Written Answers Nos. 76-93
76. Deputy Jennifer Whitmore asked the Minister for Transport the timeline for the final approval and the formal site transfer from Wicklow County Council to his Department for the Coast Guard station at a location (details supplied); and if he will make a statement on the matter. [23653/22]
View answer77. Deputy Jennifer Whitmore asked the Minister for Transport the timeframe between the formal site transfer of a site (details supplied) to his Department and the beginning of the procurement process for a contractor to complete the construction; the amount of funding that has been set aside for same; the budget from which this will be facilitated; and if he will make a statement on the matter. [23654/22]
View answerI propose to take Questions Nos. 76 and 77 together.
My Department is responsible for the Irish Coast Guard building programme – essentially aimed at ensuring Coast Guard Units along the coast are fit for purpose. The programme is managed through The Commissioners of Public Works (OPW) from planning design to build and on-going maintenance, with legal assistance as necessary from the Chief State Solicitor’s Office.
Project 2040 provides for increased capital funding for the IRCG towards the building and renovation costs of Coast Guard stations on the Building Programme, including projects such as Greystones.
The IRCG is fully committed to providing this much needed facility for the Greystones Unit. This has been a priority build for the IRCG for a number of years. It has been the subject of a number of significant revisions in terms of plans primarily owing to excessive cost and affordability. The location of the site identified for the new Coast Guard station has also presented challenges particularly in terms of the requirement to ensure adequate storm resilience.
The OPW are actively engaged with Wicklow County Council in relation to the conclusion of the formal transfer of the site identified for the new Coast Guard Station in Greystones.
Agreement has been reached with Wicklow County Council on the specific details of the site layout and parking requirements within the Harbour area.
Final technical assessments of the agreed site and areas to be used by Coast Guard vehicles have been completed.
Planning Permission has been granted and once the site is formally transferred the Department, the Irish Coast Guard and the Office of Public Works will progress the procurement process for a Contractor to complete the construction. This is expected to be completed by Quarter 4 2022.
78. Deputy Ged Nash asked the Minister for Transport if he will clarify the legislative basis for a matter (details supplied); and if he will make a statement on the matter. [23740/22]
View answerSchedule 6 of the Road Traffic (Licensing of Drivers) Regulations 2006 (SI 537 of 2006) sets out the aspects and standards of physical and mental fitness required to obtain a driving licence. The most recent changes to the eyesight standards were made in 2010, by the Road Traffic (Licensing of Drivers) (Amendment) (No. 2) Regulations 2010 (SI 544 of 2010). These Regulations, to amend the medical criteria for fitness to drive, gave effect to European Commission Directive 2009/113/EC.
Medical standards for professional truck drivers are more stringent than those applied to car drivers. Drivers with monocular vision cannot obtain or renew a category C (truck) driving licence. This matter was previously referred to the European Court of Justice, which determined that the minimum eyesight standards of the EU Directive (point 6.4 of Annex III to Directive 2006/126/EC, as amended) were compatible with the Charter of Fundamental Rights of the European Union, concerning equality before the law, non-discrimination on grounds of disability and the integration of people with disabilities.
79. Deputy Michael Healy-Rae asked the Minister for Transport is there are plans to reintroduce a bus service (details supplied); and if he will make a statement on the matter. [23741/22]
View answerAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. It is the National Transport Authority (NTA) that has national responsibility for integrated local and rural transport, including management of the Rural Transport Programme which operates under the TFI Local Link brand.
In light of the NTA's responsibilities for TFI Local Link services, including in County Kerry, I have referred your question to the NTA for direct reply to you. Please advise my private office if you do not receive a reply within ten working days.
80. Deputy Holly Cairns asked the Minister for Transport if his Department and public bodies and agencies that operate under his remit have policies in place to install artificial structures that provide shelter and habitat space for wild species such as, but not limited to, insect hotels, bat boxes, nesting towers and beehives; and if he will make a statement on the matter. [23866/22]
View answerWhile my Department does not have a dedicated policy in place to install artificial structures to provide shelter and habitat space for wild species, as part of our recent upgrade of our courtyard we have installed biodiversity, bug and bird boxes to enhance the working environment for our staff and to support broader biodiversity objectives.
I have referred your question to the agencies under the aegis of my Department for direct reply.
Please contact my private office if you do not receive a reply within 10 days.
81. Deputy Emer Higgins asked the Minister for Finance if he will consider increasing the tax exemption for those renting a room in their home to encourage persons to rent a room in their home to those coming to Ireland from Ukraine. [23764/22]
View answerThe rent-a-room scheme was introduced in Finance Act 2001 as an incentive to encourage individuals to let rooms in their principal private residence as residential accommodation in order to bring about an increase in the availability of rental accommodation.
In accordance with section 216A of the Taxes Consolidation Act 1997, an individual who lets a room or rooms in her or his sole or main residence as residential accommodation may be exempt from income tax, PRSI and USC in respect of income from the letting where the aggregate of the gross rents and any sums for meals or other services supplied with the letting does not exceed the threshold for the year in question, which is €14,000 for 2022. Although the income is exempt it must be included in the individual’s tax return for the year in question. This relief does not apply to companies or partnerships.
Initially, in 2001, the upper income threshold was set at £6,000 but this has been increased several times over the intervening period (most recently in Finance Act 2016) to €14,000.
My Department is not aware of evidence which suggests that the current ceiling is insufficient or is giving rise to a disincentive effect. The figure of €14,000 would allow an individual to receive income of up to €1,166.66 per month under the scheme over a 12 month period without it giving rise to a tax liability. In 2018 (the most recent year for which data are available), some 9,240 individuals availed of Rent-a-Room relief at a tax cost of €19.7m to the Exchequer (i.e. an average tax saving per participant of some €2,100).
I have no plans at present to change the upper income threshold in the rent-a-room scheme.
Finally, and as the Deputy will appreciate, decisions regarding tax incentives and reliefs are normally made in the context of the annual Budget and Finance Bill process. Such decisions must have regard to the sound management of the public finances and my Department's Tax Expenditure Guidelines. The guidelines make clear that any policy proposal which involves tax expenditures should only occur in limited circumstances where there are demonstrable market failures, where a tax-based incentive is more efficient than a direct expenditure intervention.
82. Deputy Mattie McGrath asked the Minister for Finance the measures that he will take to ensure that those with thatch properties can obtain insurance following a decision by the remaining insurer covering such properties to cease taking new business; the supports scheme that he will put in place for such households and businesses that are unable to obtain insurance; and if he will make a statement on the matter. [23558/22]
View answerFirstly, it is important to note that neither I, nor the Central Bank of Ireland, can intervene in the provision or pricing of insurance products, which is a commercial matter for insurance providers. This is expressly prohibited by the EU’s Solvency II framework. However, I can assure the Deputy that Government is committed to improving the cost and availability of insurance for all consumers, businesses and community groups. This includes niche sectors such as thatched roofed properties.
The whole-of-Government approach being taken through the Action Plan for Insurance Reform sets out 66 actions which aim to improve both the cost and availability of this key financial service. The Second Implementation Report, which was published on 1 March 2022, shows that 80 per cent of these actions are being delivered. Government’s focus will now move to delivering the remaining elements.
One of the signature developments of the reform agenda is the implementation of the Personal Injury Guidelines, which significantly reduce awards for a range of personal injuries. At the same time, the Department is working with the IDA to broaden the supply of insurance in the market, including in areas which have been identified as ‘pinch-points’, such as the one highlighted by the Deputy.
The IDA has commenced a multi-phased engagement process with targeted overseas underwriters and will seek to leverage the Government insurance reform agenda. I have previously raised the issue of thatched roof properties with both Insurance Ireland and Brokers Ireland in meetings with them. Brokers Ireland has informed me that it has a dedicated information service for people having insurance issues with their thatch roof properties and has established a special email address to deal with these queries, which is thatchedroofqueries@brokersireland.ie.
Separately, queries on available support schemes for thatched properties, such as grants, are best addressed to the Department for Housing, Local Government and Heritage.
Finally, I would like to take this opportunity to assure the Deputy that securing a more sustainable and competitive market through deepening and widening the supply of insurance in Ireland remains a key policy priority for this Government and that I will continue to work towards this objective with my colleagues.
83. Deputy Eoin Ó Broin asked the Minister for Finance the timeline as to when he will give effect to EU Directive 2022/542 and to reduce VAT on solar panels. [23598/22]
View answerOfficials in my Department are currently reviewing the options now available to Ireland in setting VAT rates. This will include consideration of the new options available to Member States as a result of the recently updated EU VAT rules when setting VAT rates as well as the new limitations introduced on how reduced rates may be applied.
Decisions about tax changes are generally taken in the context of the Budget and, as part of our normal annual Budget preparations. In this context, various options for tax policy changes will be considered by the Tax Strategy Group prior to Budget 2023.
84. Deputy Patricia Ryan asked the Minister for Finance if he will reduce to zero the VAT rate on automated external defibrillators; and if he will make a statement on the matter. [23632/22]
View answerOfficials in my Department are currently reviewing the options now available to Ireland in setting VAT rates. This will include consideration of the new options available to Member States as a result of the recently updated EU VAT rules when setting VAT rates as well as the new limitations introduced on how reduced rates may be applied.
Decisions about tax changes are generally taken in the context of the Budget and, as part of our normal annual Budget preparations. In this context, various options for tax policy changes will be considered by the Tax Strategy Group prior to Budget 2023.
85. Deputy Catherine Murphy asked the Minister for Finance the protections that are in place for consumers particularly younger people availing of buy-now, pay-later lending services; and if these providers are actively monitored by the Central Bank. [23679/22]
View answer86. Deputy Catherine Murphy asked the Minister for Finance the number of buy-now, pay-later lending providers (details supplied) that are operating in the Irish market at present; the market share of these providers; and the number of Irish companies using their services at present. [23680/22]
View answer87. Deputy Catherine Murphy asked the Minister for Finance the number of buy-now, pay-later loans administered in Ireland; the amount of money spent through these loans; the percentage of buy-now, pay-later loans in relation to the total number of loans administered; and the age breakdown of buy-now, pay-later loans from 2019 to date. [23681/22]
View answer88. Deputy Catherine Murphy asked the Minister for Finance if buy-now, pay-later lending providers that are operating in Ireland are required to report successful and unsuccessful payment histories to the Central Credit Register; if buy-now, pay-later loan providers operating in Ireland are required to run a credit check prior to administering a loan; and if not, if his Department has considered this measure. [23682/22]
View answer89. Deputy Catherine Murphy asked the Minister for Finance if the Central Bank or his Department are monitoring the targeting of young people by buy-now, pay-later loan providers; the rate of usage of these services among young people; the rate of missed payments by young people; and if he will make a statement on the matter. [23683/22]
View answer90. Deputy Catherine Murphy asked the Minister for Finance if his attention has been drawn to United States research by a company (details supplied); and if his Department is considering any educational initiatives for young people in relation to credit, the implications of missing payments or the implications of having multiple loans at one time. [23684/22]
View answer91. Deputy Catherine Murphy asked the Minister for Finance if his attention has been drawn to the multiple class action lawsuits taken against a company (details supplied) in the United States alleging that the company did not adequately represent the hidden costs behind the service; and if the service provided by the company and similar providers in Ireland have been reviewed to ensure that the hidden costs are clear to the consumer. [23685/22]
View answerI propose to take Questions Nos. 85 to 91, inclusive, together.
The Consumer Protection (Regulation of Retail Credit and Credit Servicing Firms) Act 2022 will bring all the direct and indirect providers of credit (including credit which is termed ‘buy now pay later’), as well as the providers of hire purchase and consumer hire agreements, to consumers within the regulatory remit of the Central Bank of Ireland. This will also allow the Central Bank to collect data on the size of that market.
This will also allow the Central Bank to apply the Consumer Protection Code 2012 (and any other relevant code, or any relevant regulation or direction the Central Bank may make under the Central Bank Acts) to such credit providers. In this regard the Deputy may wish to note that the Central Bank has, on 29 March last, published a Notice of Intention to amend the Consumer Protection Code so that relevant provisions of the Code, including those contained in Chapter 5 in relation to ‘Knowing the Consumer and Suitability’, will apply to the credit providing entities which will now come within the scope of Central Bank regulation and to existing regulated entities which provide ‘buy now pay later’ type credit. The Notice of Intention is available to view on the consumer protection section of the Central Bank’s website.
In relation to reporting to the central credit register (CCR), the provisions relating to the operation of the CCR are governed by the Credit Reporting Act 2013 and, under those provisions, lenders are obliged to submit information to the CCR on a credit agreement or loan for €500 or more and are obliged to enquire on the CCR when considering loan applications of €2,000 or more. These requirements apply to any type of credit, irrespective of the terminology of the particular credit, which falls within the scope of the Credit Reporting Act.
The increased regulation of the credit market will enhance the level of consumer protection associated with the provision of credit and will over time facilitate the increased monitoring of the operation and level of the market for indirect credit.
The Deputy may also wish to note that the Competition and Consumer Protection Commission ('CCPC'), which is under the remit of the Minister for Enterprise, Trade and Employment, published consumer advice on 'Buy Now Pay Later' credit agreements in December 2021. This explained what BNPL is, what consumers need to know about this service and what to do if a person was unable to make payments.
In relation to legal action in the United States, I have no particular knowledge other than information which is in the public domain of the case referred to by the Deputy.
92. Deputy Róisín Shortall asked the Minister for Finance if he plans to introduce regulations outlining the forms of identification which financial institutions may request when a customer applies to open a new bank account; if his attention has been drawn to concerns that banks are relying on passports as a form of identification which is costly in cases in which a person has an out-of-date passport; and if he will make a statement on the matter. [23707/22]
View answerCredit and Financial Institutions are obliged to identify and verify their customer’s identity on the basis of documents or information that they have reasonable grounds to believe can be relied upon to confirm the identify of their customer. Institutions often use official documents, like passports or driving licences, in order to verify a customer’s identity. However, neither the relevant legislation (the Criminal Justice (Money Laundering and Terrorist Financing) Act 2010, as amended), nor the Central Bank of Ireland are prescriptive as to what documents and information can be relied upon. This reflects the risk-based approach to anti-money laundering and countering the financing of terrorism (AML/CFT) compliance and supervision. Accordingly, institutions have some flexibility in regards to the forms of identity documentation they may wish to rely upon.
Therefore, the AML/CFT legal framework is sufficiently flexible to allow institutions to accommodate both financial inclusion and effective risk management through reliance on various forms of identification which include, but are not limited to, passports.
In accordance with this approach to AML/CFT matters, I have no plans at this time to introduce regulations outlining the forms of identification which financial institutions may request when a customer applies to open a new bank account.
93. Deputy Emer Higgins asked the Minister for Finance if he will outline proposals to support small businesses to cope with the increasing costs of heat and electricity; and if he will make a statement on the matter. [23766/22]
View answerAs the Deputy will be aware the Government has provided a wide range of supports to business over the course of the pandemic. In relation to the increasing cost of heat and electricity for households and businesses a reduction in VAT on the supply of gas and electricity from 13.5% to 9% came into effect from 1 May and will last to 31 October. The measure is estimated to cost €46m. While businesses can reclaim VAT already, they may choose to use the VAT reduction to improve their cash flow.
