Dáil Éireann Debate, Thursday - 26 November 2020
94. Deputy Alan Farrell asked the Minister for Finance the measures being taken by his Department to grow both the financial technology and asset management sectors here in the post-Brexit period; and if he will make a statement on the matter. [38074/20]
View answerFrom 1 January 2021, many aspects of our relationship with the UK will change fundamentally as we will no longer share EU membership. While the Government remains committed to protecting and strengthening the Ireland-UK relationship following the end of the transition period, I can advise the Deputy that the net impact of Brexit on the policy areas within my remit is anticipated to be strongly negative.
One area that Ireland has been growing for nearly four decades is the international financial services sector. ‘Ireland for Finance’, launched in 2019, is a whole of government strategy for the development of the international financial services sector to 2025. The Ireland for Finance strategy is the successor to the IFS2020 strategy and a succession of Government strategies for the development of the sector in Ireland. The IFS2020 Strategy had been in place long before the UK decision to leave the EU. The Ireland for Finance strategy provides a clear roadmap to maximise any opportunities that might arise.
The Ireland for Finance strategy was included in the recent Programme for Government and utilises annual action plans to progress the strategy, with measures built upon the 4 pillars of operating environment, technology and innovation, talent, and communications and promotion. Measures under each of these pillars will enable both the financial technology and asset management sectors.
One significant action measure for the asset management industry in 2020 was the progress of the Investment Limited Partnerships Bill which has passed all stages in the Seanad and is currently before Dáil Éireann. The Bill will enhance and modernise Ireland’s private equity offering.
Numerous measures under pillar two ‘technology and innovation’ will enhance the financial technology industry in Ireland and you can find full details on this in Action Plan 2020 on the Department's website.
Minister of State Fleming and officials have also started work on Ireland for Finance Action Plan 2021 including measures that may assist the national recovery. The draft Plan is due to be brought to Government at the end of the year for publication early in 2021.
Finally, my department is also currently engaging on the Digital Finance (‘fintech’) package published by the European Commission in September 2020 on the regulatory policy aspects which should also enable innovation in this important growth area for Ireland and the EU as a whole while addressing any associated risks.
