Written Answers Nos. 7-23
7. Deputy Matt Carthy asked the Tánaiste and Minister for Foreign Affairs further to Parliamentary Question No. 52 of 14 February 2024, if Irish election monitors observed the 2023 Turkish general election; the related findings; and if he will make a statement on the matter. [22059/24]
View answerThe Department of Foreign Affairs maintains and administers a voluntary roster of suitably skilled and vetted individuals who are available to participate at short notice in election observation missions organised by the European Union and the Organisation for Security and Co-operation in Europe (OSCE). Ireland's current five-year international Election Observation Roster was established on 1 January 2024 and has 173 members. Six members of Ireland's international Election Observation Roster participated in the OSCE election observation mission to Türkiye during April and May 2023.
The OSCE Office for Democratic Institutions and Human Rights (ODIHR) concluded that Türkiye’s 2023 general elections offered voters a choice between genuine political alternatives and that voter participation was high. However, it found that the incumbent President and the ruling parties enjoyed an unjustified advantage, including through biased media coverage. The OSCE noted continued restrictions on fundamental freedoms of assembly, association and expression, which hindered the participation of some opposition politicians and parties, civil society and independent media in the election process. While the OSCE found the campaign to be competitive and largely free for most contestants, it stated that it was characterised by intense polarisation and harsh rhetoric.
The Final Report, which includes a number of recommendations for Türkiye’s consideration, is available on the OSCE website at: www.osce.org/files/f/documents/1/f/553966.pdf
8. Deputy Pa Daly asked the Tánaiste and Minister for Foreign Affairs if an application to the foreign births register (details supplied) will be expedited. [22094/24]
View answerMy Department is responsible for processing Foreign Birth Registration (FBR) applications for people who are born abroad and claim Irish citizenship through a grandparent born in Ireland or through a parent who has claimed citizenship also through FBR, Naturalisation or Post Nuptial Citizenship.
FBR applications are currently being processed within the normal turnaround time of 9 months from receipt of supporting documents. Applications which require further supporting documents will take longer to process.
Foreign Birth Registration, by its nature, is a detailed and complex process, often involving official documentation relating to three generations and issued by several jurisdictions. Such documents take considerable time to validate.
The Passport Service Customer Service Hub has dedicated agents to deal with Foreign Birth Registration application queries. The contact number for urgent Foreign Birth Registration queries is +353 1 568 3331. This number is also available on the Department's website.
With regard to the specific FBR application about which the Deputy has enquired, the Passport Service will review the application and will contact the applicant directly.
9. Deputy James Lawless asked the Tánaiste and Minister for Foreign Affairs if an issue in relation to two passport applications (details supplied) will be examined; and if he will make a statement on the matter. [22099/24]
View answerWith regard to the specific applications about which the Deputy has enquired, the Passport Service has issued passports to the applicants.
10. Deputy James Lawless asked the Tánaiste and Minister for Foreign Affairs if he will expedite a passport application (details supplied); and if he will make a statement on the matter. [22120/24]
View answerWith regard to the specific application about which the Deputy has enquired, the Passport Service has issued a passport to the applicant.
11. Deputy Paul Murphy asked the Minister for the Environment; Climate and Communications if he will take legislative action to close the policy gap by prohibiting SRM geoengineering, providing penalties and enforcement for violations; and if he will make a statement on the matter. [21916/24]
View answerSolar radiation modification (SRM) is a term for a suite of emerging and as yet unproven technologies aimed at altering the heating power of the sun to mitigate global warming, rather than, or in addition to, reducing greenhouse gas emissions. While modelling has indicated that SRM could potentially offset some climate change risks, it could also introduce a range of new risks including potential harm to the environment, climate and security.
Ireland’s climate policy is focused on emissions reduction and sequestration and is fully consistent with that of the EU where the primary focus is on achieving climate neutrality by no later than 2050 (Climate Law), the reduction of greenhouse gas emissions by 55% by 2030 (Fit for 55 legislative package), and adaptation to climate change (Adaptation Strategy).
To this end, the Government enacted the Climate Action and Low Carbon Development (Amendment) Act 2021, significantly strengthening the statutory framework for climate governance in Ireland. This framework requires the delivery of successive Climate Action Plans and Long-term Climate Strategies, supported by a system of carbon budgeting and sectoral emission ceilings to meet our 2030 and 2050 targets. It is supported by appropriate oversight by Government, the Oireachtas and the Climate Change Advisory Council, the latter having been established under the 2015 Act.
The most recent update to the Climate Action Plan, CAP 24, was published in December subject to Strategic Environmental Assessment, Appropriate Assessment, and a public consultation. The final version of this Plan will be brought before Cabinet shortly for final approval.
However, it can be expected that calls to develop and deploy some forms of solar radiation modification are likely to grow in the future, particularly where we experience temperature overshoot due to insufficient mitigation or where climate tipping points are reached. The IPCC indicates the risks (and/or benefits) of SRM are poorly understood and relevant rules, procedures and institutions or governance are weak or missing.
In that context the Group of Chief Scientific Advisors to the European Commission has been asked to provide recommendations to establish the EU position on solar radiation modification. The group’s report is due to issue by Quarter 3 this year and will form a valuable state of the art assessment to inform the development of the national and EU position on this evolving area.
12. Deputy Brendan Griffin asked the Minister for the Environment, Climate and Communications the provisions in place for people with disabilities and elderly people to access the deposit return scheme (details supplied); and if he will make a statement on the matter. [22135/24]
View answerWith the advice of the National Disability Authority, Re-turn, the DRS operator, is embarking on an engagement process that will ensure accessibility issues for the Deposit Return Scheme (DRS) are addressed meaningfully and in line with best practice.
I understand that Re-Turn will convene the first meeting of an advisory group in May and has sought nominations from a number of disability organisations who will provide membership for the group.
Individuals who have difficulties in returning bottles and cans to their local retailer are encouraged to contact Re-turn directly and they will work with the local retail community to find a solution that works for all involved.
13. Deputy Matt Carthy asked the Tánaiste and Minister for Defence his proposals to support veterans' associations; the progress made implementing related recommendations of the Commission on the Defence Forces; and if he will make a statement on the matter. [22055/24]
View answerMy Department provides support to two recognised Veterans Associations. These Veterans Associations, which represent all former personnel, are Óglaigh Náisiúnta na hÉireann (ONE), the Organisation of National Ex-Service Personnel, and the Irish United Nations Veterans Association (IUNVA). My officials and I meet regularly with these recognised Veterans Associations to discuss matters of concern to their members.
My Department has entered into Service Level Agreements with ONE and IUNVA, under which an annual grant is paid to both organisations in order to assist with their administrative overheads. ONE is paid €130,000 and IUNVA is paid €30,000. These grants were increased substantially in 2022. As a further means of assistance, since 2021 my Department has also secured total funding of €900,000 under the Dormant Accounts Fund to assist ONE and IUNVA with specific special projects.
Additionally, in line with the commitment in the current Programme for Government to "support the establishment of centres for members of the Defence Forces", my Department continues to facilitate, where possible, the establishment of further ONE Veterans Support Centres and IUNVA Posts around the country.
The establishment of an Office of Veterans Affairs, under new Defence Forces structures, was one of the recommendations included in the report of the Commission on the Defence Forces published on 9 February 2022. A detailed implementation plan for the Commission's recommendations was subsequently published on 21 November 2023.
14. Deputy Matt Carthy asked the Tánaiste and Minister for Defence if he will report on the work of the working group established to review the process of awarding medals; and if he will make a statement on the matter. [22056/24]
View answerThe awarding of medals is a matter for the military authorities. As the Deputy may be aware, Defence Force Regulation (DFR) A9 sets out the qualifying criteria required to be awarded such Defence Force Medals. It also delineates the procedures for the awarding of those medals to members of the Defence Forces.
As previously stated, the review by the military authorities on the process of awarding medals is underway.
On 26 January 2024, the Defence Forces established a Working Group to review the Award of Medals in the Defence Forces. On 15 April 2024, the Working Group prepared an interim report which is currently being considered by the Defence Forces. My officials have been sighted on this report for information purposes. Following further guidance on this body of work within the Defence Forces, the military authorities have advised that the Working Group will submit a final report to me by at the end of June this year.
I would like to assure the Deputy that I will duly consider any proposals that may result from this final review.
15. Deputy Matt Carthy asked the Tánaiste and Minister for Defence the establishment figure of the Defence Forces; the number of personnel required under level of ambition 2 of the Commission on the Defence Forces; the total current number of personnel in the Permanent Defence Force; his targets for net recruitment; and if he will make a statement on the matter. [22057/24]
View answerAs of the 31 March 2024, the latest date for which such data is available, the strength of the Permanent Defence Force stood at 7,510 personnel.
As one of the recommendations from the report of the Commission on the Defence Forces, Government approved a move, over a six-year period, to a level of Permanent Defence Force capability equivalent to Level of Ambition 2. That would require an additional 2,000 personnel, including a civilian component, beyond the 9,500 establishment figure that was in place at the time of the Commission’s report. The ultimate distribution of these additional personnel between the different branches of the Defence Forces is under consideration.
The overall current establishment of the Defence Forces was recently increased to 9,600 in order to expedite implementation of the report through promotions and reassignments. These extra positions are not broken down by branch.
Induction numbers fluctuate from year to year. Budget 2024 allocated €1.23 billion for the Defence Sector, which included a provision for the recruitment and training of a net additional 400 personnel in 2024. As part of strategies to achieve this there are a number of recruitment and retention initiatives currently underway aimed at maximising recruitment capacity and stabilising numbers.
Every effort is being made to increase the strength of our Defence Forces. The current recruitment and retention challenges being experienced are being experienced world-wide. This Government has introduced a range of measures, including significant progress on pay, to make the Defence Forces an attractive option as a career choice.
16. Deputy Matt Carthy asked the Tánaiste and Minister for Defence his plans to meet the capital allocation required to meet level of ambition 2 as outlined by the Commission on the Defence Forces; and if he will make a statement on the matter. [22058/24]
View answerThe Government approved a move to Level of Ambition 2 (LOA2), as recommended by the Commission on the Defence Forces in July, 2022. As part of that decision, the Government committed to increasing the funding allocated to Defence to €1.5 billion (at 2022 prices) by 2028, through the annual Estimates process.
Delivery of this objective will allow the required transformation and investment in Defence recruitment, equipment and infrastructure that was identified by the Commission. It is worth noting that the Commission Report included an approximation of the likely annual capital costs of LOA2 rather than an outline of any annual capital investment targets to be achieved during the transition to that level.
Last March, Minister Donohoe published revised multi-annual capital spending allocations across Departments out to 2026. This increased funding will facilitate the progression of key capital projects and programmes under the 2021-30 National Development Plan (NDP). For Defence, this will see the capital allocation rise from its 2024 level of €176 million to €215 million in 2025 and €220 million in 2026, a level of increase which will bring the Defence allocation to its highest ever level.
Certainty on future capital funding is a key strategic enabler for Defence to ensure a pipeline of Defence equipment and infrastructural projects are always progressing. In that context, the certainty now provided by the availability of over €600 million in capital funding out to 2026 is welcomed as it will facilitate the progression of essential projects, greatly enhance the physical working environment and equipment of the Defence Forces and support the transformation of the Defence Forces in line with the Government commitment to move towards Level of Ambition 2.
17. Deputy Aindrias Moynihan asked the Tánaiste and Minister for Defence the up-to-date position on risk assessments carried out on the safety impact to Irish peacekeeping troops serving in Lebanon on their monitoring of the blue line between Lebanon and Israel; and if he will make a statement on the matter. [22106/24]
View answerAt the outset, I wish to assure the Deputy that the safety and security of Ireland’s Defence Forces’ personnel is of paramount concern to this Government. As Tánaiste and Minister of Defence, I remain in ongoing contact with the Chief of Staff and the Department of Defence is kept apprised of all developments in those areas in which Defence Forces’ personnel are deployed.
Furthermore, all reasonable measures are being taken to ensure the safety and security of all Defence Forces' personnel. All Defence Forces’ personnel, including personnel serving in Lebanon are maintaining a high level of vigilance and continue to monitor the developing situation in their respective mission areas, which remains dynamic and unpredictable.
I wish to also assure the Deputy that Defence Forces’ peacekeepers are well trained prior to deployment and prepared to anticipate events such as occasions of sporadic fire in their Area of Operations. This includes complying fully with all UN security precautions, including taking shelter in protected positions as appropriate, as they have had to do on several occasions since the outbreak of hostilities.
With regard to UNIFIL particularly (which as the Deputy is aware is the Mission monitoring the Blue Line between Lebanon and Israel), the Government recently approved the additional deployment of an extra platoon of 33 Irish troops to serve as an additional force protection element with the Irish Battalion deployed. These troops will deploy to the UNIFIL mission during July 2024.
Finally, in terms of contingency planning, I can assure the Deputy that this is part and parcel of the planning in operational deployments should the need for evacuation ever arise. It should be underlined however that the Government remains committed to UNIFIL and has no plans to evacuate our personnel currently. We will continue to monitor the situation closely along with our partners in the UN and the wider international community.
18. Deputy Aindrias Moynihan asked the Tánaiste and Minister for Defence the measures being taken to ensure the protection of submarine communication cables in Irish waters; and if he will make a statement on the matter. [22107/24]
View answerAs Minister for Defence, I chair the Government Task Force on Emergency Planning (GTF) supported by the Office of Emergency Planning (OEP) in my Department. A subgroup of the GTF produced the first guideline document on critical infrastructure resilience in February 2019. This document was subsequently revised and updated in July 2021.
While the primary responsibility for safeguarding critical infrastructure rests with its owner or operator, the guideline document provides the methodology for operators of essential services to follow to enhance their resilience. It also outlines that it is the responsibility of each government department to foster links and work closely with the semi-state and private sector operators of critical infrastructure, in their respective policy areas, to enhance the protection of critical infrastructure from a wide variety of threats.
The Office of Emergency Planning (OEP) in my Department is working to transpose the new Critical Entities Resilience Directive. In advance of the enactment of this Directive and because of the increased threat to critical infrastructure, the Department of Defence has worked with the Department of Environment, Climate and Communications, and energy operators, to stress test critical infrastructure in the energy sector in Ireland against man-made threats.
Following the attacks on Nordstreams 1 and 2 in October 2022, my colleague, the Minister for the Environment, Climate and Communications, Deputy Eamon Ryan, sought support from my Department for additional measures that could be put in place to ensure that critical offshore infrastructure, including data cables, was protected. As a result of this, enhanced patrolling of the Irish Sea in the vicinity of priority offshore infrastructure is taking place by a mixture of air and naval platforms and the Irish Naval Service Fisheries Monitoring Centre in Haulbowline continues to remotely monitor vessels in the EEZ on a 24/7 basis. My priority as Minister for Defence is to ensure that the operational capacity of the Army, Air Corps and Naval Service is maintained and developed. This is to enable the Defence Forces to carry out the roles assigned by the Government. A great deal of work is under way to ensure that we have the required capabilities, with equipment projects under way.
19. Deputy Aindrias Moynihan asked the Minister for Transport his views on a survey (details supplied) and the recently announced figure of a decrease in new car registrations of 16% compared with March 2023; and if he will make a statement on the matter. [22102/24]
View answerOur current target under the Climate Action Plan is to have 30% of our private car fleet switched to electric by 2030.
€115.8m has been allocated in 2024 to promote the continued transition to electric vehicles (EVs), which includes funding for EV grants and EV charging infrastructure. This underpins the Government’s commitment to making EVs accessible to all.
While there are, as the recent survey points out, challenges around EV sales including prices and concerns around misinformation, we are still working towards our climate action plan and international targets.
There are currently over 125,000 EVs registered on Irish roads (end April 2024). That number is expected to increase as the price of EVs continue to fall relative to their combustion engine equivalents. It is expected that as manufacturers increasingly ramp up EV production, upfront costs will become more comparable to traditional combustion engine cars within the next number of years. This will make total cost of ownership much more attractive and competitive, particularly given fuel price trends. There is also far more choice available across all major car manufacturers and this is driving increased competition on price.
While this is generally a positive action for consumers interested in EVs, it may also create uncertainty for potential EV purchasers as the market has not yet settled and so prices and perceived value are still fluctuating.
Zero Emission Vehicles Ireland (ZEVI), a dedicated office within the Department, is actively working to address misinformation surrounding EVs. ZEVI is aware that EVs are still a new and somewhat unknown quantity for many motorists, but there are many benefits and improvements to EVs which can be championed as they begin to meet and exceed the performance of internal combustion engine vehicles through proper use and advancing technology.
Fleet electrification is expected to continue to provide the greatest share of emissions abatement in the short-to-medium term for the transport sector.
Current financial supports from ZEVI, and where applicable with support from the Department of Finance, for the transition to electric vehicles and for the rollout of electric vehicle charging infrastructure include:
• A purchase grant for battery electric vehicles (BEVs) of up to €3,500;
• A Home Charger purchase grant scheme - up to €300;
• VRT relief of up to €5,000 for the purchase of BEVs;
• Benefit-in-Kind tax relief for battery electric vehicles;
• eSPSV grant scheme – a grant to enable taxi drivers to apply for a BEV/FCEV or a wheelchair accessible BEV/FCEV/PHEV
• ZEHDV grant scheme – a grant scheme for HDVs to bridge the gap between a low emission vehicle and a fossil fuel vehicle; and
• Low rate of annual motor tax.
These and related infrastructure supports will continue to incentivise the switch to electric vehicles as well as enabling the expansion of a fast and accessible rapid electric vehicle charging network to stay ahead of demand.
A significant number of charge points are scheduled to be delivered over the next year.
These include the roll out of public accessible charge points through the Shared Island Sports Club EV Charging Scheme, the EU Just Transition Fund (JTF) Community Facilities EV Charging Scheme and the Electric Vehicle Charging Infrastructure Light Duty Vehicle Enroute Grant Scheme all of which are currently live and expected to begin delivery on the ground in late 2024, early 2025.
The National Road Network EV Charging Network Plan, launched in September 2023, will see 8-12 high-power chargers on the motorway network every 60KM, 6-8 HPCs every 60 km on the single carriage national roads and 1-2 high power chargers every 30 KM on the secondary national roads.
This month, we will launch a public consultation on the Regional and Local Plan and roll out of EV Infrastructure for destination and neighbourhood locations through Local Authorities.
This is a critical step in our EV transition that will see us move from the current business led model to a planned approach which leverages private funding and resourcing while allowing Government funding to flow to the areas it is needed.
To facilitate this, ZEVI have been engaging extensively with Local Authorities and agreed in principle a regional set up to deliver EV Infrastructure Strategies and Implementation Plans which will result in a planned and phased roll out of infrastructure over the next 5 years.
A crucial element of this approach is to ensure we deliver a cohesive, resilient network and adequate planning is essential to ensure any infrastructure delivered is installed in the right location for the right purpose to meet user needs.
20. Deputy Aindrias Moynihan asked the Minister for Transport the measures being taken to deal with wild deer on public roads and the increased prevalence of traffic incidents due to their increased numbers; and if he will make a statement on the matter. [22103/24]
View answerAs the Deputy is aware, policy responsibility for road safety lies within the remit of my Department, however, responsibility for deer and other wildlife resides with the National Parks and Wildlife Service (NPWS), within the Department of Housing, Local Government and Heritage. The Minister for Agriculture, Food and the Marine, Charlie McConalogue is also acutely aware of the importance of the sustainable management of our national deer population for agriculture, as well as our nature ecosystems.
In order to address this the Minister for Housing, Local Government and Heritage, Darragh O'Brien TD and the Minister for Agriculture, Food and the Marine, Charlie McConalogue TD convened the Deer Management Strategy group last Autumn, under the Chairmanship of Mr Teddy Cashman. On foot of a recommendation of the strategy group a public consultation on the management of deer was launched late last year. This was the first major public consultation into the impact of deer and it received over 1,500 submissions from all over the country and all walks of life.
Some of the findings of the public consultation are that the main concerns regarding the impacts of deer to emerge from the consultation were biodiversity loss / damage (82%), damage to agricultural crops / grazing (81%), road safety issue (80%), preventing the establishment of new forests (71%) and a role in the epidemiology of TB in cattle (67%). Submissions also outlined that in order to tackle the problems raised by deer, 86% of the survey’s respondents said culling of deer is needed. Some 78% said supports for landowners to manage deer is required while 69% said a domestic venison industry should be expanded.
A report was published in December 2023 that presents recommendations and covers a wide range of issues from hunter training and forest design to land use management and the venison market. The 16 recommended actions are collated between short- and medium-term implementation targets.
The Deer Management Strategy Group continue to meet regularly to progress these recommendations towards implementation.
Two of the main enabling recommendations are the appointment of a deer management programme manager and the establishment of local deer management units. A procurement process is underway to appoint an entity to provide a programme manager and establish 15 deer management units.
21. Deputy Aindrias Moynihan asked the Minister for Transport the up-to-date position on road safety improvements for the N22 at a location (details supplied); and if he will make a statement on the matter. [22104/24]
View answerAs Minister for Transport, I have responsibility for overall policy and exchequer funding in relation to the National Roads Programme. Under the Roads Acts 1993-2015 and in line with the National Development Plan (NDP), the operation and maintenance of individual national roads is a matter for Transport Infrastructure Ireland (TII), in conjunction with the local authorities concerned. This is also subject to the Infrastructure Guidelines and the necessary statutory approvals. In this context, TII is best placed to advise you.
Noting the above position, I have referred your question to TII for a direct reply. Please advise my private office if you do not receive a reply within 10 working days.
22. Deputy Aindrias Moynihan asked the Minister for Transport to outline his engagement to date with Cork County Council in progressing and delivering EV charging infrastructure for existing homes and apartments without their own driveway; and if he will make a statement on the matter. [22105/24]
View answerThe Government is fully committed to supporting a significant expansion of the electric vehicle charging network over the coming years.
Zero Emission Vehicles Ireland (ZEVI), a dedicated Office which oversees and accelerate Ireland’s transition to zero emission vehicles, has significant funding available in 2024 for the installation of EV charging across Ireland.
While home charging will be the primary charging method for most Irish EV owners given the Irish landscape, there is also a need for a seamless charging network that will provide for situations or instances where home charging is not possible.
The number of publicly available charge points has increased from 1,700 in September 2022 to 2,400, and a significant number of charge points are scheduled to be delivered over the next year.
ZEVI are currently engaging with Local Authorities to develop their EV Infrastructure Strategies which will identify areas without off street charging capabilities and identify solutions to be included in Implementation Plans which may include off street neighbourhood chargers, Shared Charging facilities, and/or use of local Rapid Destination Chargers or Hubs.
Following Strategy development Local Authorities will identify suitable sites and locations to install the EV charging Infrastructure to meet user needs.
It is envisaged that Local Authorities will work in partnership together and with the private sector using appropriate contractual arrangements to install and operate this infrastructure up to 2030 in order to facilitate the transition to EVs, and beyond 2030 that the private market will be robust enough to install any future infrastructure based on user demand and need.
Additionally, current financial supports include the apartment charger grant – the grant is available to assist residents and owners of apartments and other multi-unit developments with the bulk installation of chargers at a single location.
Officers in my Department have been engaging with Cork County Council and other Local Authorities in the development of these plans.
23. Deputy Niamh Smyth asked the Minister for Finance the steps his Department is taking to assist with the increasing price of insurance premiums, despite the fact claims are going down. [22025/24]
View answerAs the Deputy will appreciate, neither I, nor the Central Bank of Ireland, can direct the pricing or provision of insurance products. This position is reinforced by the EU Single Market framework for insurance (the Solvency II Directive).
Notwithstanding this, reforming the insurance sector is a key policy objective for the Government. Through the comprehensive Action Plan for Insurance Reform, targeted measures have been delivered across a broad spectrum of policy areas, with the aim of reducing costs and increasing availability of cover. The most recent Action Plan Implementation Report, published in February 2024, indicates that the Plan is over 95 per cent complete, with all principal actions complete. This includes the introduction of the Personal Injuries Guidelines, an enhancement of the Injuries Resolution Board, and a rebalancing of the Duty of Care (via amendments to the Occupiers’ Liability Act 1995). These reforms have had a notable impact on motor insurance premiums, with CSO data showing that in April 2024, even though they had risen 5.9 per cent year-on-year, they remained 40.2 per cent lower than their July 2016 peak.
As the Deputy notes, there has been a notable drop in claims in recent years. As per the Injuries Resolution Board’s Average Rewards Report No. 4, the volume of claim applications submitted to the Board fell from 31,072 in 2019 to 18,453 in 2022. The Board notes that “accident levels remain below pre-Covid levels but there are indications of some recent level of increase”.
It is important to note that the impact of Government reforms takes time to transmit to price levels for a variety of reasons. These can include: uncertainty arising from legal challenges (the Delaney judgment on the validity of the Personal Injuries Guidelines was only decided last month); the inherent complexity of the insurance sector’s operating environment; or even dynamic, external developments which can determine price or supply in a small market such as Ireland. It is unfortunate that the global insurance market is one that appears to be “hardening” at present.
While personal injury claims costs have been a major component of insurance costs for many years, it is also important to note that other components – in particular damage costs (for motor insurance) and commercial property costs (for business insurance) – have been experiencing significant inflationary pressures in recent years, as material and labour costs increase. Indeed, the most recent National Claims Information Database report on motor insurance notes that the average cost per policy for damage claims increased by 44 per cent in 2022, with claims frequency increasing by 20 per cent in the same year. As inflationary pressures settle, I would expect to see insurance premiums to mirror this as damage claims costs become more predictable for insurers.
The Government’s focus is now firmly on ensuring that the savings generated by the entire reform programme are realised, for the benefit of consumers, businesses, and community and voluntary groups. In this regard, Minister of State Richmond has been meeting with the CEOs of the main insurers in the Irish market, in order to reiterate the Government’s expectation that insurers will reduce prices, and increase their risk appetite, in light of this improved operating environment.
