Written Answers Nos. 72-81
72. Deputy Michael Colreavy asked the Minister for Finance the number of applications that were made under the home renovation incentive scheme; the amount that was awarded in value added tax returns; and the number of homes renovated under this scheme. [26536/15]
View answerAs the Deputy is aware, the Home Renovation Incentive was introduced in Budget 2014. The scheme came into operation on 25 October 2013 and will run until 31 December 2015. The incentive provides tax relief for homeowners by way of a tax credit at 13.5% of qualifying expenditure incurred on repair, renovation or improvement work carried out on a principal private residence. In Budget 2015 I extended the scheme to include rental properties, whose owners are subject to income tax.
Qualifying works are works which are subject to the 13.5% VAT rate. These works must cost a minimum of €4,405 (exclusive of VAT) which will attract a tax credit of €595. Where the cost of the work exceeds €30,000 (exclusive of VAT), a maximum credit of €4,050 will apply. The credit is payable over the two years following the year in which the work is carried out. There is no VAT relief under this scheme.
Data relating to the Home Renovation Incentive is available from the statistics section of the Revenue website at http://www.revenue.ie/en/about/statistics/index.html. In particular, the data which the Deputy seeks is available in the Tax Expenditures section of the page at http://www.revenue.ie/en/about/statistics/hri-stats.pdf.
It should be noted that the value of the tax credits referred to therein is not reflective of the cost to the Exchequer as not all credits have been claimed to date. Furthermore, it should be noted that tax credits claimed by an individual are split evenly over a two year period.
74. Deputy Áine Collins asked the Minister for Finance if he has provided approval to An Post to set up the new transaction account. [26558/15]
View answerAn Post have been engaged with my Department regarding their proposal to provide a payment account. There are a number of steps that the company must complete including a statutory consultation with the Minister for Communication, Energy and Natural Resources. Once the necessary procedures have been completed the proposal will be submitted for my decision. I understand that the process is at an advanced stage.
75. Deputy Dara Calleary asked the Minister for Finance his plans to attend the Financing for Development summit from 13 to 16 July 2015 in Addis Ababa, Ethiopia; his plans to ensure its success; and if he will make a statement on the matter. [26632/15]
View answerAs the Deputy will be aware, discussions are ongoing on the post-2015 development agenda which is focused on agreeing a set of sustainable development goals which will be targets for developed and developing countries alike. Underlying this framework is the Financing for Development process which seeks to reach an agreement, later this year, among the participating countries on a financing package to support the achievement of the sustainable development goals. These discussions and processes are taking place at UN level and Ireland is an active participant along with other Member States.
As the Deputy referred to in his Question, the next phase of these discussions is the Financing for Development Summit in Addis Ababa in mid-July which will adopt the agreed final outcome of the negotiations. Ireland will be represented at this Summit by a delegation led by my colleague Mr Sean Sherlock T.D., Minister of State for Development, and comprising officials from the relevant Government Departments, including the Department of Foreign Affairs and Trade and my Department, reflecting the whole-of-Government approach to Ireland's development aid policy. I am pleased that civil society will also be represented on our delegation. The focus of these discussions is on developing channels of finance which are new and innovative, reflecting the shift away from traditional Overseas Development Aid (ODA) as the main source of development finance, and include: leveraging private finance as a catalyst for growth, the development of the private sector and business environment in developing countries, and strengthening the domestic resource mobilisation of developing countries.
Ireland's engagement in the post-2015 development agenda and the Financing for Development process has been guided by strong inter-Departmental coordination, co-chaired by the Department of Foreign Affairs and Trade and the Department of Environment, Community and Local Government. My Department participates actively in this interdepartmental coordination mechanism while primary responsibility for Ireland's development aid policy lies with the Minister of State for Development and the Department of Foreign Affairs and Trade.
My Department welcomes these broad-ranging and open discussions by developing and developed countries with a view to considering various options and sources for scaling-up development finance to support developing countries sustainably and in the best interests of global sustainable development.
The outcome of the Summit in Addis Ababa will be important for the progress of the overall discussions on the post-2015 Development agenda and Financing for Development process. Ireland will be actively engaged in these discussions and will consider the implications for the broader development agenda while the joined-up approach to the discussions will help to ensure that the outcomes achieved will be in line with Ireland's development aid policy and in accordance with the priority of sustainability.
77. Deputy Mary Lou McDonald asked the Minister for Finance the annual saving to his Department if spending on education and training was reduced by 2.5%, 5% and 10%; and if he will make a statement on the matter. [26920/15]
View answerThe Department invests heavily in its people to be the best and to represent Ireland both in Europe and internationally. The Project management Office and Tax Division in conjunction with the Learning and Development Unit now run both a Diploma in Taxation and a Diploma in Project Management for staff, which is a recognised level 8 Special award on the Quality and Qualifications Ireland. Both these training initiatives along with other training resulted in the Department being shortlisted and receiving an "Outstanding Achievement award 2014/2015" in the category for small and medium organisations from the Irish Institute of Training and Development. The Learning and Development unit continues to invest in its people to be the best that we can be and to become a high performing organisation.
In 2014 the budget was reduced to €302,950 and the budget for 2015 stands at €277,500.
The result of cutting the 2015 Learning and Development budget by 2.5%, 5% and 10% is as follows.
|
- |
Total Budget |
Total reduction |
New budget |
|
2.5% |
€277,500 |
€6937.5 |
€270,563 |
|
5% |
€277,500 |
€13875 |
€263,625 |
|
10% |
€277,500 |
€27750 |
€249,750 |
78. Deputy Mary Lou McDonald asked the Minister for Finance the annual saving to his Department if spending on professional fees, including but not limited to legal, IT-related, accountancy and other advisory and consultancy fees, was reduced by 10%; and if he will make a statement on the matter. [26949/15]
View answerThe total amount of professional fees paid by my Department in 2014 was €1,745,878.41 (inclusive of VAT).
A reduction of 10% would have produced a saving of €174,587.84.
79. Deputy Mary Lou McDonald asked the Minister for Finance the annual saving to the Exchequer if the Minister's special adviser's salary was capped at the first point of the principal officer grade, that is, €75,647; and if he will make a statement on the matter. [26963/15]
View answerI wish to inform the Deputy that I have two Special Advisors in my Department.
If the salaries of my two Special Advisors were capped at the first point of the Principal Officer grade, the total gross salary payable would reduce from €168,934 to €151,294. The annual saving to the Exchequer would be impacted further by a reduction in statutory deductions. Special Advisors progress through the salary steps on the relevant payscale subject to satisfactory performance. The salaries of my Special Advisor's are in line with guidelines issued by the Department of Public Expenditure and Reform on the appointment of Ministerial staff.
80. Deputy Mary Lou McDonald asked the Minister for Finance the annual saving to his Department and bodies under its aegis if all the fees for all State agency, non-commercial State-sponsored bodies and commercial semi-State board members were reduced by 25%; and if he will make a statement on the matter. [26978/15]
View answerIn answer to the Deputy's question I have been provided with the following information regarding the effect of a 25% decrease in fees for all State agency, non-commercial State sponsored bodies and commercial semi-State board members under the Aegis of the Department of Finance.
Irish Fiscal Advisory Council
There are five members of the Irish Fiscal Advisory Council (IFAC), including the Chairman, all of whom are employed on a part-time basis. The annual fee for the Chairman's role is €20,520, the fee for each of the members is €11,970 per annum.
A reduction of 25% in the annual fees payable to IFAC members would result in a total annual saving of €17,100 to the Department of Finance.
Credit Union Advisory Committee.
There are three members on the Credit Union Advisory Committee (CUAC) including the Chairman. The annual fee for the Chairman's role is €3,750, the fee for each of the members is €2,470.
A reduction of 25% in the annual fees payable to CUAC members would result in a total annual saving of €8,690 to the Department of Finance.
Credit Union Restructuring Board (ReBo)
|
Name of Body |
Board Fees |
Estimated annual saving if 25% reduction in fees |
|
ReBo |
1 (Chair) x €11,970 9 x €7,695 Total = €81,225 |
€20,306 |
This is a saving to the Department of Finance.
In respect of the listed bodies the potential savings would accrue to the body in question.
Central Bank of Ireland
A 25% decrease in fees would result in a saving to the Central Bank of €14,936 as follows:
|
Central Bank Commission |
- |
|
4 ex-officio members |
Ex-officio members do not receive a fee in respect of their membership of the Commission |
|
2 non-executive members |
Do not receive any fee as per One Person One Salary principle |
|
4 non-executive members |
€14,936 each |
|
Total 10 members |
|
|
Central Bank Commission Savings at 25% reduction |
€14,936 by 4 members amounts to a total of €59,744 |
|
Saving if fees reduced by 25% |
€ 14,936 |
|
These savings would accrue to the Central Bank and not to the Department of Finance |
Financial Services Ombudsman's Council
There are 7 members of the Council including the Chairman, all of whom are employed on a part-time basis. The annual fee for the Chairman's role is €21,600, the fee for each of the members is €12,600 per annum.
A reduction of 25% in the annual fees payable to Council members would result in a total annual saving of €24,300 to the Bureau.
Irish Financial Services Appeals Tribunal
IFSAT - a 25% reduction would mean a saving of €1,752 to the Central Bank.
|
Irish Financial Services Appeals Tribunal (IFSAT) |
IFSAT's funding is provided by the Central Bank. Therefore, any savings would accrue to the Central Bank and not to the Department of Finance. |
|
Chairperson |
The IFSAT Chairperson is paid an administrative fee of €584 per day for one day a month in respect of his statutory functions |
|
IFSAT savings |
€584 by 12 days amounts to €7,008 |
|
Saving if fees reduced by 25% |
€ 1,752 |
|
Note: IFSAT members other than the Chairperson do not receive regular fees. They are paid a per diem rate in respect of individual cases before IFSAT. |
- |
|
The per diem rate is as follows: |
|
|
Chairperson |
€584 |
|
Deputy Chairperson |
€450 |
|
Lay Members |
€416 |
National Asset Management Agency
Based on the Board Fees for NAMA in 2014 which were €388,033 a 25% reduction would result in total fees of €291,024.75 which would amount to a saving of €97,008.25.
National Treasury Management
The members of the National Treasury Management Agency receive the following remuneration:
Chairperson: €45,000 per annum (the Chairperson of the Agency Mr Willie Walsh has waived his remuneration)
Ordinary member €30,000 per annum (there are 5 ordinary Members)
Ex-officio members do not receive remuneration.
Under the NTMA (Amendment) Act 2014 the Agency is required to establish an ISIF Investment Committee. The Committee consists of 5 members. Two members of the Committee are members of the Agency and do not receive additional remuneration in respect of their membership of the Committee. Another member of the Committee does not receive remuneration as she is employed by another State Body. The remaining two members of the Investment Committee receive remuneration of €20,000 per annum.
The savings that would be made if Agency and committee members' remuneration was reduced by 25% is €47,500.
Strategic Banking Corporation of Ireland
The directors' fees are funded by the SBCI and not by the Department of Finance. If the board members of the SBCI who are compensated for their duties took a 25% cut to their fees, the savings to the SBCI would be €23,625 per annum.
|
- |
Annual Fee |
Savings |
|
SBCI Board Members |
- |
25% |
|
(max nine) |
- |
- |
|
Chairperson |
€ - |
- |
|
Chief Executive Officer |
€ - |
- |
|
Board Member |
€ - |
- |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
|
Board Member |
€ 15,750.00 |
€ 3,937.50 |
81. Deputy Pearse Doherty asked the Minister for Public Expenditure and Reform if there has been any study completed by his Department on the impact on local economies of the centralisation of procurement, currently carried out by local authorities; and if he will make a statement on the matter. [26445/15]
View answerPublic Procurement is governed by the EU Treaty, EU Directives, Regulations and national guidelines. These set down rules whereby contracting authorities must award contracts under procedures designed to achieve value for public money in an open, transparent and non discriminatory competitive process. Contracting authorities are precluded from awarding contracts to a company simply on the basis of geographical location.
There is no specific study completed by my Department on the impact on local economies of the centralisation of procurement, currently carried out by local authorities. Instead the Office of Government Procurement has established Category Councils to develop category-specific strategies that seek to establish the best commercial approach to the supply market that balances the need to achieve value for the money for the State with other objectives such as supply market sustainability, and other Government Policy objectives. The content of these strategies will vary depending upon the nature of the goods and services required. The frameworks the OGP is putting in place typically breakdown customer requirements by lots against which suppliers can bid. Lots may be based on goods or services descriptions, usage patterns, size and nature of customer demand and/or geographical location. The lotting arrangements are determined by the sourcing strategy and consider customer requirements and market supply factors.
The recently published report by the Office of Government Procurement (OGP) "Public Service Spend and Tendering Analysis for 2013" showed that 93% of public service procurement expenditure was with businesses in the Republic of Ireland. This was based on an analysis of €2.742 billion expenditure across 64 large public service bodies involving over 35,000 suppliers. The Office of Government Procurement will continue to work with industry to ensure that winning government business is done in a fair, transparent and accessible way and to ensure that government procurement policies are business friendly.
