Tuesday, 6 Dec 2022

Written Answers Nos. 165-184

Road Network

Questions (166)

Ivana Bacik

Question:

166. Deputy Ivana Bacik asked the Minister for Transport the Government body that is responsible for the maintenance of public rights of way not created under the Planning and Development Act 2000. [60988/22]

Written answers

Minister for Transport

A public road is a public right of way and each local authority is the statutory road authority responsible for public roads within its administrative area.  The following provisions referencing public rights of way are included in the Roads Act 1993, as amended. 

Section 11 sets out procedures whereby road authorities can declare a road over which a public right of way exists a public road and the road authority then becomes responsible for its maintenance;

Section 12 sets out the procedures to be followed where a road authority proposes to abandon a public road. The Section specifies that the abandonment of a public road shall not affect any public right of way over such a road and that a road authority shall not do anything to interfere with such right of way save as is provided for in law.

Section 73 sets out procedures to be followed where a local authority proposes to extinguish a public right of way (for the purposes of the Section "a local authority" means a road authority when the right of way in question is over a public road and otherwise a planning authority). Where a public right of way is extinguished by a road authority it will no longer be responsible for the maintenance of the road.

Subsection 73(11) states that it shall be a function of a local authority to protect the right of the public to use public rights of way in its administrative area. 

Departmental Schemes

Questions (167)

Ivana Bacik

Question:

167. Deputy Ivana Bacik asked the Minister for Transport the role of his Department in the Transport Working Group review of the disabled drivers and disabled passengers scheme; if he can provide an update on when its proposals will be published; and if he will make a statement on the matter. [61007/22]

Written answers

Minister for Transport

As Minister for Transport I have responsibility for policy and overall funding in relation to (open) public transport.

I am fully committed to strengthening our public transport offerings and progressively making them accessible for all, especially for disabled people, persons with disabilities, persons with reduced mobility and older people.

It is the Department of Children, Equality, Disability, Integration and Youth (DCEDIY) which is chairing the Working Group arising from commitments under both the National Disability Inclusion Strategy (NDIS) and the Make Work Pay Report, to review the current provision of disability transport and mobility schemes across Government Departments, agencies, and local authorities. Therefore, it is DCEDIY who would be best placed to inform you on the publishing timeline.

The group aims to develop a plan to enhance options for travel to work or employment for persons with disabilities, efficiently utilising available transport resources. My Department and the NTA are working with the other Departments and Agencies that have responsibility for individualised, personalised transport support schemes. This includes the Disabled Drivers and Disabled Passengers Scheme which comes under the remit of the Minister for Finance.

Tax Code

Questions (168)

Ivana Bacik

Question:

168. Deputy Ivana Bacik asked the Minister for Finance his views on the adequacy of the disabled drivers and disabled passenger scheme in particular. [61005/22]

Written answers

Minister for Finance

As the Deputy is aware, I committed to a comprehensive review of the DDS as part of a broader review of mobility supports. In order to achieve this objective, Minister O’Gorman agreed in September 2021 that the DDS review should be incorporated into the work of the National Disability Inclusion Strategy (NDIS) Transport Working Group (TWG).

The Working Group, under the Chairpersonship of Minister of State Anne Rabbitte, held a number of meetings across 2022. A draft final report will be considered at its final meeting on 8th December. It is expected the final report will be published soon after.

As part of its engagement in this process, the Department of Finance established an information-gathering Criteria Sub-group (CSG) at the start of this year. Its membership comprised of former members of the DDMBA and Principal Medical Officers (PMOs) in the HSE. Its purpose was to capture their experiences, expertise and perspectives in relation to the practical operational and administrative challenges of the DDS, as well as to explore what alternative vehicular arrangements were available for those with mobility issues based on international experience. The CSG work led to the production of five papers and a technical annex, submitted to the Department of Children, Equality, Disability, Integration and Youth in July 2022.

The main conclusion of the CSG is that the DDS needs to be replaced with a fit for purpose, needs-based vehicular adaptation scheme in line with best international practice.  Both I and my Department share this view.

In short, the DDS significantly diverges from international best practice. It does not meet the standards expected of a 21st administrative and operational model. It adheres to an outdated medical-based perspective of disability, requiring individuals to 'prove' their disability in order to access the scheme.

In relation to the argument that the scope of the DDS should be broadened, I do not believe this is either feasible or credible as any change or expansion of eligibility criteria for the DDS will still require an individual to 'prove' they meet that criteria and conversely there will still be individuals that will be deemed not to meet the criteria i.e. the scheme will still adhere to an 'in or out' policy rationale. Such an approach has the potential to make already highly contested Primary Medical Certificate and appeals processes even more difficult, for the HSE, for the DDMBA, and for individuals.

This conclusion, together with design principles and parameters for the new scheme as based on international practice, were incorporated into a response to three questions posed in September 2022 to members of the NDIS Transport Working Group, in respect of proposals for enhanced, new and/or reconfigured supports to meet the transport and mobility needs for those with a disability.  I hope that steps to implement these proposals, particularly with respect to introducing a new vehicular adaptation scheme, will be incorporated into the Working Group's final report. 

Insurance Industry

Questions (169)

Noel Grealish

Question:

169. Deputy Noel Grealish asked the Minister for Finance the reason that the Action Plan on Insurance Reform has been so successful in reducing motor insurance premiums but premiums for business insurance, which includes employers and public liability, continue to rise; and if he will make a statement on the matter. [60173/22]

Written answers

Minister for Finance

The Action Plan for Insurance Reform, published in December 2020, is a whole-of-Government strategy containing several initiatives expected to positively impact insurance costs. The third Action Plan for Insurance Reform Implementation Report was published in November. This shows that work is progressing well to implement these important reforms, with 90 per cent of the actions already delivered.

As the Deputy notes, recent data from the Central Statistics Office show that average private motor insurance prices have fallen by over 43 per cent since their peak in July 2016, and over 10 per cent in the last year. This is to be welcomed, particularly at a time when general inflation is about 9 per cent year-on-year.

Regarding insurance for businesses – namely employer (EL) and public liability (PL) insurance – it is more difficult to assess these insurance price changes as the risk profile is heterogeneous and can vary widely from firm-to-firm. This market segment is also closely linked to global insurance developments, and is therefore slower to reflect the changes being delivered through the Government reform agenda than more standardised products such as motor insurance. 

The latest National Claims Information Database (NCID) report shows that the EL/PL market is a large, diverse market. In 2020, there were over 328,000 policies with nearly €1.1 billion in premium earned in the EL, PL and Commercial Property market.  Most policies (84 per cent) are sold as part of a bundled package.  

The average earned premium for these “packaged” business policies increased by 2 per cent during 2020. However, the experience varies widely between sector types – for instance, in 2020 packaged premiums for businesses engaged in “Financial and Insurance Activities” fell by an average of 15 per cent, while “Transportation and Storage” enterprises saw the greatest average rise, at 13 per cent.  

Nevertheless, I would note that the NCID also shows that 57 per cent of these package policies had premiums of less than €1,000 and 92 per cent less than €5,000.  Only 2 per cent had premiums over €25,000.  This is important as would appear to indicate that for the vast majority, insurance premiums would appear to be within a range with what one might expect for the size of the business.  

The reasons for the increase in business insurance costs are varied, but it is widely accepted that premiums are driven by the cost of claims. Indeed, NCID data also indicates that the average cost of claim for EL and PL increased from 2019 to 2020, by 37 per cent and 24 per cent respectively. Furthermore, from 2009 to 2020, the average cost of EL and PL claims increased by 68 per cent and 40 per cent overall, respectively. Combined with this, we can also see from NCID data that the EL/PL sector has been largely loss making since 2015, and thus many firms have had to increase premiums to cover these losses.

The introduction of the Personal Injuries Guidelines (implemented in April 2021) is a key achievement of the Action Plan. These have significantly lowered award levels for many common injuries, with the latest data from the Personal Injuries Assessment Board (PIAB) indicating that the overall average award has reduced by 38 per cent compared to 2020. Consistent implementation of the Guidelines by insurers, the Personal Injuries Assessment Board, and the courts should therefore lead to a reduction in the cost of claims, which is the main driver of the cost of insurance. It is my hope that this will ultimately feed through to lower, more sustainable business premiums in the future.

In addition, upcoming legislative changes to enhance the role of the Personal Injuries Assessment Board and rebalance the duty of care should have a positive impact on businesses in terms of insurance accessibility and affordability. Furthermore, Minister of State Fleming has had wide engagement with a range of firms and my Department is working closely with the IDA to help leverage the reforms to promote the Irish insurance market as an attractive location for investment. 

Personal Injuries Assessment Board

Questions (170, 172)

Noel Grealish

Question:

170. Deputy Noel Grealish asked the Minister for Finance the impact of the personal injuries guidelines on awards granted by PIAB; the way that the guidelines have impacted awards granted through the courts; the number and percentage of cases which are settled outside the courts but which still go through a solicitor rather than PIAB; and if he will make a statement on the matter. [60174/22]

Noel Grealish

Question:

172. Deputy Noel Grealish asked the Minister for Finance the proportion of motor insurance injury claims that have been settled through PIAB to date in 2022; and if he will make a statement on the matter. [60176/22]

Written answers

Minister for Finance

I propose to take Questions Nos. 170 and 172 together.

Insurance reform is a key priority for the Government, and is being driven by the implementation of the Action Plan for Insurance Reform. One of the principal actions from the Action Plan has been the implementation of the new Personal Injuries Guidelines, in April 2021. 

These have significantly lowered award levels for many common injuries. The latest data from the Personal Injuries Assessment Board (PIAB), which covers January to June this year, indicates that the overall average award has reduced by almost 40 per cent compared to 2020, when the previous Book of Quantum was still in use. Accordingly, consistent implementation of the Guidelines should lead to a reduction in the cost of claims, which is the main driver of the cost of insurance. 

On the impact of the Guidelines in the courts, it is still very early days in this regard. It can take several years for injury claims to settle and thus it will take time before cases examined under the previous Book of Quantum fully pass-through the system. Indeed, the most recent Private Motor National Claims Information Database (NCID) report – released in November – notes that only 1 per cent of claims litigated in 2021 were settled under the Guidelines. The Government expects this figure to increase in the coming years and will track its development using the NCID.

In terms of motor insurance injury claims settled in and outside the PIAB, the most recent NCID report shows that, in 2021:

- 35 per cent of claimants settled directly (representing 22 per cent of claims costs);

- 15 per cent of claimants settled via the PIAB (representing 11 per cent of claims costs); and

- 30 per cent of claimants settled via litigation (representing 67 per cent of claims costs).

Figures for 2022 – including the proportion of motor insurance injury claims that have been settled through PIAB to date, as requested by the Deputy – are not yet available but will be in future NCID reports. However, the PIAB’s own data shows that in the first half of 2022, it received 8,989 applications, covering all claim types (motor, employer liability, public liability).

The NCID reports have consistently shown that, for claimants, there is very little difference in the awards recommended by the PIAB against those by the courts. The main difference is legal costs, which are substantially lower via the PIAB. The NCID has shown that the vast bulk of claims – 94 per cent – of injury claims amount to less than €100,000. In the period 2015-2021 for these claims, average compensation and legal costs were as follows:

- Where settled directly, average compensation was €13,933 and average legal costs €1,568;

- Where settled via PIAB, average compensation was €21,856 and average legal costs €686; and

- Where settled via litigation, average compensation was €24,174 and average legal costs were €15,567.

Therefore, it is the Government’s intention to have more claims settle at PIAB stage and that is why we have prioritised the Personal Injuries Resolution Board Bill 2022, which will strengthen the Personal Injuries Assessment Board to ensure more cases settle at that stage instead of proceeding to costlier litigation. This Bill, which is currently before the Seanad, is under the responsibility of the Tánaiste and Minister for Enterprise, Trade and Employment.

Insurance Industry

Questions (171)

Noel Grealish

Question:

171. Deputy Noel Grealish asked the Minister for Finance the reason that up to 16 providers are competing in the motor insurance market, but there is far less competition in the business liability insurance sector; and if he will make a statement on the matter. [60175/22]

Written answers

Minister for Finance

Firstly, I wish to reassure the Deputy that I recognise the concerns felt by many businesses across various sectors around the cost and availability of insurance cover. Accordingly, Government has prioritised reform of the sector through the Action Plan for Insurance Reform. As the Deputy may be aware, the third Action Plan Implementation Report was published last month, showing that 90 percent of the 66 actions contained therein are now being delivered.

One of the key developments was the implementation of the Personal Injuries Guidelines, which was realised several months ahead of schedule. Recent data from PIAB shows that personal injury award levels have reduced by almost 40 percent. Minister Fleming recently met with the major insurers and brokers in the State and impressed upon them the Government’s expectation that savings achieved as a result of Government reforms will be passed onto customers. 

Data from the Central Bank illustrates that the public liability market has been loss making for a number of years, and consequently insurers are reluctant to expand in this area. At the same time, this more specialised market segment is closely linked to global insurance trends and is therefore slower to reflect the changes being delivered through the Government reform agenda than more commoditised products, such as motor insurance. Nevertheless, there are clear signs that the market is beginning to respond to the success of the Action Plan for Insurance Reform, with insurers moving into previously problematic niche areas such as childcare, inflatables and the equestrian sectors. 

In terms of upcoming issues, rebalancing the Duty of Care legislation is now a priority and is being led by the Department of Justice. Overhauling this legislation should help to address the issue of ‘slips, trips and falls’, which are particularly prevalent in heavy-footfall areas and could potentially unlock further liability insurance capacity for businesses.  

Finally, I would like to take this opportunity to assure the Deputy that it is my intention to work with my Government colleagues to ensure that implementation of the Action Plan can have a positive impact on the affordability and availability of insurance across all sectors in the economy. 

Question No. 172 answered with Question No. 170.

Tax Code

Questions (173)

Pauline Tully

Question:

173. Deputy Pauline Tully asked the Minister for Finance if biofuels used in home heating are subject to carbon tax; if biofuels used in home heating are subject to excise duties; and if he will make a statement on the matter. [60201/22]

Written answers

Minister for Finance

As outlined in my responses over recent weeks to various questions about biofuels and Hydrogenated/Hydrotreated Vegetable Oil (HVO), the State’s legislation on the taxation of fuels - as governed by Council Directive 2003/96/EC of 27 October 2003, commonly known as the Energy Tax Directive (ETD) - relieves or excludes biofuels that are produced entirely from biomass, from carbon taxation.

There are three national legislative frameworks which provide for the charging of excise duty on different fuel types in the State. Firstly, Finance Act 1999 provides for the application of excise duty in the form of Mineral Oil Tax (MOT) to liquid fuels. It also provides for the application of MOT to natural gas used for propellant purposes, referred to as Mineral Oil Tax on Vehicle Gas (MOTVG). MOT is comprised of a non-carbon component and a carbon component with the carbon component being commonly referred to as carbon tax. The non-carbon component of MOT is often referred to as “excise”, “fuel excise”, “fuel tax” or “fuel duty” but it is important to note that both components are part of MOT which is an excise duty.

Under MOT law reduced tax rates apply to certain fuel uses, such as heating. This means that heating oils are not subject to the significantly higher rates of MOT that apply to road vehicle propellants. In addition to the reduced MOT rates applicable to heating fuels, a relief from the carbon component, or carbon tax, is available for all uses of liquid biofuels. Therefore, a biofuel such as HVO is liable for the non-carbon component of MOT only. A substitute fuel used for heating purposes attracts the MGO rate of €111.14 per 1,000 litres. As this rate is currently comprised entirely of carbon tax, where a substitute fuel used for heating is a biofuel, a full relief from MOT applies.

The second legislative framework dealing with fuel taxation is Natural Gas Carbon Tax (NGCT), as set out in Finance Act 2010, which provides for the taxation of natural gas used for non-propellant purposes. NGCT is a “pure” carbon tax in that there is no non-carbon component to it. Biogas falls outside the scope of NGCT meaning that NGCT does not apply to biogas used for non-propellant purposes such as heating.

Finally, regarding solid fuel, the ETD mandates that coal is subject to taxation. Finance Act 2010 provides for Solid Fuel Carbon Tax (SFCT) to apply to coal and also to peat and peat products.

Like NGCT, SFCT is a “pure” carbon tax. Under SFCT law a partial relief is available for biomass products which are defined as any solid fuel product with a biomass content of 30 per cent or more.

As this explanation shows, fuels produced from biomass are relieved or excluded from the carbon tax under all three of the State’s legal frameworks for taxing fuels. This reflects a clear policy to incentivise the use of such fuels. Because biofuels are partially or fully relieved, or outside the scope of carbon taxation they are insulated from the impacts of the ten-year trajectory of carbon tax increases introduced in Finance Act 2020. Therefore, as annual increases in carbon taxes are implemented, the tax differential between biofuels and fossil fuels will continue to widen, further incentivising the uptake of biofuels.

Tax Code

Questions (174)

Violet-Anne Wynne

Question:

174. Deputy Violet-Anne Wynne asked the Minister for Finance if he has given any consideration to extending the 9% tourism VAT rate beyond 2025, in respect of the deepening cost-of-living crisis; and if he will make a statement on the matter. [60334/22]

Written answers

Minister for Finance

As the Deputy will be aware, the 9% rate for the tourism and hospitality sectors was reintroduced in Budget 2021 from 1 November 2020 to 31 December 2021 at an estimated cost of €401m. This measure was initially extended in Budget 2022 to 31 August 2022 at a further estimated cost of €251m. It was then  extended again for another six months until 28 February 2023 at an additional estimated cost of €250m. This was done to provide further support to the tourism and hospitality sectors over the busy November/December period and into the early New Year. 

No further extension to this measure is envisaged so the rate which applies to these sectors will revert to 13.5% from 1 March 2023.

Flood Risk Management

Questions (175)

Holly Cairns

Question:

175. Deputy Holly Cairns asked the Minister for Finance the steps he is taking to ensure that once a flood relief scheme is officially complete that insurers cannot refuse to provide flood insurance or charge reasonable rates for same. [60367/22]

Written answers

Minister for Finance

As Minister for Finance, I have policy responsibility for the development of the legal framework governing financial services regulation, including for the insurance sector. It should be noted that the provision of insurance cover and the price at which it is offered is a commercial matter for those companies and is based on an assessment of the risks they are willing to accept. Therefore, under the EU Solvency II Directive, neither the Minister for Finance nor the Central Bank can compel insurers to provide such cover.

I acknowledge that while there has been an overall increase in the provision of flood insurance over the last number of years, some householders are still experiencing difficulties. This is particularly the case in areas with demountable flood defences. This is the subject of the Memorandum of Understanding working group between the Office of Public Works (OPW) and industry representatives, Insurance Ireland. The Departments of Finance; Housing and Local Government; along with other stakeholders engage constructively with this process on how the levels of insurance cover might be improved in areas where flood defence works have been completed.

It may also interest you to know that legislating for compulsory cover was an option considered by my Department in its review of policy in relation to flood insurance in 2016, and the ‘Public Consultation on Climate Change and Insurance’ in 2019. It was found that such an approach would have limited impact on the availability of flood cover as it would result amongst other things in: insurers pricing prohibitively for high-risk properties; an increase in the pricing of low-to-medium risk properties; and the risk that insurers decide to withdraw from the market.

The Department of Finance will continue to monitor and assess any flood insurance matters, including by participating in the OPW and Insurance Ireland Working Group, continuing to encourage industry to have a more responsive approach to the matter, engaging with the Central Bank of Ireland and assessing domestic and international solutions to these issues as they arise.

Finally, please be aware that Insurance Ireland, operates an Insurance Information Service for those who have queries, complaints or difficulties in relation to obtaining insurance, which can be accessed at [e-mail]. Likewise, Brokers Ireland, the representative body for insurance brokers in Ireland, can be contacted. They have access to a wide range of providers and products and can offer advice for customers in sourcing cover. They can be reached at 01 6613067.

Mortgage Interest Rates

Questions (176)

Holly Cairns

Question:

176. Deputy Holly Cairns asked the Minister for Finance the steps he is taking in response to a mortgage services provider (details supplied) increasing standard variable rates on some loans to 6.5%. [60368/22]

Written answers

Minister for Finance

The Central Bank of Ireland advises that Pepper Finance Corporation (Ireland) Designated Activity Company, trading as Pepper Money and Pepper Asset Servicing, is authorised by it as a Retail Credit Firm (RCF). RCFs are required to comply with all relevant requirements of financial services legislation, including the regulatory requirements as set out in the Central Bank's existing codes of conduct and regulations. These include:

- the Consumer Protection Code 2012,

- the Code of Conduct for Mortgage Arrears 2013,

- the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Housing Loan Requirements) Regulations,

- the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Lending to Small and Small and Medium-Sized Enterprises) Regulations 2015 (SME Regulations), - the Fitness and Probity Regime,

- the Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) Minimum Competency Regulations 2017, and

- the Minimum Competency Code 2017.

In addition, RCFs must comply with the Authorisation Requirements and Standards for RCFs. These Standards require that RCFs must be able to demonstrate that they are in a position to conduct their affairs in a manner that ensures the best interests of their customers are protected.

Within this regulatory framework neither the Central Bank nor I as Minister for Finance have a statutory role in approving the level of interest rates that mortgage creditors charge on their loans. Decisions in relation to mortgage lending and loans, including the type of mortgage, the level of interest rates charged on mortgage loans and the basis for the adjustment of the mortgage rate, are commercial decisions for mortgage creditors in line with the terms of the mortgage contract entered into by the mortgage lender.

The factors affecting the decisions of mortgage creditors when setting and where applicable adjusting their interest rates are manifold and can include the costs of offering and managing the loan, including funding costs.  As the Deputy will be aware, since the summer the ECB has increased its main official lending rate by 2% and short-term wholesale interest rates have also increased over this period.

However, the Deputy may wish to note that on 17 November 2022 the Central Bank issued a 'Dear CEO' letter which details the specific actions, as set out in the Consumer Protection Outlook Report, on which financial services firms should take action to avoid consumer harm.

This is framed against the backdrop of a rapidly changing financial services landscape and the responsibility of firms to navigate this change in a manner that places the best interests of consumers at the heart of their commercial decision-making. This includes proactively assessing the risks and consumer impact a commercial decision may pose to new and existing customers and developing comprehensive action plans to mitigate these risks whilst ensuring that customers understand what changes mean for them. 

The Central Bank has advised that it expects that all regulated entities to take a consumer-focused approach in respect of any decision that affects their customers (both existing and new) and to communicate clearly, effectively, and in a timely manner with all customers.

Revenue Commissioners

Questions (177, 178, 179)

Catherine Murphy

Question:

177. Deputy Catherine Murphy asked the Minister for Finance if he will provide the definition applied by the Revenue Commissioners in the context of categorising persons as self-employed and or as contractors. [60384/22]

Catherine Murphy

Question:

178. Deputy Catherine Murphy asked the Minister for Finance if he will provide the definition applied by the Revenue Commissioners in the context of categorising persons as an employee. [60385/22]

Catherine Murphy

Question:

179. Deputy Catherine Murphy asked the Minister for Finance if he will clarify the hierarchy of adjudications in situations in which the Revenue Commissioners rule that a person is an employee following WRC cases in which a person has been determined to be self-employed (details supplied). [60386/22]

Written answers

Minister for Finance

I propose to take Questions Nos. 177, 178 and 179 together.

I am advised by Revenue that a worker’s employment status is not a matter of choice; it depends on the terms and conditions of the job. Employment classification is a complex area and there is no single clear definition of the terms ‘employed’ or ‘self-employed’ in Irish or EU law. While it is usually clear whether an individual is employed or self-employed, it is not always obvious. However, case law has established tests to determine whether contracts are contracts for service (i.e. self-employed contractor) or contracts of service (i.e. employee). These tests need to be applied on a case by case basis to the fact pattern of each case.

For the purposes of collection and recovery of income tax under the PAYE system, section 983 of the Taxes Consolidation Act 1997 (TCA) includes a definition of employee as meaning “any person in receipt of emoluments”. No definition of self-employed or contractor exists in the TCA for the purpose of collection of income tax.   However, in the vast majority of circumstances, it will be self-evident whether income paid to an individual for work carried out on behalf of a person that has engaged him/her should be subject to deduction by that person as Schedule E (of the TCA) emoluments under the PAYE system as an employee or whether, the individual is responsible on his/her own account for the payment to Revenue of tax under Schedule D of the TCA on such income as a self-employed person.  If required to do so, Revenue will make a determination on an individual’s employment status in the context of his or her treatment for income tax purposes and in allocating the income earned to the appropriate Schedule of the TCA 1997, based on the application of tax law and practice and case law to the specific set of circumstances involved.

The Deputy will be aware that three separate agencies make determinations in respect of employment status. The Workplace Relations Commission (WRC) determines employment status when adjudicating on employment rights matters; Scope Section in the Department of Social Protection (DSP) determines employment status with a view to deciding the appropriate class of PRSI for an individual; and, as already outlined, Revenue makes determinations for income tax purposes.  Each agency has its own legislative framework and appeals process, and individuals may subsequently have recourse to the judicial system.

In July 2021, an interdepartmental working group comprising the DSP, Revenue and the WRC updated the Code of Practice on Determining Employment Status. The purpose of the revised Code is to provide an enhanced understanding of employment status, taking into account current labour market practices and developments in legislation and case law. These developments include, for example, new forms of work such as platform work and the gig economy. The tests to be applied in determining employment status are explained in that document and those tests include mutuality of obligation, control, substitution, integration and the enterprise test.  The Code can be found at www.revenue.ie/en/self-assessment-and-self-employment/documents/code-of-practice-on-employment-status.pdf.

Revenue advises me that in most situations involving determinations of employment status there is commonality of approach across the three agencies and instances where determinations of employment status between Revenue and the WRC (and/or DSP) differ are rare.  There is open dialogue between the relevant bodies to discuss the respective views.  Where differences in approach occur, the decision of one organisation is not binding on the other, and as a consequence, a determination of employment status in one context may not be the same as in another context.

Regarding the specific case referred to in the Details Supplied, if the Deputy wishes to provide further information, I am advised that Revenue will review the facts and circumstances of the case to ensure that the tax treatment is appropriate as compared to the employment rights decision, bearing in mind that determinations made by the each of the three agencies in relation to employment status are done for different purposes and may result in divergent outcomes.

Question No. 178 answered with Question No. 177.

Question No. 179 answered with Question No. 177.

Primary Medical Certificates

Questions (180, 181, 182)

Ged Nash

Question:

180. Deputy Ged Nash asked the Minister for Finance if he will report on the Primary Medical Certificate Board; the number of applications that are waiting to be processed; and if he will make a statement on the matter. [60413/22]

Paul Kehoe

Question:

181. Deputy Paul Kehoe asked the Minister for Finance if he will provide an update on the recruitment of the Primary Medical Certificates Appeals Board since the Boards resignation in 2021; the proposals that are being made to address the backlog in appeals made to the Primary Medical Certificates Appeals Board by people with disabilities; and if he will make a statement on the matter. [60439/22]

Denis Naughten

Question:

182. Deputy Denis Naughten asked the Minister for Finance when a review of the primary medical certificate scheme will be concluded; and if he will make a statement on the matter. [60708/22]

Written answers

Minister for Finance

I propose to take Questions Nos. 180 to 182, inclusive together.

The Disabled Drivers and Disabled Passengers Scheme provides relief from Vehicle Registration Tax and VAT on an adapted car, as well as an exemption from motor tax and an annual fuel grant.

The scheme is open to severely and permanently disabled persons as a driver or as a passenger and also to certain charitable organisations. In order to qualify for relief, the applicant must hold a Primary Medical Certificate issued by the relevant Senior Area Medical Officer (SAMO) or a Board Medical Certificate issued by the Disabled Driver Medical Board of Appeal. To qualify for a Primary Medical Certificate an applicant must be permanently and severely disabled, and satisfy at least one of the six medical criteria.

Efforts are on-going to establish a new DDMBA. Following the resignation of all members of the previous Disabled Drivers Medical Board of Appeal, effective from 30th November 2021, two Expression of Interest campaigns have been held, seeking suitable candidates for the Board. The Department of Health leads on all actions and tasks with respect to the Expression of Interest Campaigns. Department of Finance officials provide support to the Department of Health in this matter.

The first campaign closed on 29th April. As there were insufficient suitable candidates arising from the first campaign, a second round was issued with a closing date of 5th July 2022. From these, three suitable candidates have successfully completed Garda vetting. Five members are legislatively required for a functional Board with a quorum of three needed for any appeal hearing. Two other candidates have very recently been deemed suitable and will now undergo Garda vetting.

Once Garda vetting is completed for the two aforementioned candidates, I will then be in a position to appoint them to the Board. I am hopeful that the new Board is up and running in January, and once operational, it will consider the best way of ensuring outstanding appeals are addressed as quickly as possible. 

As of 22nd November 2022, there are currently 726 people awaiting an appeal hearing with 382 of those dating back to 2021 and the remaining 344 people applying for an appeal this year. 

Requests for appeal hearings can be sent to the DDMBA secretary based in the National Rehabilitation Hospital. Appeal hearing dates will be issued once the new Board is in place. Assessments for the primary medical certificate, by the HSE, are continuing to take place.

Applicants deemed not to have met one of the six eligibility criteria required for a PMC can request another PMC assessment six months after an unsuccessful PMC assessment.

Question No. 181 answered with Question No. 180.

Question No. 182 answered with Question No. 180.

State Claims Agency

Questions (183)

Michael Creed

Question:

183. Deputy Michael Creed asked the Minister for Finance if he is satisfied with the manner in which the State Claims Agency deals with claims for compensation arising from damage to private property by State actors; if he is also satisfied that all relevant State actors respond in a timely fashion to the State Claims Agency thereby enabling it to finalise individual claims; the way that eligibility for compensation is determined in cases where property is damaged by State actors where no questions arise regarding the bona fides of the property owner or his compliance with the law; and if he will make a statement on the matter. [60748/22]

Written answers

Minister for Finance

I am informed by the NTMA that the State Claims Agency (SCA) is mandated by statute to handle claims for compensation or damages for loss of or damage to property, by State-authorised actors, where such loss or damage has been occasioned by an act or omission constituting a cause of action by an affected third party. Thus, in cases where negligence causing damage to property is alleged on the part of a State-authorised actor, the SCA, where negligence has been proved, always seeks to settle such cases as expeditiously as possible. If, however, a State-authorised actor causes damage to property, such as, for example, the Garda causing damage to a third party’s property whilst forcibly entering a premises, on foot of a lawful warrant, a claim by the third party for the resultant damage will be declined by the SCA as the damage has not been negligently caused and cannot not give rise to a cause of action.

State Claims Agency

Questions (184)

Catherine Connolly

Question:

184. Deputy Catherine Connolly asked the Minister for Finance if his attention has been drawn to the fact that the State Claims Agency does not maintain data on confidentiality/non-disclosure agreements as a result of legal settlement in respect of actions; the reason therefor; if it is intended that such information will be captured; and if he will make a statement on the matter. [60753/22]

Written answers

Minister for Finance

I am informed by the State Claims Agency that it is not the practice of the State Claims Agency to seek or introduce non-disclosure agreements in cases handled by it, save in very limited instances where an NDA is expressly requested by a plaintiff in any individual case. The National Incident Management System (NIMS) does not include the systematic capture of information on non-disclosure agreements given that they are a very rare event. While the SCA continuously reviews NIMS to ensure that its fields are aligned with information which is most likely to be required in support of its mandate, the value of tracking NDA agreements is low for the reasons outlined. 

In the very rare instance where an NDA has been requested by a plaintiff, this is recorded on the individual claim file for the awareness of SCA staff dealing with the particular file.