Written Answers Nos. 90-109
90. Deputy Darragh O'Brien asked the Tánaiste and Minister for Foreign Affairs and Trade the expenditure on the emigrant support programme; the estimated full year cost of increasing expenditure by 5%, 10%, 15% and 20%, respectively; and if he will make a statement on the matter. [14715/18]
View answerThe budget for the Emigrant Support Programme in 2018 is €11.595 million and is unchanged in recent years. An increase of 5% on the 2018 budget would cost €579,750. An increase of 10% on the 2018 budget would cost €1,159,500. An increase of 15% on the 2018 budget would cost €1,739,250. An increase of 20% on the 2018 budget would cost €2,319,000.
91. Deputy Darragh O'Brien asked the Tánaiste and Minister for Foreign Affairs and Trade the expenditure on the Trust Fund for Africa; the estimated full year cost of increasing expenditure by 5%, 10%, 15% and 20% respectively; and if he will make a statement on the matter. [14716/18]
View answerThe European Union Emergency Trust Fund for stability and addressing root causes of irregular migration and displaced persons in Africa is an element of a comprehensive package of EU initiatives to support stability across the North, East (Horn of Africa) and West (Sahel / Lake Chad) African Regions, contributing to tackling the root causes of instability, forced displacement and irregular migration. This Trust Fund was launched at the EU-Africa Summit on migration in Valletta, Malta, on 11-12 November 2015 and will operate until 2020. Over €3.4 billion has been pledged for the Trust Fund by the EU and EU Member States.
At the time of its launch, Ireland made a commitment to provide a bilateral contribution of €3 million over the period covered by the Trust Fund, 2016 to 2020 (€600,000 per annum). This commitment is earmarked for the Horn of Africa region.
At the meeting of the European Council of 19-20 October 2017, and in response to a call by President of the European Council, Donald Tusk, for further pledges to meet pressing needs, the Taoiseach pledged additional bilateral Irish funding of €3 million by 2020, doubling Ireland’s total commitment to the Trust Fund.
To date, Ireland has provided €600,000 to the Trust Fund in 2016, and a total of €1 million in 2017. The scheduled €1 million payment for 2018 is currently being processed, with the remaining balance of €3.4 million to be disbursed over 2019 and 2020.
Ireland also makes an assessed contribution, along with other EU Member States, to the European Development Fund (EDF) which in turn supports the Trust Fund (€2.29 billion pledged by EDF).
Incremental increases of the type set out in the Deputy’s question are not planned. However, the effect of such increases would be as set out in the following table:
|
Current Commitment |
Total additional cost to 2020 if commitment increased by: |
|||
|
5% |
10% |
15% |
20% |
|
|
€6,000,000 |
€300,000 |
€600,000 |
€900,000 |
€1,200,000 |
92. Deputy Darragh O'Brien asked the Tánaiste and Minister for Foreign Affairs and Trade the full year cost of running an embassy; the full year cost of running a consulate; and if he will make a statement on the matter. [14717/18]
View answerAs I indicated in my reply to the same question from the Deputy on 16 January, the work of the Department of Foreign Affairs and Trade’s embassy and consulate network around the world continues to be important to Ireland’s economic development and the enhancement of our international reputation. The total network, of currently some 73 embassies and consulates and 7 multilateral missions, promotes Ireland’s political, economic and cultural interests and values, provides services to our citizens, develops strategic stakeholder relationships and represents Ireland in international organisations.
The Embassies’ and Consulates work in support of Ireland’s interests includes:
Supporting Irish businesses to grow overseas, by promoting our wider trade interests including through EU and WTO regulation, facilitating business visas, underpinning the work of our State agencies and supporting Ministerial visits and trade missions;
Supporting and deepening trade and investment relationships around the world: by raising Ireland’s visibility in markets, proactively addressing market access issues, hosting high-level events in support of Irish business, brokering introductions and offering guidance on local markets and business culture;
Providing frontline consular and passport services to Irish citizens overseas, and
Influencing and negotiating for Ireland on issues that could impact our interests and priorities.
Work has begun on the initial phase of the expansion of Ireland’s diplomatic network which includes the Government decision to open new Embassies in Santiago, Chile; Bogotá, Colombia; Amman, Jordan, and Wellington, New Zealand and new Consulates General in Vancouver, Canada and Mumbai, India.
The cost of operating an embassy or consulate can vary significantly depending on its location, the type and range of services provided and the overall size of the embassy/consulate. The larger embassies/consulates would cost in the region of €1m to €5m per annum to operate. Smaller single diplomatic officer embassies/consulates would cost in the region of €0.5m per annum to operate.
93. Deputy Darragh O'Brien asked the Tánaiste and Minister for Foreign Affairs and Trade the number of staff employed in the passport offices and in the passport online service; the cost of running the passport service; and if he will make a statement on the matter. [14718/18]
View answerThe number of Full Time Equivalent (FTE) staff permanently employed by my Department and assigned to the Passport Service stood at 322 at the beginning of the year. This compares to 310 FTE staff assigned to the Passport Service at the same point last year. This year, since these figures were released, over 20 additional permanent staff have started with the Passport Service. In addition to this, in order to respond to seasonal demands and application increases, the Passport Service received sanction for 220 Temporary Clerical Officers (“TCOs”) for appointment to the Passport Offices in Dublin and Cork this year. All sections in the Passport Service are monitored closely to ensure they are sufficiently resourced to meet demand. The number of Passport Service staff working on the online passport application service varies depending on the volume of applications in the system. The Deputy should be aware however, that in addition to the team processing these applications, staff assigned to other duties, such as those in the Communications Unit, deal with queries arising in connection with all passport applications, including queries from online passport applicants. The cost of running the Passport Service in 2017 was €33.7 million. This figure excludes accommodation costs as any properties occupied by the Department of Foreign Affairs and Trade in the State are rented and maintained by the Office of Public Works. The figure includes the Passport Reform Programme which is delivering major upgrades to the passport service technology platforms and business processes as well as significant customer service improvements.
94. Deputy Darragh O'Brien asked the Tánaiste and Minister for Foreign Affairs and Trade the expenditure on the peace and reconciliation fund; the estimated full year cost of increasing expenditure by 5%, 10%, 15% and 20%, in tabular form; and if he will make a statement on the matter. [14719/18]
View answerThe Reconciliation Fund, which is administered by my Department, was established in 1982 to support civil society organisations in creating better understanding between the people and traditions of the island of Ireland, and also between Ireland and Britain. Over €48 million has been allocated to over 2,000 projects during this time. As part of the 2014 Stormont House Agreement, the Government committed to the continued allocation of €2.7 million annually to the Reconciliation Fund. If funding were increased by the percentages indicated by the Deputy, the allocation would amount to:
|
Per Cent |
Amount |
|
Plus 5 per cent |
€2.835 million |
|
Plus 10 per cent |
€2.97 million |
|
Plus 15 per cent |
€3.105 million |
|
Plus 20 per cent |
€3.24 million |
Any significant increases in funding would also need to take account of the level of staffing resources required to ensure the continued effective operation of the Reconciliation Fund.
More information on the Reconciliation Fund and details of the application process are available on the Department’s website:
https://www.dfa.ie/about-us/funding/reconciliation-fund/
95. Deputy Róisín Shortall asked the Tánaiste and Minister for Foreign Affairs and Trade the efforts being made to promote an ending to the ongoing conflict in Syria on a bilateral and multilateral level; and if he will make a statement on the matter. [14757/18]
View answer96. Deputy Róisín Shortall asked the Tánaiste and Minister for Foreign Affairs and Trade the steps he has taken on a bilateral basis to express the Government's opposition directly to the Russian and Iranian embassies in Dublin to their ongoing involvement in atrocities in Ghouta and elsewhere in Syria. [14758/18]
View answer97. Deputy Róisín Shortall asked the Tánaiste and Minister for Foreign Affairs and Trade the steps that will be taken by the Government to address the refugee crisis in Syria; and if he will make a statement on the matter. [14759/18]
View answerI propose to take Questions Nos. 95, 96 and 97 together.
The situation in Syria continues to be one of utmost concern. The conflict, which is now in its eighth year, has cost over 400,000 lives. Over 13 million people are in need of humanitarian assistance inside Syria, including close to 3 million people trapped in besieged and hard-to-reach areas. Over 6 million people are displaced internally, and a further 5.5 million have fled to neighbouring countries and the wider region. The recent increase in violence in Syria, in particular the vicious siege of Eastern Ghouta which has cost the lives of hundreds of civilians, underscores the extent to which an end to the violence is urgently needed in order to relieve the suffering of the Syrian people.
UN Special Envoy for Syria Staffan de Mistura is leading political negotiations to end the conflict based on the 2012 Geneva Communique and UN Security Council resolution 2254. Ireland and the EU fully support this process. The EU provides direct assistance to the UN-led Geneva peace talks and has launched, in coordination with the UN, an initiative to develop political dialogue with key actors from the region to identify common ground.
Ireland strongly welcomed the adoption of UN Security Council Resolution 2401 on 24 February. This resolution calls for an immediate ceasefire and unhindered humanitarian access. The international community must redouble efforts to press for the immediate and full implementation of the ceasefire, and unimpeded humanitarian access to populations in need.
It is quite clear that Russia’s support for the Assad regime has prolonged the suffering of the Syrian people. Russia has also repeatedly vetoed UN Security Council resolutions on Syria, which has seriously undermined the protection of Syrian civilians.
Ireland’s has communicated its concerns directly to the Russian and Iranian authorities on numerous occasions. In October 2017, I relayed Ireland’s strong views directly to Russian Deputy Foreign Minister Vladimir Titov. I also called on Russia to ensure civilians are protected, and to exert its influence on other parties to the conflict to do the same. My Department’s officials and I will continue to raise our concerns about the ongoing crisis in Syria with the Russian and Iranian authorities in our interactions with them.
Since 2012, Ireland has contributed over €95 million to the humanitarian response to the Syria crisis, including €25 million in 2017 alone. The EU and its Member States have to date mobilised more than €10.4 billion for humanitarian, stabilisation and resilience assistance inside Syria and in neighbouring countries, making the EU the largest single donor to the effort. The EU will host another donors’ conference for Syria in April of this year at which Ireland will announce its pledge to the humanitarian effort in response to the Syria crisis in 2018.
Ireland and the EU are providing significant assistance to refugees and refugee hosting communities. The EU is supporting the Turkey Refugee Facility in response to the almost 3 million refugees being hosted in that country, and €3 billion has been committed to this by the EU between 2016 and 2019, with Ireland contributing €22.9 million. €15 million of this has already been provided to date.
In addition, Ireland also supporting refugee hosting communities in Lebanon and Jordan. Ireland has already contributed €9.67 million in direct humanitarian assistance to Lebanon channelled through UN and NGO partners, and €5.89 million to Jordan through the Jordan Humanitarian Fund.
Under the terms of the Irish Refugee Protection Programme (IRPP), administered by the Department of Justice, Ireland has also committed to accept up to 4,000 refugees from the region. To date, almost 2,000 people have already arrived.
98. Deputy Brendan Smith asked the Tánaiste and Minister for Foreign Affairs and Trade his plans to resume talks between the Irish and British Governments and the political parties in Northern Ireland in relation to the need to have the Northern Ireland Assembly and Executive restored; and if he will make a statement on the matter. [14762/18]
View answerOver the course of many months, the Irish and British Governments, as co-guarantors of the Good Friday Agreement, have worked tirelessly to support and facilitate the parties in their efforts to form an Executive. The devolved, power-sharing institutions of the Good Friday Agreement are the best means for achieving accountable, representative decision-making for all the people of Northern Ireland. The electorate in Northern Ireland affirmed their support for power-sharing through the institutions of the Good Friday Agreement in May 1998 and have provided a mandate to the political parties to form an Executive and Assembly. Everyone agrees that devolved power-sharing institutions are in the best interests of the people of Northern Ireland and the Government continues to work with the British Government and the parties in Northern Ireland to support that outcome. Unfortunately, to date, it has not proved possible to reach an agreement on the formation of an Executive, despite intensive engagement. In light of this, the Government has been working with the British Government to consider means by which we can support the political process, in accordance with the Agreement, in the period ahead. We are considering all possible options in this regard. I spoke with the Secretary of State again this week and we will meet in early April.
I remain in contact also with the political parties in Northern Ireland, in working to ensure that every avenue is pursued and all possibilities are considered in seeking to secure a return to devolved power-sharing government, as provided for under the Agreement.
The Taoiseach has spoken with Prime Minister May and emphasised the Government’s full commitment to the Good Friday Agreement, and our determination to secure the effective operation of all of its institutions.
As co-guarantors of the Good Friday Agreement, both Governments have an obligation to uphold and protect the letter and spirit of that Agreement.
The Good Friday Agreement remains the indispensable framework for providing stable, inclusive, power-sharing government for all the people of Northern Ireland and for sustaining our interlocking relationships – within Northern Ireland, on the island of Ireland and between the UK and Ireland.
101. Deputy Robert Troy asked the Minister for Finance the estimated cost of extending the VRT rebate for electric vehicles from 2021 to 2026. [14878/18]
View answer102. Deputy Robert Troy asked the Minister for Finance the estimated cost of extending the VRT rebate for hybrid vehicles from 2021 to 2026. [14879/18]
View answer122. Deputy Timmy Dooley asked the Minister for Finance the estimated cost of extending the VRT rebate for electric vehicle purchase from 2021 to 2025. [14893/18]
View answerI propose to take Questions Nos. 101, 102 and 122 together.
I am advised by Revenue that the cost of the Vehicle Registration Tax (VRT) rebate for electric cars in 2017 is estimated at €5.3 million. There is no basis available to Revenue on which to forecast possible future costs as this is linked to the growth in the volume of electric car sales. The higher the rate of growth in the sales of electric vehicles the higher the annual costs to the taxpayer of extending the relief.
I am advised by Revenue that the cost of the VRT rebate for hybrid cars in 2017 is estimated at €10.3 million for the year. There is no basis available to Revenue on which to forecast possible future costs as this is linked to the growth in the volume of hybrid car sales. The higher the rate of growth in the sales of hybrid vehicles the higher the annual costs to the taxpayer of extending the relief.
103. Deputy Niall Collins asked the Minister for Finance his views on a proposal by an organisation (details supplied). [14916/18]
View answerThis Government recognises that small businesses play a central role in the sustainable recovery of the Irish economy. To facilitate this, Government policy since 2011 has been focused on ensuring that all viable SMEs have access to an appropriate supply of credit facilities from a diverse range of bank and non-bank sources.
However, the Deputy will be aware that in my role as Minister for Finance I have no direct function in the relationship between the banks and their customers. I have no statutory function in relation to the banking decisions made by individual lending institutions at any particular time and these are taken by the board and management of the relevant institution. This includes decisions in relation to products and lending as determined by the banks.
Ireland does not currently have a bespoke national regulatory regime or framework for the regulation of crowdfunding, including peer-to-peer lending, unlike some other European member states, including the UK.
Given that crowdfunding is not currently a regulated activity in Ireland, there are no formal consumer protections available for those using crowdfunding platforms to provide funds. The Central Bank of Ireland has issued an information notice alerting consumers to this fact.
The crowdfunding market in Ireland is relatively small. There are currently only three crowdfunding platforms operating in the market, all of which provide peer-to-peer lending services. There are no equity crowdfunding platforms operating in Ireland currently. Currently, crowdfunding constitutes approximately 0.33% - 0.4% of the SME finance market; for comparison, this is 12% in the UK.
My Department conducted a six-week public consultation process on the regulation of crowdfunding that ended in June 2017. There was general support from the Irish crowdfunding industry and stakeholders for the regulation of crowdfunding in Ireland and it was felt that regulation would be beneficial to both industry and consumers. The main concern was that regulation might be overly burdensome or onerous and stifle or hinder the development of the industry.
The Deputy may be interested to know that the European Commission published a draft Regulation on a European regulatory regime for crowdfunding platforms earlier this month. This decision to consider regulating crowdfunding on a harmonised, European level has been prompted by the European Commission's ongoing monitoring of the crowdfunding market and industry. This proposed pan-European regulatory regime allows for the possibility of Irish crowdfunding platforms to passport their services to other European member states. My Department will be working with the Commission and other member states on this proposed Regulation in the coming months.
104. Deputy Timmy Dooley asked the Minister for Finance the amount that his Department has spent on social media training and consultancy in each year since 2016. [14568/18]
View answerI wish to advise the Deputy that during 2016 the following expenditure was incurred by the Department in relation to the following training;
- Certificate for Press Officer - €1,560.
- MA in Political Communication €3,600.
105. Deputy Timmy Dooley asked the Minister for Finance if training has been delivered in his Department on the use of social media (details supplied); the frequency and cost of this training; and if he will make a statement on the matter. [14584/18]
View answerI wish to advise the Deputy that during 2016 the following expenditure was incurred by the Department in relation to the following training;
- Certificate for Press Officer - €1,560.
- MA in Political Communication €3,600.
106. Deputy Bríd Smith asked the Minister for Finance the value of contracts for services awarded to a company (details supplied) by his Department since 2010, in tabular form; and the type of work undertaken by the company. [14629/18]
View answerDuring 2017, the Department engaged through the Office of Government Procurement Framework Process, the services of the company (details supplied). The company undertook work under the Civil Service Dignity at Work policy.
The Company was paid a total of €12,888.19 for their services.
107. Deputy Róisín Shortall asked the Minister for Finance the median and mean tax rebate issued to first-time buyers under the help to buy scheme in 2017; the cost of the scheme in 2017; and the number of purchasers that availed of the scheme on a national, Dublin and ex-Dublin basis in tabular form. [14764/18]
View answer113. Deputy Michael McGrath asked the Minister for Finance the number and value of help to buy applications that were originally granted but were subsequently found to not qualify for the grant; the number and value of cases in which the borrowers did not qualify at the time of the purchase of the property; the number and value of cases in which the borrowers did not qualify due to the breaking of the terms of the help to buy scheme; and if he will make a statement on the matter. [14826/18]
View answer114. Deputy Michael McGrath asked the Minister for Finance the number and value of successful help to buy applications since its inception; the average grant by region; and if he will make a statement on the matter. [14827/18]
View answerI propose to take Questions Nos. 107, 113 and 114 together.
The Help to Buy (HTB) incentive was introduced in Finance Act 2016, backdated to 19 July 2016. The online HTB system was made available by revenue in January 2017 and I am assured by Revenue that there are no issues with the system and that it is robust and working correctly.
I am advised by Revenue that there were 5,392 HTB claims in 2017, of which 4,824 have been approved, with a combined total cost to the Exchequer of €68.9m. The median and mean tax rebate for HTB claims approved in 2017 is €14,750 and €14,277 respectively. From inception of the scheme to end February 2018, there have been 6,005 claims, of which 5,529 have been approved, with a combined total cost of €79.4m.
The following table sets out 2017 claims on a national, Dublin and ex-Dublin basis:
|
Area |
Amount |
|
National |
5,392 |
|
Dublin |
2,052 |
|
Ex-Dublin |
3,340 |
I am further advised by Revenue that HTB statistics for 2017 are available on their website
(https://www.revenue.ie/en/corporate/information-about-revenue/statistics/tax-expenditures/htb/htb-yearly.aspx).
These statistics show the number of HTB applications that have reached the claim stage in 2017 broken down by geographical area. The average value of approved claims (to end February 2018) by county is given in the following table.
|
County |
Average Value of Approved HTB Claims |
|
Carlow |
€10,988 |
|
Cavan |
€10,808 |
|
Clare |
€11,601 |
|
Cork |
€14,536 |
|
Donegal |
€9,973 |
|
Dublin |
€15,941 |
|
Galway |
€12,812 |
|
Kerry |
€13,084 |
|
Kildare |
€15,206 |
|
Kilkenny |
€13,831 |
|
Laois |
€10,415 |
|
Leitrim |
€11,587 |
|
Limerick |
€11,694 |
|
Longford |
€12,406 |
|
Louth |
€11,848 |
|
Mayo |
€12,977 |
|
Meath |
€13,783 |
|
Monaghan |
€10,424 |
|
Offaly |
€10,958 |
|
Roscommon |
€12,909 |
|
Sligo |
€12,071 |
|
Tipperary |
€11,877 |
|
Waterford |
€10,512 |
|
Westmeath |
€11,983 |
|
Wexford |
€11,087 |
|
Wicklow |
€14,947 |
In relation to ineligible claims, I am advised by Revenue that it is not possible to provide information on these at the time of the purchase of the property or due to breaking the terms of the incentive. The HTB incentive operates on a self-assessment basis and the claim is also verified by the qualifying contractor. Eligibility of retrospective claims is reliant on meeting the criteria in respect of a contract executed in the relevant period. The online system rejects claims unless the details provided by the claimant are in accordance with the relevant eligibility criteria. In line with Revenue’s normal risk-based approach, targeted checks are carried out to confirm the eligibility of claims. Where it is clear that despite the details input by the claimant, the eligibility criteria were not in fact met, Revenue will, in accordance with the legislation, seek to recover the amounts claimed incorrectly and apply interest and penalties, where appropriate.
I am also advised by Revenue that, to date, only a very small number of follow-up compliance letters have issued to claimants and where documentary evidence is provided that confirms eligibility for the scheme, this allows for the matter to be resolved to Revenue’s satisfaction.
108. Deputy Stephen S. Donnelly asked the Minister for Finance if he will report on the additional tax take by the State gained through changes to the taxation of section 110 companies introduced in 2016 and 2017; and if he will make a statement on the matter. [14775/18]
View answerFinance Act 2016 made certain changes to the taxation of qualifying companies, within the meaning of section 110 Taxes Consolidation Act 1997 (“TCA 1997”). The changes related to the taxation of profits which were derived from Irish land and buildings. Those changes took effect from 6 September 2016.
A further amendment was made in Finance Act 2017 which came into force in respect of interest accrued on or after 19 October 2017.
There are a number of factors that make it hard, at this point, to judge the full impact of those amendments:
- Payments: The timing of payments of tax by companies is complex and makes it difficult to judge the impact of the amendments in the early years.
- Returns : For companies with a 31 December year end, as most section 110 companies do, their corporation tax returns (Form CT1) for 2016 were filed on 23 September 2017.
However, those returns will only show 4 months of profits impacted by the 2016 Finance Act. In addition the Finance Act 2017 amendments will impact approximately 3 months of profits for the 2017 year end. Therefore the full impact of both the 2016 and 2017 Finance Act amendments will not be visible until the taxable profit details are filed for the year ending 2018 on 23 September 2019.
- Deterrent : As the amendments were anti-avoidance in nature, they are designed to have a deterrent effect. The success of such measures is the reduction in the activity taking place rather than an increase in tax raised.
That said outlined below are the payment received from section 110 companies during 2015, 2016 and 2017. Please note these figures are provisional and subject to change.
|
Year |
€'m |
|
2015 |
65 |
|
2016 |
199 |
|
2017 |
128 |
The above year represents the year in which the payment was received, and not the year to which the payment relates.
Revenue advise me that while the CT1 for accounting periods ending in 2016 have been filed in 2017 (with the data currently being processed and analysed), returns for 2017 tax year for most companies will be due for filing by 23 September 2018. These 2017 returns require certain information from qualifying companies in respect of their Irish property businesses. When the qualifying companies file those returns, Revenue will be in a position to quantify the Irish property base of qualifying companies. Allowing for late returns and processing of data, data from returns filed in September 2018 will be available for analysis in early 2019.
109. Deputy Stephen S. Donnelly asked the Minister for Finance if his Department is investigating whether additional changes are required for the taxation of section 110 companies; and if he will make a statement on the matter. [14776/18]
View answerSection 110 is intended to create a tax neutral regime for bona-fide securitisation and structured finance purposes. Securitisation involves the creation of tradeable securities out of an income stream or projected future income stream generated by financial assets. The transaction can involve the use of a special purpose securitisation vehicle to facilitate the transaction and issue the securities.
Securitisation allows banks to raise capital and to share risk, and by providing a repackaging and resale market for corporate debt, it lowers the cost of debt financing.
The section 110 regime was designed to improve Ireland’s offering as a location for the conduct of financial services. It has achieved that broad goal and the financial services industry now makes use of these vehicles as a support to financial intermediation. Such financing is useful for the productive economy as it can underpin the supply of finance to industries and companies in Ireland, Europe and further afield. Ireland is not unique in having a specific regime for securitisations. The importance of securitisation has been recognised by the European Commission through their work on the Capital Markets Union. This is a European Commission initiative to mobilise capital in Europe. A main objective of which is to build a sustainable securitisation regime across the European Union.
