Dáil Éireann Debate, Thursday - 1 December 2016
141. Deputy Pearse Doherty asked the Minister for Finance the timeframe in which the Central Bank is in a position to answer applications for licences from banks, asset managers and insurers; the way in which those timeframes compare to the situation before 24 June 2016; and if he will make a statement on the matter. [38136/16]
View answerI am informed by the Central Bank that the assessment of authorisation applications and the approach taken differs depending upon the type of firm and sector. In some sectors such as funds licensing, the turnaround time is a matter of days. In other areas the timing prescribed by EU law is a matter of months, once an application is considered as complete. In between these extremes there is a wide variety of timeframes depending on the sector and type of business being proposed. Actual time will depend on the type of business for which a license is being sought and the extent to which the authorisation procedure can be considered more or less standardised or more or less complex.
In relation to unique and complex applications, the authorisation process is inevitably more layered than routine cases, requiring a substantial commitment of resources and the assembly of dedicated project teams with the requisite technical skills. It is also important to note that since the establishment of the Single Supervisory Mechanism (SSM) in 2014, the ECB, with input of the Central Bank as the national competent authority (NCA), is the competent authority for the granting and revocation of banking licences.
Timelines for applications processing are set out on a sector by sector basis on the Central Bank website. The length of the application process is set from the date of submission of a complete application, which in itself can be a challenging exercise for firms and take some time to achieve. This process can include an important period of engagement, discussion and back and forth on key issues before the application is considered complete. To assist this and to ensure that the process is as transparent as possible, the Central Bank regularly meets and engages with firms in advance of the completed application being submitted. This can be particularly helpful in more complex cases.
To ensure transparent and predictable authorisation timelines for high-volume processes, the Bank publishes on a semi-annual basis its Regulatory Service Standards Performance Report. These reports, which are available on the Bank's website, provide real transparency around the authorisation process for firms including measurement against standards to which the Bank is committed in terms of application processing across each of the sectors it regulates.
The Central Bank has not amended its stated target timelines for any sector since June 2016.
