Vol. 488 No. 1
142 Mr. Ring asked the Minister for Finance the way in which the franchise for the processing of prize bond sales was appointed; if it was advertised for tender; the number of applicants; and the qualifying criteria to apply. [5441/98]
The operation of the prize bond scheme was put out to tender in October 1988. The invitation to tender was advertised in the national newspapers on 7 October 1988. The only qualifying condition specified was that the successful tenderer be able to produce promptly a tax clearance certificate from the Revenue Commissioners.
Four tenders were received and were evaluated on the basis of price and the soundness of the proposals. Following this evaluation, a ten year contract was awarded to two of the tenderers jointly, the Foreign Exchange Company of Ireland based in Killorglin, County Kerry, and An Post. This contract was signed on 9 May 1989, and covers the period to 30 April 1999.
143 Mr. Ring asked the Minister for Finance the reason it is not possible to purchase a single prize bond of £5; the individual who introduced the policy of having to spend £10 or more on prize bonds; and the plans, if any, An Post have to change this rule. [5442/98]
The requirement that purchasers of prize bonds must purchase a minimum of two bonds, at a total cost of £10, was introduced in March 1992, by the National Treasury Management Agency. The reason for its introduction was that the cost of processing purchases of single prize bonds had become uneconomic, the minimum purchase requirement having remained at £5 since the introduction of prize bonds in 1957. Any future changes would be a matter for the National Treasury Management Agency, since responsibility for the management of the prize bond scheme has been delegated to it. I understand that the agency has, at present, no plans to change this requirement.
