Dáil Éireann Debate, Tuesday - 12 June 2012
182 Deputy Michael Healy-Rae asked the Minister for Finance if he will ensure that credit unions here take into account the impact of the new proposals on the development of credit unions in the report on the Commission on Credit Unions on their ability to compete and most importantly their ability to lend; and if he will make a statement on the matter. [28414/12]
Amharc ar fhreagra183 Deputy Michael Healy-Rae asked the Minister for Finance the position regarding credit unions (details supplied); and if he will make a statement on the matter. [28415/12]
Amharc ar fhreagraI propose to take Questions Nos. 182 and 183 together.
The Final Report of the Commission on Credit Unions was published in April this year. The Report's recommendations were agreed by all members of the Commission, including the representatives of the credit union movement. I have welcomed the Report. The Commission on Credit Unions has provided a landmark Report with far reaching recommendations to restructure the Irish credit union sector and strengthen its legislative and regulatory framework. Its recommendations will influence the shape of the credit union sector for many years to come.
The Report sets out the key features of credit unions in Ireland, their history and development, examines the financial position of the sector and considers findings from a survey of credit unions, a public consultation process and a separate efficiency study of the sector. It provides an overview of alternative financial co-operative models in various countries across Europe and North America and considers future models for credit unions in Ireland. The Report incorporates the recommendations of the Commission's Interim Report, published in October 2011, with regard to deposit protection, resolution, stabilisation, and liquidity and initial recommendations on legislation, regulation and governance. The key recommendations are in relation to sector restructuring, the details of the proposed new legislative and regulatory framework, and new governance requirements for credit unions.
The Report also recommends that a consultation protocol should be put in place between the Central Bank and credit unions and that, when setting out new regulations, the Central Bank should undertake a Regulatory Impact Analysis in line with existing requirements and having regard to international best practice.
