Dáil Éireann Debate, Tuesday - 21 February 2017
151. Deputy Pearse Doherty asked the Minister for Finance the estimated savings that would accrue from moving the entire cost of regulation of the financial sector onto the industry, as opposed to the current 50%; and his plans in this regard. [8296/17]
View answerIn July 2015, my Department and the Central Bank published a joint public consultation paper on a proposed move from the current 50 per cent funding model for financial regulation to a full funding model.
Following that consultation, I approved a phased move towards 100 per cent industry funding of the cost of financial regulation, commencing in 2017 with a move from 50 to 65 per cent of regulation costs being borne by industry, subject to parameters on the Central Bank's overall costs of regulation being implemented. The rollout of the phased increase takes into account the unique characteristics of each sector in the industry.
That part of the overall cost of regulating the industry that is not recouped from industry is funded by Central Bank subvention. The subvention in 2016 was of the order of €72 million which would represent the savings that would accrue from moving the entire cost of regulation of the financial sector onto industry.
