Tuesday, 12 March 2013

Questions (171)

Pearse Doherty

Question:

171. Deputy Pearse Doherty asked the Minister for Finance if he will provide in tabular form a breakdown by covered institution of the €1,235,980,000 in 2011 and €1,024,786,000 in 2012 of eligible liabilities guarantee fees received by the State; and if he will provide a projection of the fees payable in 2013 by covered institution and the projected fees in budget 2013. [12625/13]

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Written answers (Question to Finance)

Fees paid by the covered institutions in respect of the ELG Scheme guarantee are paid quarterly in arrears and therefore there is a time lag before the fees are paid into the Exchequer (i.e. fees received as cash in Q1 of 2012 are in respect of fees accrued in Q4 of 2011). Accordingly, the published figures for fees received in respect of 2011 and 2012 are on an accrued basis and are €1,234.6 million and €951.2 million, respectively. The corresponding cash figures are €1,230.8 million and €1,024.2 million.

The following tables show a breakdown of fees accrued in 2011 and 2012 by credit institution.

Breakdown of ELG fees accrued in 2011

€millions

€millions

€millions

€millions

Total

Q1

Q2

Q3

Q4

IL&P

38.0

42.0

42.8

42.4

165.2

BoI

107.9

97.2

96.8

73.5

375.4

A.I.B

95.8

93.5

67.3

75.4

332.0

IBRC

9.9

5.7

4.8

3.5

23.9

EBS

11.8

13.0

14.4

15.5

54.7

Total

263.4

251.4

226.1

210.3

951.2

Breakdown of ELG Fees accrued in 2012

€millions

€millions

€millions

€millions

Total

Q1

Q2

Q3

Q4

IL&P

38.0

42.0

42.8

42.4

165.2

BoI

107.9

97.2

96.8

73.5

375.4

A.I.B

95.8

93.5

67.3

75.4

332.0

IBRC

9.9

5.7

4.8

3.5

23.9

EBS

11.8

13.0

14.4

15.5

54.7

Total

263.4

251.4

226.1

210.3

951.2

The ELG Scheme fee estimates used in Budget 2013 of €435m were prepared as part of the normal budgetary process in November 2012.

For the purpose of Budget 2013, assumptions were made regarding the volumes of deposits, their maturity profiles and the mix of deposit books across each of the Covered Institutions. These assumptions are subject to change.

The Budget 2013 fee estimates have not been revised following the announcement of the ending of the ELG Scheme which is due to end at midnight on 28 March, 2013. The fees have not been re-forecasted because the final mix of deposits and the maturity profile of covered liabilities will only be known once the issuance window is closed i.e. after 28 March. My Department will then re-forecast ELG fee estimates for 2013 onwards. I do not expect any negative budgetary implications as a result of the ending of the ELG Scheme.

The fee estimates included in Budget 2013 were €435mn on a cash basis. As such information is regarded as commercially and price sensitive going forward, it cannot be provided on a bank-by-bank basis.