J. Durkan asked the Minister for Finance if any refund of income tax in respect of rent is due in the case of a person (details supplied) in Dublin 5; and if he will make a statement on the matter. [5045/13]
View answerWritten answers
I am informed by the Revenue Commissioners that the person in question received the rent tax credit for the years 2005 – 2010. Following receipt of the Deputy’s previous Question, 29th November 2012, the Revenue Commissioners arranged for the issue of a PAYE Balancing Statement for the year 2011, granting the rent credit. The refund for 2011 was lodged to the person’s bank account on the 30th November 2012.
On the 27th November 2012, an amended tax credit certificate issued for 2012 and following receipt of the certificate, the employer should have made any refund due through the person’s salary. However, if the refund was not made the person should forward his P60 certificate for 2012 to North City Revenue District, 9/15 Upper O’Connell St., Dublin 2. A tax credit certificate has also issued to the employer for the year 2013, including the rent tax credit.
National Procurement Service Framework Agreements
Questions (75)
Dara Calleary
Question:75. Deputy Dara Calleary asked the Minister for Education and Skills if he will confirm whether school boards of management are permitted to purchase goods and services from a supplier of their choice in the event that such a supplier may provide the goods and or services at the same or at a lower price than that of the agreed contract supplier under the National Procurement Service; and if he will make a statement on the matter. [4835/13]
View answerWritten answers
The National Procurement Service is focused on developing centralised arrangements for the procurement of goods and services used commonly across the public service nationwide. The benefits arising from these central arrangements include: cash savings; administrative savings from reduced duplication of tendering; greater purchasing expertise; improved consistency; and enhanced service levels. My Department is currently working on a procurement circular for schools and the content of this will be the subject of discussion with the National Procurement Service and the school management bodies in the coming weeks.
Departmental Agencies Issues
Questions (76)
Billy Kelleher
Question:76. Deputy Billy Kelleher asked the Minister for Education and Skills if he will provide in tabular form the number of organisations or agencies under the aegis of his Department that have vacancies on their board; the length of time any such vacancies have been unfilled; the number of vacancies that have been advertised; the number of applications to fill such vacancies that have been received; and if he will make a statement on the matter. [4857/13]
View answerWritten answers
The information the Deputy has requested is included in the table. Vacancies on boards of Bodies under the aegis of my Department that arise will continue to be advertised on my Department's website. The Deputy may wish to note that, in making any direct Ministerial appointments, I am not necessarily confined to those who make such expressions of interest but will ensure that all of those appointed have the relevant skills and competencies for the positions. It should be noted that Board appointments, while made by me as Minister, are not in all cases made at my sole discretion. Individuals may be nominated for appointment by various organisations as specified in the relevant statute of the body concerned.
|
Agency |
Vacancies |
Advertised |
Applications Received |
Data vacancies occurred |
|
Education Finance Board |
1 |
No |
N/A |
September 2012. Note 1 |
|
FÁS |
3 |
No |
N/A |
21 January 2013. |
|
National Council for Special Education |
13 |
Yes |
11 |
31 December, 2012 Note 2 |
|
Residential Institutions Statutory Funds Board |
9 |
Yes |
43 |
Board not yet established Note 3 |
Note 1
It is not proposed to fill this vacancy as the Education Finance Board is due to be dissolved and its functions subsumed into the Residential Institutions Statutory Fund Board, once established.Note 2The appointment of members to the board of the NCSE is imminent.Note 3
This Board has not yet been established. In September 2012 expressions of interest were sought from persons interested in being appointed to the Board and to date a total of 43 expressions of interest have been received. The Board will comprise 9 members.
Third Level Funding
Questions (77)
Denis Naughten
Question:77. Deputy Denis Naughten asked the Minister for Education and Skills the full cost to the Exchequer of educating a third level nurse and medical doctor respectively; the numbers graduating in each profession on an annual basis; and if he will make a statement on the matter. [4893/13]
View answerWritten answers
The estimated cost to the exchequer of educating nurses and midwives in the Higher Education Institutions (HEIs) is on average €8,405 per student annually or €33,620 per student for the full 4 years of the undergraduate degree. For undergraduate medical programmes the average annual cost in the HEIs is €14,900 per student. Courses can be of either 5 or 6 years duration. Therefore the estimated cost per student to the Exchequer over the full period of the programmes is €74,500 for the 5 year programme or €89,400 for the 6 year programme. Graduate entry medical programmes cost an average €10,000 per student annually. Courses are 4 years duration and the cost to the Exchequer over the full programme is an estimated €40,000 per student.
The above estimated costs, which have been provided by the Higher Education Authority, relate to Exchequer only expenditure (grant plus free fees). The student contribution and, in the case of graduate entry medicine the tuition fee paid by the student, are excluded. It should be noted that in addition the student contribution is paid by the Exchequer in respect of students who qualify under my Department's student grant scheme. It should also be noted that these estimates do not include costs met by the Dept. of Health and/or the HSE in providing clinical training placements and internships in the health sector.
The information sought on the numbers graduating is as follows: Graduates at Honours Bachelors Degree (Level 8) 2012:- Graduate entry to Medicine - 32, Undergraduate Medicine - 706, Nursing and Midwifery- 1833, Grand Total - 2571.
Youthreach Programme
Questions (78)
Seán Ó Fearghaíl
Question:78. Deputy Seán Ó Fearghaíl asked the Minister for Education and Skills the circumstances in which his Department would establish a Youthreach project in an area; and if he will make a statement on the matter. [4926/13]
View answerWritten answers
There are almost 6,000 Youthreach places available nationwide under the Youthreach umbrella funded by my Department. Almost 3,700 of these places are provided by Vocational Educational Committees (VECs) in just over 100 Youthreach centres. The majority of the remainder of places are provided by FÁS in some 30 Community Training Centres. The establishment of a Youthreach centre over and above the current provision would require the allocation of additional Youthreach places. The overall number of approved Youthreach places is set at its current level because there is a continuing requirement to plan and control numbers and to manage expenditure within the overall educational policy and provision. Any consideration of providing additional Youthreach places would have to take account of the present and prospective economic and budgetary context and related financial constraints. In addition, there would have to be evidence that there was sufficient demand in a particular area that could not be met from within existing resources or through existing further education and training provision.
Early Child Care Education Issues
Questions (79)
Finian McGrath
Question:79. Deputy Finian McGrath asked the Minister for Education and Skills his views on correspondence (details supplied) regarding the early start programme. [4938/13]
View answerWritten answers
The Early Start programme was introduced in the mid 1990s and was a targeted intervention by the State in early childhood education. The introduction of universal pre-school provision (the ECCE scheme) in January 2010 marked a policy shift from targeted intervention to a universal scheme. Both the universal pre-school year and the Early Start programme are for children in the year prior to their enrolment in the primary school system.
The decision to revise the age criteria for the Early Start programme was taken because of the growing body of national and international research which indicates that children who start primary school at a later age have a higher level of school readiness than their younger peers (i.e., they display a greater ability to meet the task demands of school, such as being cooperative and listening to the teacher, and to benefit from the educational activities that are provided by the school). An example of such research in the Irish context is a recent study by University College Cork on Early Childhood Development in Cork City. The study found that the younger the child, the less ready they were for school.
I note the concerns that because the age range has changed, that parents will send their children straight to school and will not enrol them in the Early Start programme. However, based on the participation of children in the universal pre-school scheme, there is very little evidence that parents/guardians are opting out of a free pre-school programme to enrol their very young children in primary schools. It is also worth noting that the Department of Children and Youth Affairs subvent childcare places for children in Community not for profit pre-schools. Children can start attending their community pre-school at a much younger age than 3 years before transferring to the ECCE programme or to the Early Start programme. There are very few children who now enrol in Primary schools who haven't had a pre-school experience. Based on the evidence, I am not prepared to reverse the change to the age range for the Early Start programme.