Darren O'Rourke
Question:46. Deputy Darren O'Rourke asked the Minister for Transport the status of his plans to support the limousine and chauffeur industry. [25927/20]
View answerCovid-19 Pandemic Supports
Questions (46)
Written answers
I recognise that COVID-19 has had a profound impact on public transport and the small public service vehicle industry, and that many limousine operators have been acutely affected due to their particular dependence on overseas tourism. In recognition of this nexus between limousine operators and the tourism industry, in July it was arranged to have the Chairman of the Advisory Committee on Small Public Service Vehicles appointed to the Fáilte Ireland Industry Advisory Group to ensure that the interests of these operators are appropriately represented as the Government plans the recovery of the tourism and hospitality sectors.
Limousine operators have benefited from the actions taken by the statutory regulator, the National Transport Authority (NTA), to reduce the immediate financial burden on SPSV operators and to make it easier for them to return to the industry when circumstances change. These actions included licence extensions, the waiver of late licence renewal fees and, in conjunction with the motor insurance industry, the suspension of SPSV insurance for those operators who decided to temporarily stop working and suspend their licences. Since the onset of the pandemic, the NTA has communicated regularly with individual SPSV operators in relation to the impact of COVID-19 on the SPSV industry. It has also published information on its website for the SPSV industry, including guidance on the installation of screens and guidelines on how to keep vehicles clean to reduce the spread of COVID-19.
The Government’s July Stimulus Package, co-ordinated by the Department of Business, Enterprise and Innovation, built on the extensive enterprise and employment supports already deployed by Government in response to COVID-19 with the aim of helping to get Ireland’s businesses, including SPSV businesses, back on their feet. The Department of Transport and the NTA - the statutory taxi regulator - have been working together alongside other Government Departments to ensure that SPSV operators, many of whom are self-employed, can avail of the range of COVID-19 financial support measures to the greatest extent possible.
Self-employed limousine operators can avail of the Pandemic Unemployment Payment (PUP), which remains open to new applicants until the end of the year and is available until April 2021. On exiting the PUP, operators can avail of the COVID-19 Enterprise Support Grant. A once-off grant of up to €1,000, this grant can be used towards the costs associated with reopening a business, including the purchase of cleaning materials and personal protective equipment.
Self-employed SPSV operators, who were profitable in 2019 but not in 2020 due to COVID-19, may be able to avail of an income tax relief allowing for up to €25,000 of losses from this year to be offset against profits from 2019. They can also avail of liquidity and investment measures such as the COVID-19 Credit Guarantee Scheme and the COVID-19 Business Loans Scheme, both of which fall within the aegis of my colleague, the Tánaiste and Minister for Enterprise, Trade and Employment.
Transport Policy
Questions (47)
Darren O'Rourke
Question:47. Deputy Darren O'Rourke asked the Minister for Transport when the national transport forum will be established. [25928/20]
View answerWritten answers
As the Deputy will be aware, the Programme for Government encompasses a wide and ambitious range of commitments for public transport, one of which is the establishment of a national level forum in relation to public transport.
The Deputy will also be aware that my Department has already been undertaking a review of sustainable mobility policy, which incorporates public transport and active travel. In this context the Department held a public consultation process between November 2019 and February 2020, and included a stakeholder event in the course of that consultation. Over 250 submissions were received as part of this public consultation process and these are currently being analysed. I intend to publish a report of the public consultation process shortly.
I intend to develop a new policy framework for the next 10 years that can provide a strategic backdrop to the increased investment planned by this Government across the sustainable mobility programme. The new policy statement will be informed by the review of the previous policy framework (known as Smarter Travel), submissions received during my Department's consultation period and the views and recommendations of other relevant stakeholders. The new policy statement will provide a platform to advance the ambitions of the Programme for Government in the area of sustainable mobility, including active travel, and will replace the previous Smarter Travel policy, dating from 2009. Therefore, our Programme for Government commitment about a forum will be progressed in the context of that new policy statement.
Bus Services
Questions (48)
Christopher O'Sullivan
Question:48. Deputy Christopher O'Sullivan asked the Minister for Transport the status of the review of LocalLink with a view to providing an expanded service. [25960/20]
View answerWritten answers
There is a need for a fundamental change in the nature of transport in Ireland and the Programme for Government commits to making active travel and public transport better and more accessible. Among the measures we will prioritise is a Sustainable Rural Mobility Plan to ensure settlements over a certain size can connect to the national public transport system, expanding the Local Link rural transport service and prioritising public transport projects that enhance regional and rural connectivity.
The Deputy will also be aware that my Department has already been undertaking a review of sustainable mobility policy, which incorporates public transport and active travel. In this context the Department held a public consultation process between November 2019 and February 2020, and included a stakeholder event in the course of that consultation. Over 250 submissions were received as part of this public consultation process and these are currently being analysed. I intend to publish a report of the public consultation process shortly.
I intend to develop a new policy framework for the next 10 years that can provide a strategic backdrop to the increased investment planned by this Government across the sustainable mobility programme. The new policy statement will be informed by the review of the previous policy framework (known as Smarter Travel), submissions received during my Department's consultation period and the views and recommendations of other relevant stakeholders. It will provide a platform to advance the ambitions of the Programme for Government in the area of sustainable mobility, including active travel, and will replace the previous Smarter Travel policy, dating from 2009.
Our Programme for Government commitments in relation to public transport in rural areas will be progressed in the context of that new policy statement.
Heritage Sites
Questions (49)
Cathal Crowe
Question:49. Deputy Cathal Crowe asked the Minister for Transport if additional supports will be provided to Shannon Heritage sites to ensure that they can open in the winter months. [17287/20]
View answerWritten answers
I would like to thank the Deputy for his question in relation to Shannon Heritage and can confirm that having considered the difficulties facing Shannon Heritage and the importance of Bunratty Castle and Folkpark and King Johns Castle to the local economy and the region, Minister of State Naughton has committed to provide funding to Shannon Group to ensure that these two landmark tourist attractions which were due to close at the end of August, can remain open to the end of 2020.
The provision of this funding ensures continued employment for 52 employees at these sites who would otherwise have been laid off by Shannon Heritage at the end of August.
Rail Network
Questions (50)
Niamh Smyth
Question:50. Deputy Niamh Smyth asked the Minister for Transport if discussions have taken place on providing funding for a feasibility study of the Navan to Kingscourt railway line; if the matter will be given consideration; and if he will make a statement on the matter. [16585/20]
View answerWritten answers
No, I have not had any such discussions although I am meeting with the Deputy on this topic and very much look forward to hearing her views.
I am informed that Iarnród Éireann (IÉ) has no current plans to reopen this line, nor to undertake a feasibility study at this time. I am also informed that a potential re-opening of the line does not feature in the relevant Regional Spatial and Economic Strategies.
The issue of a potential extension of the existing Dunboyne/M3 Parkway line to Navan was considered by the National Transport Authority (NTA) during its development of the statutory Transport Strategy for the Greater Dublin Area 2016 to 2035. This issue remains under review and will be specifically considered again as part of the statutory review of the current Strategy. Consultation on a revised Strategy will commence next year.
Road Network
Questions (51)
Niamh Smyth
Question:51. Deputy Niamh Smyth asked the Minister for Transport if discussions have taken place in relation to providing funding for the east west link road and rural roads in general; and if he will make a statement on the matter. [16586/20]
View answerWritten answers
Proposals to deliver an upgraded East-West route linking Dundalk to Sligo, taking in Cavan, involve linking elements of the national road network and regional roads along as direct a route as possible. Essentially the route involves upgrade/realignment works on the regional routes from Dundalk to Cavan and on national routes from Cavan to Sligo.
As regards the regional road aspect of the proposal, the improvement and maintenance of regional and local roads is the statutory responsibility of the relevant local authority in accordance with the provisions of Section 13 of the Roads Act 1993. Works on those roads are funded from the Council's own resources supplemented by State road grants.
My Department provided funding to Cavan County Council (acting as lead authority with Monaghan and Louth County Councils) with over €2m in the period 2007-2014 to progress the regional road element of the project to preliminary design.
This year an allocation of €100,000 was provided to Cavan County Council to enable the Council to undertake work to update its appraisal of the scheme to assess the extent to which the scheme or elements of it can be justified in terms of the Public Spending Code and the Common Appraisal Framework. The Department is currently liaising with the Council in relation to carrying out a risk based analysis for the route between Dundalk and Cavan.
As regards the national road element of an east-west link, I have referred the question to Transport Infrastructure Ireland for a direct reply. Please advise my private office if you do not receive a reply within 10 working days.
A referred reply was forwarded to the Deputy under Standing Order 51
Question No. 52 answered with Question No. 30.
Covid-19 Pandemic
Questions (53)
Gino Kenny
Question:53. Deputy Gino Kenny asked the Minister for Transport when Irish Rail, Dublin Bus and Bus Éireann will resume full services in view of the pressures on existing services with reduced capacity due to Covid-19; and if he will make a statement on the matter. [15994/20]
View answerWritten answers
Over the course of the COVID-19 crisis, my Department has been working closely with the National Transport Authority (NTA) to ensure public transport services continue and to plan for the provision of enhanced public transport services in line with the Government Roadmap for Reopening Society and Business. In this context, the NTA is engaging directly with both public service obligation (PSO) and commercial transport operators.
The NTA has informed me that since Phase 2 of the Government’s Re-opening Roadmap commenced on 8 June last, Dublin Bus has reverted to a full timetable with some limited exceptions at peak times where demand has remained low on certain routes. Bus Éireann and Go-Ahead Ireland PSO bus services returned to a full time-table on the same date and Iarnród Éireann returned to a full time-table on the 31st August.
From 8 June to 28 June passenger carrying capacity on buses was severely restricted due to social distancing measures in place at the time which meant vehicle capacity was limited to approximate 20% of pre-Covid levels. Since Phase 3 of the Re-opening Roadmap commenced on Monday 29th June, and coupled with the announcement by Government and legislation effective from Monday 13th July, that face coverings must now be worn on board public transport, the capacity of public transport was revised upwards to approximately 50% of pre-Covid-19 levels.
The newly announced Living with Covid Plan sets out clear capacity guidance for the 5 levels of the Plan.
The NTA will continue to work with public transport operators to monitor demand against capacity and where issues arise and where spare fleet and drivers are available, additional services will be provided.
School Transport
Questions (54)
Paul Murphy
Question:54. Deputy Paul Murphy asked the Minister for Transport if he will intervene to stop the cutting of the school bus service previously contracted by Dublin Bus. [16041/20]
View answerWritten answers
As the Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The day-to-day management and operational aspects of public transport are the responsibility of the individual operators, in this case Dublin Bus, in conjunction with the National Transport Authority (NTA).
Within this context, I understand that Dublin Bus decided in June of this year to cancel its contracts with a number of private bus operators for the provision of dedicated school bus services. The decision was arrived at after careful deliberation and based on a number of factors including -
- Availability of PSO network services in the Dublin area, and in the vicinity of Tallaght, Ballinteer and Greenhills;
- Low passenger usage on some contracted services;
- Value for money for the delivery of the services; and
- Strategic fit in relation to the existing and proposed bus network.
In response to this decision by Dublin Bus, the NTA has put in place arrangements to augment PSO bus services where necessary to cater for the schoolchildren. The NTA, in conjunction with transport operators, is monitoring the impact of the return of schools on bus services generally. Once new patterns of travel demand are established, the NTA will further review services and make any adjustments that may be required, including determining the potential implementation of any additional services.
Bus Services
Questions (55)
Christopher O'Sullivan
Question:55. Deputy Christopher O'Sullivan asked the Minister for Transport the status of the review of LocalLink with a view to providing an expanded service. [25898/20]
View answer
Awaiting reply from Department.
Electric Vehicles
Questions (56)
Christopher O'Sullivan
Question:56. Deputy Christopher O'Sullivan asked the Minister for Transport his plans to develop a public procurement framework for electric vehicles. [25899/20]
View answer
Awaiting reply from Department.
Strategic Banking Corporation of Ireland
Questions (57)
Cormac Devlin
Question:57. Deputy Cormac Devlin asked the Minister for Finance the actions he is taking to ensure the SBCI are providing extensions to Covid-19 payment breaks for firms that are impacted by the Covid-19 pandemic; and if he will make a statement on the matter. [25790/20]
View answerWritten answers
The Strategic Banking Corporation of Ireland (SBCI) is Ireland’s National Promotional Institution for SMEs. The goal of the SBCI is to increase the availability of appropriately priced, flexible funding to viable Irish SMEs. The SBCI’s role is to provide and promote the provision of credit to SMEs. The SBCI do not engage in direct lending, rather they work through on-lending partners to provide both loans and liquidity to support SMEs. The SBCI has a number of loan products available to assist SMEs through the current crisis, including the Future Growth Loan Scheme, the Covid-19 Working Capital Scheme, the Brexit Loan Scheme and the Covid-19 Credit Guarantee Scheme.
Last March, in response to the Covid-19 crisis, the Banking and Payments Federation of Ireland (BPFI) and its members announced a 3-month payment break would be made available for their customers, including SMEs. Following the initial payment break a further 3-month extension was announced by BPFI. As such, the Deputy should note that these payment breaks were introduced on a voluntary basis and were not done so on a statutory basis.
The SBCI engaged in a dialogue with the banks offering SBCI supported loan products (the Future Growth Loan Scheme, the Brexit Loan Scheme and the Covid-19 Working Capital Loan Scheme). The SBCI agreed with the banks offering these loans that payment breaks can be granted on these loans, however, the decision to offer a payment break on an individual loan is the decision of the lender involved.
Help-To-Buy Scheme
Questions (58)
Aodhán Ó Ríordáin
Question:58. Deputy Aodhán Ó Ríordáin asked the Minister for Finance the reason for extending the help to buy scheme; when the changes were applied; if consideration was given to backdating the stimulus scheme from March 2020 when the Covid-19 lockdown occurred; and if he will make a statement on the matter. [25917/20]
View answerWritten answers
The Help to Buy incentive (HTB) is a scheme to assist first-time purchasers with a deposit they need to buy or build a new house or apartment. The incentive gives a refund on Income Tax and Deposit Interest Retention Tax (DIRT) paid in the State over the previous four years, subject to limits outlined in the legislation.
This measure is designed to stimulate supply of new houses in the housing market and to assist first time buyers in accumulating a deposit for a new home. In order to further meet these goals, I announced a temporary enhancement to the existing HTB scheme for the remainder of 2020 as part of the July Stimulus package. The legislation to give effect to this is et out in the Financial Provisions (Covid-19) (No.2) Act 2020 .
In summary, the legislation provides that where applicants:
(I) enter into a contract for the purchase of a new house or apartment, or
(ii) make the first draw down of the mortgage in the case of a self-build property,
during the period from 23 July 2020 to 31 December 2020, they will be eligible for increased relief under the HTB scheme to the lesser of:
- €30,000 (increased from €20,000),
- 10 per cent (increased from 5 per cent) of either the purchase price of the new home or, in the case of self builds, the completion value of the property, or,
- the amount of Income Tax and DIRT paid in the four years prior to making the application.
All other conditions of the original HTB scheme remains the same.
The enhanced level of support under the scheme, which was announced as part of the July Stimulus Package, applies to applicants who, on or after 23 July 2020 (and up to 31 December 2020), enter into a contract for the purchase of a new house or who make the first draw down of the mortgage in the case of a self-build.
In relation to the Deputy's question as to whether consideration was given to back-dating the scheme to include all HTB applicants since March last; the position is that the Government decided, and the Oireachtas endorsed in passing the Financial Provisions (Covid-19) (No.2) Act 2020, that the threshold date for eligibility for the enhanced level of support was 23 July 2020. The approach adopted, whereby the date of the announcement was the same as the effective date (for the enhanced level of support), mirrored that which applied when the HTB scheme was originally introduced on 19 July 2016. The reason for this was to avoid potential market disruption in the period between the date of the announcement of the measure and any alternative effective date for the change. It is also the case that the back-dating of the measure would not have had any incentive effect.
Wage Subsidy Scheme
Questions (59)
Niall Collins
Question:59. Deputy Niall Collins asked the Minister for Finance if he will address a matter (details supplied) in relation to business under pressure; and if he will make a statement on the matter. [25918/20]
View answerWritten answers
The Deputy will be aware that under Section 851A of the Taxes Consolidation Act 1997, Revenue is precluded by reason of its taxpayer confidentiality obligations, from providing any details in relation to the company in question.
The Temporary Wage Subsidy Scheme (TWSS), which was provided for in section 28 of the Emergency Measures in the Public Interest (COVID-19) Act 2020, expired on 31 August 2020. The TWSS has now been replaced by the Employment Wage Subsidy Scheme (EWSS), which was legislated for under the recently enacted Financial Provisions (Covid-19) (No. 2) Act 2020. The specific nature and terms of the EWSS arrangement are separate and distinct from the TWSS. Furthermore, the EWSS provides payments to employers rather than employees which is different to the TWSS where in excess of 80% of employees regularly received a top-up additional payment from their employers.
Where an eligible employer makes a payment of wages, within prescribed limits, to a qualifying employee during the scheme, the employer can claim a EWSS subsidy in respect of that employee. In effect, the EWSS provides a flat-rate subsidy to qualifying employers, based on the number of qualifying employees on the payroll. For every qualifying employee paid between €203 and €1,462 gross wages per week, the level of subsidy is €203. For every qualifying employee paid between €151.50 and €202.99 gross per week, the subsidy is €151.50. No subsidy is paid for employees paid less than €151.50 gross or more than €1,462 gross per week.
I have been advised by Revenue that the question of an individual’s entitlements in an employment context, and the question of what wages an employer may or may not be in a position to pay such an employee in the light of the impact of the Covid-19 pandemic on the employer’s business, are matters that are outside the remit of the EWSS. Essentially, the scheme has no role in relation to the employer/employee relationship in so far as the terms, conditions and entitlements of the employment are concerned, subject, of course, to the employer paying the requisite amount of gross wages to an employee, as outlined above, in order to qualify for subsidy in relation to the employee.
Insurance Industry
Questions (60)
Brendan Griffin
Question:60. Deputy Brendan Griffin asked the Minister for Finance if he will address a matter (details supplied) regarding the cost of insurance; and if he will make a statement on the matter. [25792/20]
View answerWritten answers
Let me say at the outset that I am very much aware of the problems faced by many businesses in the leisure industry, in relation to the availability and affordability of public liability insurance. However, neither I, nor the Central Bank of Ireland, can direct the pricing of insurance products, and neither can we compel any insurer operating in the Irish market to provide cover, as this is a commercial matter for insurers. This position is reinforced by the EU Single Market framework for insurance (the Solvency II Directive) which expressly prohibits Member States from doing so.
As the Deputy will appreciate, there is no single policy or legislative fix to remedy the cost and availability of insurance. What is needed is for the ongoing reform measures to be implemented and to quickly bear fruit. In this regard, the new Programme for Government identifies a range of issues that the Government will prioritise so as to benefit consumers including small businesses such as those in the leisure sector as well as in the various community groupings and facilities throughout the country. This cross-Departmental insurance reform agenda, which I believe builds and expands upon previous work done by the Cost of Insurance Working Group, is a priority for this Government and in particular for my Department.
In terms of addressing insurance premiums for small businesses, particularly those in the leisure sector, a necessary step is to bring the levels of personal injury damages awarded in this country more in line with those awarded in other jurisdictions. The establishment of the Judicial Council in December is very important in this regard, and it is expected that the Personal Injuries Guidelines Committee will submit draft Guidelines to the executive board of the Judicial Council during Quarter 4. The guidelines could play a role in the lowering of award levels and also could lead to a more consistent application of making awards in courts. Insurance Ireland has indicated that if award levels come down so will premiums charged by its members. I believe that this is a very important statement and this Government intends holding the insurance industry to this commitment.
In conclusion, I wish to emphasise that insurance reform remains a priority for the Government and as noted above this is reflected in the Programme for Government. This is an issue I, as Minister for Finance, along with my Departmental colleague, Minister of State Fleming, will focus on. In doing so we will be cooperating with our Ministerial colleagues that will be participating in the proposed sub group of Cabinet Committee on Economic Recovery and Investment in terms of prioritising delivery on the commitments to continuing insurance reform.
National Asset Management Agency
Questions (61)
Richard Boyd Barrett
Question:61. Deputy Richard Boyd Barrett asked the Minister for Finance the amount NAMA has made available to developers in loan facilities to complete projects by year up to the end of quarter 2 of 2020. [25841/20]
View answerWritten answers
Since its inception, NAMA has advanced capital funding to its debtors and receivers in cases where it can be shown that such funding will enhance or protect the value of the assets securing NAMA’s loan portfolio. Subject to commercial viability, NAMA funds capital expenditure for the planning, design and construction of new residential and commercial projects. NAMA also funds infrastructure, as necessary, to facilitate these developments. Additionally, NAMA provides funding for essential remediation works to existing assets or to improve the income producing and disposal potential of assets.
The table below shows the breakdown of capital expenditure funding by year since inception. A total of €3.8 billion has been advanced to end-June 2020 for new and existing projects. All of this funding is procured from within NAMA’s own resources without any reliance on Exchequer funding.
|
Year |
2010 |
2011 |
2012 |
|
€'m |
168 |
205 |
150 |
|
Year |
2013 |
2014 |
2015 |
2016 |
|
€'m |
188 |
477 |
631 |
521 |
|
Year |
2017 |
2018 |
2019 |
Q2 2020 |
|
€'m |
525 |
433 |
371 |
101 |
National Asset Management Agency
Questions (62)
Richard Boyd Barrett
Question:62. Deputy Richard Boyd Barrett asked the Minister for Finance the amount NAMA has paid out to date for repair and maintenance of properties in its portfolio. [25845/20]
View answerWritten answers
I wish to advise the Deputy that NAMA may provide funding to its debtors and receivers to protect and enhance their assets so as to optimise their income-producing potential and disposal value. This is in accordance with section 10 of the NAMA Act which states that NAMA is required to protect or enhance the value of its acquired assets and to obtain the best achievable financial return for the State.
NAMA advances loans to its debtors and receivers for a range of purposes, including essential expenditure required to ensure that properties are compliant with health and safety requirements, and remediation works so as to enable unfinished or defective housing to be brought to a habitable standard.
I am advised that from inception to end-August 2020, NAMA has provided approximately €131m for remediation works on property securing its loans. This figure includes funding for works completed, in progress or approved but yet to commence.
National Debt
Questions (63)
Richard Boyd Barrett
Question:63. Deputy Richard Boyd Barrett asked the Minister for Finance the amount of interest paid on the national debt in 2020 that was contracted since 2008. [25846/20]
View answerWritten answers
Exchequer cash interest paid in respect of Ireland’s national debt for the eight-month period January to August 2020 was just over €3.75 billion. This is a provisional, unaudited figure, as provided to me by the National Treasury Management Agency (NTMA). It is close to €200 million (5%) lower than the same period in 2019.
It includes interest paid on Government bonds, EU Programme loans, other medium/long term debt, short-term debt, and State Savings products.
It is difficult to say precisely how much of this interest relates to borrowing contracted since 2008 due to certain complexities in the debt portfolio. Examples of these complexities include (i) certain State Savings products allow additions, reinvestments and withdrawals before maturity and (ii) bonds can be auctioned or cancelled from any series regardless of their original issue date.
That said however, it is the case that the vast bulk of the national debt interest paid in the first eight months of 2020 relates to debt contracted since 2008.
National Asset Management Agency
Questions (64)
Richard Boyd Barrett
Question:64. Deputy Richard Boyd Barrett asked the Minister for Finance the details of empty properties and land banks that have not yet been sold with regard to the assets of NAMA; and the negotiations that have taken place to acquire these homes for social and or affordable housing. [25847/20]
View answerWritten answers
The Deputy will be aware that NAMA does not generally own properties; rather NAMA owns loans for which the properties act as security.
I am advised that NAMA debtors and receivers own an estimated 675 hectares of land suitable for residential development in Ireland. NAMA regularly assesses the feasibility of these sites and, where development is deemed commercially viable; NAMA provides funding for the delivery of new residential units on the sites.
I am advised that, to date, NAMA has directly facilitated in excess of 12,000 units on residential sites secured to NAMA and a further 5,600 units have been built on sites which benefitted from NAMA funding which were subsequently sold by NAMA debtors and receivers. Sites with a delivery capacity of 11,000 units are at the pre-planning or feasibility stages; these sites are either not commercially viable at current sales prices and/or have specific infrastructural requirements such as roads, water or sewerage that will need to be addressed by local authorities and other State bodies before a planning application can be lodged. Further information on NAMA’s residential delivery programme is available in NAMA’s 2019 Annual Report (https://www.nama.ie/uploads/images/NAMA-Annual-Report-2019.pdf).
I wish to highlight that all NAMA-funded residential developments are subject to Part V planning requirements whereby 10% of the development must be provided to local authorities for social housing. Supplementary to this, NAMA continues to review its secured portfolio in order to deliver properties for social housing purposes (albeit at a lesser level than in previous years given the reduced portfolio size). The main method of social housing delivery is by way of direct sale (by a NAMA debtor or receiver) to a local authority or an approved housing body (AHB), or alternatively, by sale to NARPS (a NAMA Group entity) for onward long-term lease to an AHB. To date, over half of properties delivered by NAMA for social housing purposes have been provided via NARPS. In total 2,614 properties have been delivered by NAMA for social housing purposes. It is important to note, that this is in addition to properties provided by way of Part V compliance by debtors and receivers.
I am advised that close to 100% of all secured housing units are occupied as there are currently less than 50 habitable vacant residential units within NAMA’s secured portfolio, excluding properties which are on the market or sale agreed. NAMA is currently working with its debtors and receivers regarding appropriate strategies for these units, which includes assessing the suitability of the units for social housing.
It is important to note that NAMA’s debtors have the right to maximise the sales value of properties securing their loans so as to enable them to maximise their debt repayments. NAMA cannot require a debtor to take action which would reduce his/her repayment capacity, such as the sale of property at less than its market value.
Banking Sector
Questions (65)
Brendan Smith
Question:65. Deputy Brendan Smith asked the Minister for Finance if he has had discussions with a bank (details supplied) in relation to reports regarding the possible closure of another bank here which would result in the closure of 88 branches, the loss of 2,500 jobs and would further reduce banking competition; and if he will make a statement on the matter. [25860/20]
View answerWritten answers
Ulster Bank Ireland is a significant employer, has 88 branches, has a sizeable market share in terms of mortgage lending and SME lending and it is important in terms of providing competition in the Irish market.
I aware of the media reports suggesting that NatWest is engaged in a strategic review of its operations and specifically examining options in relation to Ulster Bank Ireland. The Government has no formal role in such a review or any commercial decisions that result, as these are a matter for the Board and Management of the Bank and its parent company, NatWest. However, I understand that no decisions have been taken yet, which means discussing specific outcomes is just speculation at this point.
I would expect Ulster Bank Ireland to ensure that both customers and staff representatives are kept informed about developments in the review and are promptly informed about any decisions. The Bank will also have to keep the Central Bank of Ireland fully informed and comply with its requirements in its decision making process.
Banking Sector
Questions (66)
Brendan Griffin
Question:66. Deputy Brendan Griffin asked the Minister for Finance if minimum public service obligations will be introduced for banks to help ensure the retention or provision of basic financial services in rural towns and villages such as the seaside resort town of Ballybunion, County Kerry, which faces having no banking or ATM service after 9pm; if he will engage with the regulator on the broader subject and with the banks on the case; and if he will make a statement on the matter. [25868/20]
View answerWritten answers
A recent Indecon report on Community Banking in Ireland, published by my Department in December 2019, concluded that there is extensive provision of banking services by credit unions, An Post, as well as by commercial banking providers in the Irish market.
The report found that there are 1,912 branches operated by banks, credit unions and post offices in Ireland, 63% of these branches are post offices or credit unions and 37% are banks. The Indecon report also demonstrates that there is a higher number of branches per capita in many of the counties where a significant percentage of the population resides in rural areas.
In addition, An Post offers financial services including a payment account, personal loans, credit cards, a range of insurances, money transmission and foreign exchange services. An Post offers counter services for AIB and Ulster Bank, allowing customers to lodge and withdraw cash at An Post branches. An alternative method for cash withdrawal is cashback. Ireland is one of only 11 EU Member States in which cashback is common practice, and retailers do not charge consumers for availing of the service.
I am advised by the Central Bank that the Credit Union Act, 1997 (the 1997 Act) and the Credit Union Act 1997 (Regulatory Requirements) Regulations 2016 set out the services that credit unions may provide to their members. These include loans and savings under the 1997 Act and a further suite of services under the 2016 Regulations such as third party payments; ATM services; bureau de change and certain insurance services on an agency basis. I understand that a number of credit unions provide some of the services provided for under the 2016 Regulations. Where a credit union wishes to provide other services to its members, an application may be made to the Central Bank.
The Deputy will be aware that the banking sector is experiencing a challenging operating environment and the traditional banking model has been under pressure for some years to adapt and deal with legacy issues. Nevertheless, officials from my Department are in regular contact with the banks in which the State has a shareholding and all are investing across all channels to improve customer experience and continue to invest significantly in their IT systems and online services.
At this point, the question of introducing a Public Service Obligation to help ensure the retention or provision of basic financial services in rural towns and villages would have to be carefully considered as it may not represent good value for money.
Tax Reliefs
Questions (67, 68)
Niamh Smyth
Question:67. Deputy Niamh Smyth asked the Minister for Finance if guidance has been provided to the audio-visual sector on the correct application of section 481 tax relief in the context of increased costs associated with operating within Covid-19 health and safety guidelines. [25904/20]
View answerNiamh Smyth
Question:68. Deputy Niamh Smyth asked the Minister for Finance his views on the application of section 481 relief for productions which have been abandoned as a result of Covid-19. [25905/20]
View answerWritten answers
I propose to take Questions Nos. 67 and 68 together.
In accordance with the section 481 certification process, where a project has been suspended, it is a requirement for production companies to notify the suspension to the Department, of Media, Tourism, Arts, Culture and Sport (DMTACS).
It is my understanding that the DMTACS have received a number of such notifications as a result of the Covid-19 restrictions. Revenue, who have ongoing contact with my officials, DMTACS, Screen Ireland and industry representatives on matters relating to the section 481 film credit, have advised that they are not aware of any film projects that have subsequently been abandoned. A number of projects recommenced production over the last few weeks and many others are currently preparing to recommence.
Since the onset of the Covid-19 crisis, my officials have worked closely with DMTACS, Revenue and Screen Ireland in order to support the film industry to continue or recommence production and ultimately to complete film projects.
While the process of film production is now more complex, there has never been a greater requirement for audio-visual content, spurred by entertainment needs during a period of global restrictions. Therefore, the focus of support is towards the completion of projects to help the Irish film industry access that marketplace. Measures taken by DMTACS, the Arts Council and Screen Ireland have focused on:
- bringing forward the payment of grants awarded this year to ensure financial commitments can be met and waiving eligibility requirements which no longer apply due to the COVID-19 crisis; and
- initiatives to support artistic and creative life during the COVID-19 crisis.
Details of supports available for the arts sector may found at the following link:
https://www.chg.gov.ie/app/uploads/2020/05/covid-19-support-and-information-for-the-arts-sector.pdf
Additionally, the section 481 film credit is designed to support both short and long-form projects which means there is latitude for projects that take time or are suspended and completed at a later date. There is no penalty for necessary and reasonable delays such as those currently being experienced in the industry.
With regard to the Deputy's question on guidance for the treatment of Covid-related costs, as of Finance Act 2018, the film tax credit has operated on a self-assessment basis. In consideration of this, there is detailed guidance available on the Revenue website on the criteria to be applied when assessing the qualification of costs under section 481.
All qualifying expenditure that is wholly, exclusively and necessarily incurred to produce a qualifying film in the State can form part of the eligible expenditure used to calculate the credit. This includes the necessary additional health and safety costs required to continue a production due to Covid-19
Self-assessment requires producer companies to consider and apply the criteria to the circumstances of their own productions using the existing guidance. In preparation for recommencement of productions in Ireland, there has been ongoing dialogue between Revenue and representatives of the film industry on specific examples of additional expenditure required to manage a production due to Covid-19.
Electric Vehicles
Questions (69)
Christopher O'Sullivan
Question:69. Deputy Christopher O'Sullivan asked the Minister for Public Expenditure and Reform his plans to develop a public procurement framework for electric vehicles. [25961/20]
View answerWritten answers
With the support of the Department of Communications, Climate Action and Environment, Department of Transport, Tourism and Sport and Sustainable Energy Authority of Ireland, the Office of Government Procurement is now finalising centralised procurement arrangements for the direct drawdown of battery electrical vehicle (BEV’s) for both passenger cars and vans. Once in place, public sector bodies will be able to purchase BEVs at competitively fixed prices for the 18 month duration of the arrangements, without the need for further competition. I expect the OGP to have these arrangements in place early in Q4 2020.
State Art Collection
Questions (70)
Eoghan Murphy
Question:70. Deputy Eoghan Murphy asked the Minister for Public Expenditure and Reform the current policy regarding the archiving or storing of monuments or other significant materials held by the OPW; the cost of such storage; if there are set parameters on the way in which and when such pieces may be on public display; and his views on potential damage to these items in view of the conditions in which they are held or stored. [25729/20]
View answerWritten answers
The Office of Public Works holds certain material in storage which is related to National Monuments in State care and which has an intrinsic cultural and heritage value. In most cases, this material is in the form of fragments of carved stone fabric or other material from sites or specific moveable objects such as grave slabs or other ancient elements which it is judged are more securely held offsite.
OPW provides access to material in its care on request and responds to both enquiries of general interest and specific academic or research. Additionally, if items are required for third party exhibition, this can be arranged, subject to agreement with relevant agencies as required including the Department of Culture Heritage and Gaeltacht and the National Museum.
The costs of storage on an ongoing basis are negligible as material is held in passive storage within existing OPW facilities.
Heritage Sites
Questions (71)
Fergus O'Dowd
Question:71. Deputy Fergus O'Dowd asked the Minister for Public Expenditure and Reform his plans to bring a landmark site (details supplied) back into use and open to the public to draw much needed tourism to Drogheda town centre; if a financial assessment has been undertaken to ascertain the overall cost to bring the landmark back into use; if so, the cost; and if he will make a statement on the matter. [25903/20]
View answerWritten answers
The Office of Public Works has, for several years, made public access to St. Laurence's Gate available by special arrangement and the building has been opened previously during Heritage Week, Fleadh Ceol etc. However, opening the site on a more permanent basis is dependent on the successful resolution of two major issues in particular which must be addressed in sequence:
1. The need to resolve the multiple serious structural issues the building has currently. (A conservation project of considerable proportions would have to be planned and executed before any long-term plans for future visitor access can be developed.)
2. The need to design a visitor management solution to get safe access to the interior of what is an extremely cramped and confined space in a way that is sustainable and enjoyable for visitors. (In this regard, it should be noted that the Gate can only admit a limited number of people at any one time and is unlikely therefore to be a high visitor volume proposition.)
The conservation works needed to rectify the fabric issues are the most immediate issue and planning for this is ongoing as quickly as feasible within the OPW's resource constraints. Although a structural report has been prepared which indicates clearly the problems that have to be addressed, no cost estimates have as yet been developed however. The bulk of the work on projects such as this would, in any event, be carried out by the OPW's own skilled directly-employed labour force, so the additional project expenses can be expected to cost relatively less.
In regard to the visitor proposition, it is at this stage not clear that the OPW would be in a position to operate the site itself and it may be the case that another locally-based community presentation model, such as that developed at Carlingford Castle most recently, may be suitable. The OPW has engaged with the Local Authority to see if this is feasible but no solutions have yet emerged.
Covid-19 Pandemic Supports
Questions (72, 75)
Richard Boyd Barrett
Question:72. Deputy Richard Boyd Barrett asked the Minister for Media, Tourism, Arts, Culture, Sport and the Gaeltacht her plans to safeguard the jobs of the 35,000 persons in the arts and entertainment industry that have been locked out of their employment when they and their families have been waiting six months, in an industry worth €3.5 billion to the economy annually, for a particular plan for their industry; and if she will make a statement on the matter. [25742/20]
View answerRichard Boyd Barrett
Question:75. Deputy Richard Boyd Barrett asked the Minister for Media, Tourism, Arts, Culture, Sport and the Gaeltacht her plans for the €3.5 billion entertainment industry that employs 35,000 persons; the timeline for the €6 million pilot project; when she expects to publish the findings of this pilot project; and the number of seats she plans to offer to this industry on the planned recovery taskforce. [25743/20]
View answerWritten answers
I propose to take Questions Nos. 72 and 75 together.
I am eager to get artists, musicians, performers and all their behind-the-scenes technical support people back to earning a living and doing what they do so well. I recently met with the National Campaign for the Arts and separately with the Events Industry Alliance, and heard first hand their concerns.
I recently announced the establishment of a new Taskforce for the recovery of the Arts and Culture sector under the Chair of Clare Duignan. The Taskforce, which met for the first time yesterday, will prepare a report including a set of recommendations on how best the arts and culture sector can adapt and recover from the unprecedented damage arising from the Covid-19 pandemic.
The sector includes culture, the arts, the audio-visual industry and the live entertainment industry with the Events Industry Alliance having two representatives on the taskforce. The Taskforce will:-
- adopt a solution-focused approach;
- seek sector-specific expert input and consult with stakeholders;
- invite additional individuals or expertise to attend meetings on an ad hoc basis, as it deems necessary;
- focus on providing intelligence and recommendations for an expected on-going and varying impact of COVID-19 restrictions;
- identify immediate and medium term goals for recovery and sustainability in the sector;
- identify possible policy initiatives or impediments to a robust sustainable recovery in the sector;
- recommend whole of Government policy initiatives and actions to support the sector;
- prepare a report by the 31 October 2020 in order to provide the Government with an action-plan for the sector.
Membership of Arts and Culture Recovery Task Force includes:
- Clare Duignan (Chair)
- Arts Council
- Business to Arts
- Council of the National Cultural Institutions
- County and City Management Association (CCMA)
- Department of Health
- Department of Media, Tourism, Arts, Culture, Sport and the Gaeltacht
- Department of Social Protection
- Ealaín na Gaeltachta
- Events Industry Alliance
- Irish Congress of Trade Unions
- National Campaign for the Arts
- Irish Music Rights Organisation
- Irish Theatre Institute
- Screen Ireland
- Screen Producers Ireland
- Denise Chaila
- Martin Hayes
I am also very conscious of the unprecedented nature of the challenge facing live performance promoters and producers, not least from a financial point of view. I was pleased to have recently announced a new fund that will assist established commercial venues and promoters to employ performers, artists, technicians, creative and performance support staff up to the end of 2020 in anticipation of the return of audiences to live performance.
An allocation of €5 million is being made available under the “Live Performance Support Scheme” under my Department which aims to assist commercial venues, producers and promoters of live performances and provide employment to workers in the creative industries. The scheme will help to de-risk the costs of preparing for new productions which may subsequently have to be postponed, cancelled or curtailed due to restrictions to safeguard public health. The main objective of the scheme is to provide employment opportunities in the ticketed performance sector and allow commercial organisers of live performances to commence preparations immediately and productions to go ahead in the near future while also complying with public health protection measures. This scheme has been developed following consultation with the sector and will be managed directly by my Department. This scheme is open to applications until 1pm on the 25th September and I hope to announce the recipients of this funding in the coming weeks.
A further support package, the Music Stimulus Package, involves three funding schemes designed to help sustain the popular and commercial music sector across all music genres, including rock, pop, hip hop, indie, jazz, country and western and traditional and folk. Under this package, a fund of €1,000,000 is being put in place to stimulate areas of work which artists would usually fund with income from own sources including live event fees.
The music support schemes are targeted at professional musicians and their teams and will support song writing camps, recording and album releases. The aim is to ensure that Irish musicians, engineers, PR, media, agents, labels and publishers can continue to develop and share their work in the context of COVID restrictions. The Music Stimulus Package schemes will be managed on behalf of the Department by First Music Contact and will be subject to peer panel assessment.