Written Answers Nos. 51-57
51. Deputy Róisín Shortall asked the Minister for Finance if property ID and PIN information can be issued to a person (details supplied) in Dublin 9 who did not receive any correspondences from Revenue; and if he will make a statement on the matter. [49965/13]
View answerI am advised by Revenue that customers who are registered for the Revenue Online Service (ROS) were issued with both their 2013 Local Property Tax (LPT) Return and 2014 Payment Notification via their ROS inboxes. Revenue has confirmed to me that the person in question was issued with his 2014 Payment Notification on 23 October 2013 through ROS. The notification, which can still be accessed via his ROS inbox includes both his Property ID and PIN number, and also includes the amount of LPT due for 2014 based on his 2013 Return. Revenue has also confirmed to me that the person successfully accessed his 2013 information via ROS and completed his filing and payment options through the online system on 2 May 2013. Revenue has advised me that if the person is experiencing difficulty in accessing his information or if he requires any other assistance in filing his 2014 Payment Notification he should contact the LPT helpline at 1890 200 255 where an agent will be glad to assist him.
52. Deputy Robert Troy asked the Minister for Finance if a person has to pay a property tax on a second property (details supplied); and if he will make a statement on the matter. [49969/13]
View answerFor Local Property Tax (LPT) purposes a residential property is defined as any building or structure (or part of a building) which is used as, or is suitable for use as, a dwelling. I am advised by the Revenue Commissioners that property owners should take account of the structure of the building; including whether the property has a roof, windows and doors, sanitary facilities, services (water or electricity supply turned off or temporarily disconnected would not necessarily mean that a residential property is uninhabitable) to assist them in deciding whether their property is not habitable. I am further advised that LPT is a self-assessed tax and where an owner considered that their residential property was not suitable for use as a dwelling, they were obliged to notify Revenue in writing as soon as possible after they had received their LPT Return for 2013. Owners were also required to provide relevant supporting documentation; for example, photographic evidence, a report from a suitably qualified person such as a surveyor or an engineer. As the due date for filing a LPT1 Return for 2013 was 7 May 2013, the Commissioners recommend that the property owner should write to the LPT Branch, PO Box 1, Limerick without delay.
Based on the information provided by the property owner, Revenue will consider the circumstances of the application, make a decision on the matter and advise them accordingly.
53. Deputy Niall Collins asked the Minister for Finance if he will provide in tabular form the number of appointments to State boards under his Department's remit made since March 2011 to date in 2013; the number of vacancies in State boards under his Department's remit since March 2011 to date in 2013; the number of vacancies State boards under his Department's remit publically advertised since March 2011 to date in 2013; and the number of appointments to State boards under his remit drawn directly from the public advertisement process. [50013/13]
View answerThe information requested by the Deputy is contained in the following tables :
The Financial Services Ombudsman Council
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Name of appointee/Date of appointment or reappointment |
Details |
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Mr Dermott Jewell (Chairman) Members Mr Paddy Leydon Frank Wynn Ms Caitriona Ní Charra Mr Tony Kerr Mr Michael Connolly Ms Elizabeth Walsh All were appointed or re-appointed on 29 October 2013. |
The Financial Services Ombudsman Council term of office expired on 28 October 2013. The serving 6 Council members were re-appointed and an additional member was appointed to the Council. All Council members will serve a term of two years (up to 28 October 2015) or until the merger of the Financial Services Ombudsman with the Pensions Ombudsman has been completed, whichever is the sooner. |
Board of National Asset Management Agency
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Name of appointee/Date of appointment or reappointment |
Details |
|
Mr. John Mulcahy 07 Mar 2012 Mr Oliver Ellingham 10 April 2013 |
The Board consists of 9 members. In the period since March 2011 to date in 2013 there have been three vacancies. Currently there is one vacancy on the board. Expressions of interest were sought in respect of this vacancy on the Department of Finance website. No appointments made have been drawn directly from the public appointment process. Mr Mulcahy is head of Asset Management within the National Asset Management Agency. |
National Treasury Management Agency Advisory Committee
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Name of appointee/Date of appointment or reappointment |
Details |
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Mr John Moran (Secretary General of the Department of Finance) 06 Mar 2012 Mr Willie Walsh (Chairman) 11 Nov 2013 |
The Committee shall consist of not less than five nor more than seven members. There are currently five members. Expressions of interest were sought in respect of vacancies on the Department of Finance website. Two vacancies were filled during the period. It has been the norm to appoint the Secretary General of the Department of Finance to the Advisory Committee since the establishment of the National Treasury Management Agency. Mr Walsh’s appointment was not drawn from the public appointment process. |
National Pensions Reserve Fund Commission
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Name of appointee/ Date of appointment or reappointment |
Details |
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Mr Maurice Keane Appointed 05 Feb 2012 |
The Commission consists of seven members. There is one vacancy for an Ordinary Member of the Commission. one vacancy was filled during the period in question. The post was not advertised as it involved the re-appointment of Mr Maurice Keane to the Commission. |
State Claims Agency Policy Advisory Committee
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Name of appointee/ Date of appointment or reappointment |
Details |
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Dr. Noel Whelan Jul 2012 Mr. Fachtna Murphy Jul 2012 Ms. Wendy Thompson Jul 2012 Mr. Charlie Hardy Jul 2012 – 18 Nov 2013 |
The State Claims Agency Policy Committee consists of seven members. There is currently one vacancy for an ordinary member. Four vacancies were filled during the period. The vacancies were advertised on the websites of the Departments of Finance and Public Expenditure and Reform. Dr. Whelan was reappointed as Chairperson. Mr Murphy and Ms Thompson were appointed from the public appointment process. Mr Hardy was a Departmental nominee (A Department of Health representative has , by convention, been appointed to the SCA policy advisory committee) |
National Development Finance Agency
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Name of appointee/ Date of appointment or reappointment |
Details |
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Mr Brian Murphy CEO NDFA Mr Robert Watt (Secretary General of Public Expenditure and Reform) July 2012 Mr Gerry Murphy July 2012 Petrina Smyth July 2012 |
The Board consists of the Chairperson and seven Ordinary Members. There are Currently 5 members of the board including the Chairman. There are currently three vacancies on the Board. Vacancies were advertised on the Department of Finance and Department of Public Expenditure and Reform Websites Mr Brian Murphy was Re-appointed to the Board Mr Watt as Secretary General of the Department of Public Expenditure and Reform was a direct appointment. Both Gerry Murphy and Petrina Smyth were appointed from the public appointment process. |
Credit Union Restructuring Board (ReBo)
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Name of appointee/ Date of appointment or reappointment |
Details |
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Mr. Bobby McVeigh Appointed Chair of Board on 31 Aug 2012 Members of the Board appointed 31 Aug 2012: Mr. Eoin McGettigan Mr. Tom Kavanagh Mr. Brendan Burke Ms Kathleen Prendergast Mr. Stephen O’Donovan Mr. Joe O’Toole Mr. Pat Fay Mr. Jimmy Johnstone Mr. Tim Molan Mr. Kevin Johnson Mr. Neil Ryan (Dept of Finance) Ms Elaine Byrne (Central Bank of Ireland) |
No vacancies have arisen since the Board was first appointed in August 2012. The Credit Union Restructuring Board (ReBo) comprises thirteen members in total, including six independent members. To identify suitable independent members the Department of Finance publicly advertised for expressions of interest on the Department of Finance and the Public Appointments Service websites. Nominations were also invited from credit union representative bodies, the Central Bank of Ireland and the Department of Finance. Of the 13 appointments, 6 appointments were made from those who submitted a curriculum vitae; 6 appointments were made from nominations made by the credit union representative bodies, the Central Bank of Ireland and the Department of Finance; one appointment was made for continuity purposes from a member of the Commission on Credit Unions. |
Irish Financial Services Appeals Tribunal
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Name of appointee/ Date of appointment or reappointment |
Details |
|
Appointments on 27 February 2012 Mr. Justice Murphy was reappointed as Chairperson of the Tribunal. Ms. Inge Clissman, the Deputy reappointed Chairperson Ms. Paulyn Marrinan-Quinn, Ms. Geraldine Clarke, Mr. John Fish, Mr. Liam Madden and Mr. John Loughrey were reappointed as lay members. Appointments on 5 November 2013 Mr. Justice Murphy was reappointed as Chairperson of the Tribunal Ms. Inge Clissman, the Deputy Chairperson, was reappointed to the Tribunal. Ms. Geraldine Clarke was reappointed as lay member to the Tribunal. Mr. Conor Power, Mr. Paul Brennan, Ms. Helen Collins and Ms. Teresa Pilkington were newly appointed as lay members to the Tribunal. |
No vacancies have arisen other than in respect of Tribunal members coming to the end of their term of appointment as set out in legislation.In respect of vacancies that arose in February 2013, the Department of Finance publicly advertised for expressions of interest on the Department of Finance and the Public Appointments Service websites. Of the seven (re)appointments made on 5 November 2013, three were drawn from the public advertising process. Mr. Justice Murphy was reappointed as Chairperson of the Tribunal for a period of one year under Section 57F of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Ms. Inge Clissman, the Deputy Chairperson, was reappointed to the Tribunal for a period of one year under Section 57F of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Ms. Paulyn Marrinan-Quinn, Ms. Geraldine Clarke, Mr. John Fish, Mr. Liam Madden and Mr. John Loughrey were reappointed as lay members to the Tribunal for a period of one year under Section 57F of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Mr. Justice Murphy was reappointed as Chairperson of the Tribunal for a period of five years under Section 57D of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Ms. Inge Clissman, the Deputy Chairperson, was reappointed to the Tribunal for a period of five years under Section 57D of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Ms. Geraldine Clarke was reappointed as lay member to the Tribunal for a period of five years under Section 57D of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. Mr. Conor Power, Mr. Paul Brennan, Ms. Helen Collins and Ms. Teresa Pilkington were newly appointed as lay members to the Tribunal. for a period of five years under Section 57D of the Central Bank Act 1942 as amended by the Central Bank and Financial Services Authority of Ireland Act 2003. |
Fiscal Advisory Council
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Name of appointee/ Date of appointment or reappointment |
Details |
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Professor John McHale (Chair) Mr. Sebastian Barnes Professor Alan Barrett Dr. Donal Donovan, Dr Roisin O’Sullivan All appointed with effect from 7th July 2011 No additional appointments have been made since 07th July 2011 |
The Chairman and the Council members did not undergo interview by Oireachtas Committee. However, the Fiscal Council have appeared before the Joint Oireachtas Committee on a number of occasions to discuss their fiscal assessment reports. The Fiscal Responsibility Act provides, in Schedule 11, for the right of a Dáil Éireann Committee to request the Chairman to come before Dáil Éireann. The Department did not seek expression of interest. The composition of a body such as a Fiscal Council is critical to its independence and credibility. In following the Common Principles recommendations, we sought candidates who hold valuable experience and demonstrate competence in their fields of expertise. A significant number of potential candidates were considered against a range of criteria. The criteria included the desire of having a mix of appropriate backgrounds, namely academia, the financial sector/financial markets and public finance; expertise in macroeconomic/microeconomic and a strong international dimension, in addition to the need to take gender considerations into account. As would be normal practice, the process by which potential nominees were identified, considered and selected involved officials from my Department. The final decisions regarding the appointments were made by me following consultations with Cabinet colleagues and others. |
54. Deputy Michael McGrath asked the Minister for Finance the amount of interest payable in 2013 and 2014 on the Exchequer bonds issued to replace the Irish Bank Resolution Corporation promissory note; the amount of this interest that is likely to accrue to the Central Bank of Ireland; and if he will make a statement on the matter. [50027/13]
View answerThe National Treasury Management Agency (NTMA) issued eight new Floating Rate Treasury Bonds to the Central Bank of Ireland (CBI) on 8 February 2013 to replace the Promissory Notes previously held by IBRC.
The bonds have maturities ranging from 25 to 40 years and pay interest every six months – in mid-June and in mid-December – based on the six-month Euribor interest rate plus an interest margin which averages 2.63% across the eight issues.
Total cash interest on the floating rate bonds this year will be just under €0.65 billion. Interest payable in 2014 has been estimated to be approximately €0.2 billion higher than in 2013, due primarily to the fact that a full year’s interest is payable next year.
To the extent that the CBI is the holder of the bonds, interest payable will accrue to the CBI.
The CBI has undertaken that bonds to the minimum value indicated will be sold in accordance with the following schedule: €0.5 billion to end-2014, €0.5 billion per annum in 2015-2018, €1 billion per annum in 2019-2023 and €2 billion per annum from 2024 onwards.
55. Deputy Michael McGrath asked the Minister for Finance if any sales of the Exchequer bonds issued to replace the Irish Bank Resolution Corporation promissory note have been made by the Central Bank of Ireland to date; the amount of the proceeds of the sale; the actions taken by the Central Bank of Ireland following any sale; if the intention is still for the Central Bank to sell the bonds as soon as possible; and if he will make a statement on the matter. [50028/13]
View answer57. Deputy Michael McGrath asked the Minister for Finance the actions the Central Bank of Ireland will take following the sale of Exchequer bonds issued to replace the Irish Bank Resolution Corporation promissory note; the impact the sales of such bonds have on the State’s debt profile and income from the Central Bank surplus; and if he will make a statement on the matter. [50030/13]
View answerI propose to take Questions Nos. 55 and 57 together.
The Central Bank has indicated that the portfolio of Government bonds now held by the Bank following the liquidation of IBRC will be sold as soon as possible, provided conditions of financial stability permit. The Bank has, however, undertaken that a minimum amount of bonds will be sold in accordance with the following schedule: to end 2014 (€0.5bn), 2015-2018 (€0.5bn p.a.), 2019-2023 (€1bn p.a.), 2024 and after (€2bn p.a.). The Bank normally reports in detail on its balance sheet only at annual intervals although it also publishes a more aggregate balance sheet on a monthly basis. While the latter does not contain details of its investment holdings, I have been advised that, in its Annual Report for 2013, the Bank will report on any progress towards the 2014 €0.5 billion minimum sales target. The issue of proceeds from the disposals and its impact on profit distribution is a matter for the Central Bank of Ireland.
56. Deputy Michael McGrath asked the Minister for Finance if he accepts that the sale of Exchequer bonds issued to replace the Irish Bank Resolution Corporation promissory note by the Central Bank of Ireland has the potential to increase Ireland’s bond yields and in so doing raise the State’s annual interest bill; and if he will make a statement on the matter. [50029/13]
View answerDeputies will recall that the IBRC Promissory Notes were replaced with a portfolio of Irish Government bonds which consists of three tranches of €2 billion each maturing after 25, 28 and 30 years, three tranches of €3 billion each maturing after 32, 34 and 36 years and two tranches of €5 billion each maturing after 38 and 40 years. Under the original Promissory Note arrangement, the Government was scheduled to make annual payments of €3.1 billion thereby putting significant upward pressure on the amounts to be funded from the market. The provision of these long-term non-amortising Government bonds to replace the amortising Promissory Notes has therefore had significant benefits from a market perspective as it ensures that there will be much less issuance of Irish Government bonds into the market over the next decade and beyond than would otherwise have been the case.
Increasing the weighted average life of the debt associated with the funding of IBRC from circa 7-8 years to circa 34-35 years and securing a lower funding cost for the State, result in significant annual interest savings. Combined with the extension of EFSF and EFSM loans, this will result in an estimated reduction of some €40 billion in the Exchequer’s funding requirement over the next decade. It is also expected that there will be a reduction in the underlying General Government deficit of circa €1 billion per annum in the coming years (before transaction costs) reducing the forecast deficit by around 0.6% of GDP annually. Removal of Exceptional Liquidity Assistance and the inherent risk associated with short-term borrowings which had to be rolled over on a fortnightly basis was also a significant benefit.
Bond markets have reacted well to the impact of these and other improvements in Ireland’s financial and fiscal position with the result that Irish bond yields are now at historically low levels. The ten-year yield, for example, is currently at around 3.5%, far lower than had been the case before the State entered the EU/IMF programme. The impact of the announcement in February regarding the Promissory Notes was notable with the yield on the 2025 bond falling by almost half of one per cent (0.5%) in the week following the announcement. Standard and Poor’s revised the outlook on Ireland’s credit rating to ‘stable’ on the back of the announcement while Moody’s and Fitch Ratings published positive commentaries.
The Central Bank of Ireland, which holds the Government bonds that replaced the Promissory Notes, will sell a minimum of the bonds in accordance with the following schedule: to end 2014 (€0.5 billion), 2015-2018 (€0.5 billion per annum), 2019-2023 (€1 billion per annum), 2024 on (€2 billion per annum until all bonds are sold). The schedule of sales takes into account the Central Bank’s holding of €3.6 billion of the 2025 bond as a result of the liquidation of Anglo Irish Bank. Further amounts can be sold but only where such sale is not disruptive to financial stability.
