Dáil Éireann Debate, Monday - 11 September 2017
124. Deputy Pearse Doherty asked the Minister for Finance the rationale for the reduction in the yield that applies to the prize bonds prize fund; the yield value of old bonds and prizes distributed over the past ten years, in tabular form; and if he will make a statement on the matter. [37256/17]
View answerThe NTMA has advised me the interest rate reduction reflects changes across the retail savings market and the fall in the cost of borrowing by the State. However, the change also maintains the balance of remaining competitive, providing good value for the holders of Prize Bonds while also remaining conscious of the cost to the taxpayer. It should be borne in mind that the yield on prize bonds is State funds that could alternatively be spent on essential public services or reductions in taxation levels.
The NTMA has also advised me that the value of prizes in respect of prize bonds, and these prizes as a percentage of total prize bonds outstanding, over the last ten years, including to date during 2017, are as follows:
|
Year |
Fund at Year End |
Prizes Paid |
Year-End Fund |
|
€m |
€m |
% |
|
|
2017 (end-July) |
3,092 |
15.4 |
0.50 |
|
2016 |
2,894 |
27.9 |
0.96 |
|
2015 |
2,481 |
28.9 |
1.16 |
|
2014 |
2,176 |
31.7 |
1.46 |
|
2013 |
1,929 |
35.2 |
1.83 |
|
2012 |
1,649 |
46 |
2.79 |
|
2011 |
1,448 |
42 |
2.90 |
|
2010 |
1,328 |
35.9 |
2.70 |
|
2009 |
1,072 |
27.8 |
2.59 |
|
2008 |
804 |
20.3 |
2.53 |
