Written Answers Nos. 88-111
88. Deputy Catherine Murphy asked the Minister for Finance if he has received revised information as to the number of housing estates which qualify for an exemption from the local property tax since the introduction of the tax; if he will provide a list of all such estates indicating their location and the nature of their exemption, that is, unfinished, pyrite damage and so on, in each case; and if he will make a statement on the matter. [49084/14]
Amharc ar fhreagraI am advised by Revenue that the Finance (Local Property Tax) Act 2012 (as amended) ('the Act') makes provision for a number of exemptions from Local Property Tax (LPT).
Section 10(2) of the Finance (Local Property Tax) Act 2012, as amended, provides that a residential property shall not be liable to Local Property Tax (LPT) where it is situated in an unfinished housing estate, where such estate is contained in a list prescribed by the Minister for the Environment, Community and Local Government. The Minister has prescribed and published this list which is set out in the Schedule to the Finance (Local Property Tax) Regulations 2013 (S.I. No. 91 of 2013). I stress that the decision as to whether an estate is on the list of unfinished estates is in the ambit of local authorities and the Department of the Environment, Community and Local Government and not in the ambit of the Department of Finance.
The list was published by the Minister for the Environment, Community and Local Government in March 2013 and can be viewed at www.environ.ie . Only properties in estates included on the list qualify for exemption. I have not received any revised information regarding the list of unfinished estates. I am advised by the Revenue Commissioners that up to October 2014, there are 1,200 residential properties on which a claim for significant pyrite damage has been made in respect of LPT 2013 and 2014 and 4,900 properties on which an exemption for unfinished housing estates has been claimed for LPT 2013 and 2014.
I am further advised that there is no list of exempted estates in respect of pyrite. Section 10A of the Finance (Local Property Tax) Act 2012, as amended, provides for a temporary exemption of at least three consecutive years from the charge to Local Property Tax (LPT) for residential properties that have been certified under Regulations made by the Minister for the Environment, Community and Local Government (S.I. No. 147 of 2013) as having "significant pyritic damage". These Regulations describe the methodology that must be used when a property is being assessed for pyrite damage. To be eligible for the pyrite exemption under these Regulations, a liable person must obtain a certificate from a competent person, such as an engineer or a geologist, confirming the presence of significant pyritic damage.
As I previously advised the House in response to Parliamentary Questions no. 14 (37016/14) and no. 31 (37015/14) on 2/10/14, and no. 38 (41718/14) of 5/11/2014, officials of my Department, together with officials of the Department of Environment, Community & Local Government, are currently examining the alternatives other than testing that may be available in order to confirm entitlement to a Local Property Tax (LPT) exemption.
I expect to make a decision in the matter shortly that will be consistent with the original objectives of the legislation and the report of the Pyrite Panel.
89. Deputy Catherine Murphy asked the Minister for Finance if any portion of the Ireland Strategic Investment Fund has been accessed by a company (details supplied) as part of a programme of investment; if so, if he will provide the amount and nature of the funds awarded; the conditions stipulated concerning same; and if he will make a statement on the matter. [49117/14]
Amharc ar fhreagraThe National Pensions Reserve Fund, which will shortly become the Ireland Strategic Investment Fund, has advised that it has not made any investment in, or commitment to, the company (details supplied).
90. Deputy Barry Cowen asked the Minister for Finance if he will provide, in tabular form, the number of staff in his Department currently on a sabbatical-career break broken down by zero to six months, six to 12 months, one to two years, two to three years, four to five years and more than five years; and if he will make a statement on the matter. [49126/14]
Amharc ar fhreagraI wish to inform the Deputy that Career breaks are available in the civil service and in the state sector generally. The scheme is promoted as being one of a number of facilities that help staff to combine work and family responsibilities. A career break consists of special leave without pay for a period of not less than six months and not more than five years. A career break may be extended in six monthly periods or in periods in excess of six months provided the total period of special leave without pay does not exceed five years in all. Subject to certain conditions eligible staff may, in general avail of three career breaks during their career provided the total period does not exceed twelve years.
Where a civil servant has previously taken a career break(s), s/he must be currently working in the Civil Service for a period of time which is either the same or longer than the length of his/her previous career break before s/he can apply for a second or third career break.
The number of staff in my Department currently on a sabbatical/career break is shown as follows:
|
Duration of Career Break |
Number of staff |
|
6 - 12 months |
3 |
|
1 - 2 years |
3 |
|
2 - 3 years |
2 |
|
3 - 4 years |
1 |
|
4 - 5 years |
2 |
|
Grand Total |
11 |
91. Deputy Barry Cowen asked the Minister for Finance if he will provide, in tabular form, the total photography costs for his Department since coming to office inclusive of costs incurred from use of the ministerial allowance; the occasions for which photographers were booked; the photographers used; the breakdown of costs associated with each occasion that a photographer was used; if there is a policy regarding the booking of photographers within his Department; and if he will make a statement on the matter. [49141/14]
Amharc ar fhreagraIn response to the Deputy's Question the total photography costs for my Department and the details of the occasions on which photographers were used in the period in question are contained in the following table: -
|
Photography Company |
Details of Occasions |
Cost € |
|
Maxwell Photography Ltd |
Signing of Taxation agreement with Germany Engaged on 31st March 2011 |
€400.21 |
|
Maxwell Photography Ltd |
Signing ceremony for Double Taxation Agreement with Uzbekistan Engaged on 11th July 2012 |
€147.60 |
|
Maxwell Photography Ltd |
Signing ceremony for Double Taxation Agreement with Switzerland: Minister of State Hayes and the Swiss Ambassador Engaged on 26th January 2012 |
€285.05 |
|
Maxwell Photography Ltd |
Graduation ceremony for the Diploma in Taxation Policy and Practice, the Diploma in Project Management, and the Diploma in Project Management and Refund of Fees - Engaged on 3rd September 2014 |
€510.75 |
|
TOTAL |
|
€1,343.61 |
The Department's policy regarding the booking of photographers is to follow the relevant public procurement guidelines and procedures.
92. Deputy Barry Cowen asked the Minister for Finance if he will provide, in tabular form, the use of external public relations firms employed by his Department since coming to office; the list of uses of the external public relations firm; the internal Department policy with regard to employing external groups; and if he will make a statement on the matter. [49156/14]
Amharc ar fhreagraI take it that the Deputy is referring solely to external public relations costs and not to advertising costs that would be incurred by my Department in the normal course of business, such as entries into telephone directories, the placing of advertisements in national newspapers, recruitment advertising, etc.
No such costs have been incurred in respect of my Department in the period since I came into office.
The Department's policy regarding employing external groups is to follow the relevant public procurement rules and procedures.
93. Deputy Barry Cowen asked the Minister for Finance the total amount spent on external IT consultants by his Department in 2010, 2011, 2012, 2013 and to date in 2014; and if he will make a statement on the matter. [49171/14]
Amharc ar fhreagraA large portion of my Department's expenditure on external IT service providers relates to the ongoing support, maintenance and occasional enhancement of the systems acquired for the provision of pension payment, banking and financial management services. This expenditure is non-discretionary and the associated contract costs are generally fixed at a percentage of the initial software acquisition costs.
94. Deputy Barry Cowen asked the Minister for Finance if his Department has renegotiated external IT consultancy contracts and costs since March 2011; and if he will make a statement on the matter. [49186/14]
Amharc ar fhreagraFollowing the establishment of the Department of Public Expenditure and Reform in 2011, responsibility for IT policy and network support for the Department of Finance transferred to the Department of Public Expenditure and Reform on a shared services basis. Decision-making for the majority of discretionary spend moved to that Department at that time.
95. Deputy Barry Cowen asked the Minister for Finance if he will provide the number of appointments to State boards under his Department's remit made since March 2011 to date; the number of vacancies on State boards under his Department's remit since March 2011 to date; the number of vacancies on State boards under his Department's remit publicly advertised since March 2011 to date; and the number of appointments to State boards under his remit drawn directly from the public advertisement process. [49201/14]
Amharc ar fhreagraThe information sought by the Deputy is presented here in tabular form. For clarification purposes I would like to advise the Deputy that in relation to the category 'Vacancies' some of these positions were filled through re-appointments, and presented as 'Vacancies' in the context of this answer.
|
Appointments
|
Vacancies |
Publically Advertised |
Appointments drawn from Public Advertisement process |
|
59 |
60 |
19 |
14 |
96. Deputy Richard Boyd Barrett asked the Minister for Finance the cost to the Exchequer of abolishing the universal social charge for those earning less than €60,000 per year; and if he will make a statement on the matter. [49227/14]
Amharc ar fhreagraI am informed by the Revenue Commissioners that the first and full year cost of raising the Universal Social Charge (USC) exemption threshold to €60,000 is €1.6 billion and €2.2 billion respectively.
These figures are estimated on the basis of no change to the rest of the structure of the USC and that all income would come into charge once the €60,000 threshold was breached.
All figures above are estimates for 2015, using the actual data for the year 2012 (the latest year for which data are available) adjusted as necessary for income, self-employment and employment trends in the interim. They are provisional and may be revised. A married couple or civil partners who have elected or have been deemed to have elected for joint assessment are counted as one tax unit.
97. Deputy Richard Boyd Barrett asked the Minister for Finance if he will provide details of the revenue foregone in 2014 as a result of the tax breaks provided to REITs; and the estimate of the tax that will be foregone for 2015. [49228/14]
Amharc ar fhreagraI am advised by the Revenue Commissioners that three Real Estate Investment Trusts (REITs) are listed on the Irish Stock Exchange
- Green REIT plc commenced to be a REIT with effect from July 2013
- Hibernia REIT plc commenced to be a REIT with effect from December 2013
- Irish Residential Properties REIT plc commenced to be a REIT with effect from March 2014.
I am further advised that the first tax return to be filed for a REIT will not be due until March 2015 and that consequently the Revenue Commissioners do not, at present, have data that would assist in estimating the revenue foregone in 2014 or 2015.
It was estimated in the 2013 Budget Book that the full-year cost of the REIT framework would be approximately €14 million. This estimate was based on an assumed REIT market size of €1 billion, together with projections in relation to REIT profitability and investor profiles. It did not take into account the Dividend Withholding Tax that was subsequently introduced in the final REIT legislation, and which should reduce this cost significantly.
The function of a REIT is to facilitate lower-risk, sustainable, long-term collective investment in property by small and large investors alike, by removing a double layer of taxation which would otherwise apply on property investment via a corporate vehicle.
As such, the estimated cost attached to REITs relates not to an exemption from tax, but rather to the move from direct taxation of rental income to the taxation of dividends distributed from REIT profits arising from that rental income. No significant change should arise in respect of Irish-resident investors as both rental and dividend income are liable to tax at marginal rates. The cost relates to estimated foreign ownership of REIT shares as, in place of income tax on rental income, REIT dividends to foreign shareholders are liable to a flat Dividend Withholding Tax, which may potentially be mitigated by the provisions of a relevant tax treaty. On balance it was felt that the benefits of REITs in attracting new sources of investment capital and providing an appropriate vehicle for collective investment in property should outweigh these costs.
It should also be noted that the estimated 2013 Budget Book cost was based on a comparison of direct property ownership to projected REIT ownership, and was not reduced to reflect the potential effect on tax revenues of other available investment formats for foreign investors. It also did not take into account any net increase in taxable rental income which may arise as a result of the entry of new REIT investment capital into the Irish market, as these are factors which it is not possible to quantify.
98. Deputy Michael McGrath asked the Minister for Finance the amount of fees incurred by the National Asset Management Agency in respect of the appointment of receivers to NAMA debtors in each of the years to 2013 to date in 2014; the number of receivers that have been appointed by NAMA for each of these years; and the number of different professional firms that have been appointed as receivers by the agency. [49233/14]
Amharc ar fhreagraDetails relating to NAMA receivership appointments and receiver fees* for the period 2010 to YTD in 2014 are set out as follows:
|
Period |
Appointments** |
Total Fees €m |
|
2010 |
79 |
2.08 |
|
2011 |
67 |
15.19 |
|
2012 |
63 |
19.23 |
|
2013 |
101 |
21.92 |
|
2014 to Date |
66 |
18.27 |
Notes:
*Receiver fees form part of the receivership and are met out receivership realisations
**Excluding 67 appointments made prior to NAMA's acquisition of the loans.
I am advised by NAMA that it has selected 68 separate firms from a panel appointed after a public procurement process in respect of the 443 appointments.
99. Deputy Barry Cowen asked the Minister for Finance if he will provide, in tabular form, per annum from 2009 to date in 2014 the total number of freedom of information requests received by his Department; the total refused; total granted; total part-granted; total appealed; total successful appeals; total part-successful appeals; total refusals; and if he will make a statement on the matter. [49244/14]
Amharc ar fhreagraThe following table sets out the total number of FOI requests received, total granted, part granted and appealed and information about appeals made under the FOI Acts in the Department of Finance for the period from 2009 to December 2014. 38 of the requests received in 2014 are currently being considered by the Department. In some cases, FOI requests are withdrawn, handled outside FOI or transferred to another public body and information is also included for these cases. It is intended to publish returns in respect of Freedom of Information requests received by the Department of Finance on a quarterly basis commencing in January 2015.
|
Year |
Total FOI requests received |
Total FOI requests refused, granted, part granted |
Total FOI requests withdrawn, transferred to another public body or handled outside FOI |
Total FOI requests appealed internally |
Total successful appeals |
Total part successful appeals |
Total refusals |
|
2009 |
272 |
219 |
53 |
4 |
0 |
2 |
2 |
|
2010 |
337 |
286 |
51 |
1 |
0 |
0 |
1 |
|
2011 |
258 |
185 |
73 |
9 |
0 |
3 |
6 |
|
2012 |
265 |
194 |
71 |
5 |
0 |
4 |
1 |
|
2013 |
220 |
189 |
31 |
14 |
0 |
5 |
9 |
|
2014 |
162 |
109 |
15 |
2 |
0 |
1 |
1 |
100. Deputy Barry Cowen asked the Minister for Finance if he will provide, in tabular form, per annum all external consultant reports commissioned by his Department since March 2011; the costs per report; the company involved; the title of the report; and the publication date. [49259/14]
Amharc ar fhreagraThe information requested by the Deputy is set out in the table:
|
Company |
External Consultant Report |
Cost |
Year |
Published |
|
Indecon |
Cost benefit analysis of Irish Agri-taxation measures and international benchmark against other Agri-taxation incentives |
€103,689.00 |
2014 |
Published - October 2014 |
|
Seamus Coffey |
Effective rates of corporation tax in Ireland |
€4,900.00 |
2014 |
Published - April 2014 |
|
ESRI |
Importance of tax policy in the location choices of multinationals |
€30,750.00 |
2014 |
Published - October 2014 |
|
ESRI |
Research Programme on funding for Small, Medium Enterprises |
€122,833.96 |
2014 |
Published - October 2014 |
|
Ernst & Young |
The historical development and international context of the Irish corporate tax system |
€6,150.00 |
2014 |
Published - October 2014 |
|
IBFD |
Spillover analysis of the effects of the Irish tax system on the economies of developing countries. |
€91,328 (estimate) |
2014 |
Ongoing - publication due early 2015 |
|
Red C Research & Marketing Limited |
SME Lending Survey April-October 2014 |
€58,978.50 |
2014 |
Published - November 2014** |
|
Red C Research & Marketing Limited |
SME Lending Survey October-March 2014 |
€58,978.50 |
2014 |
Published - June 2014** |
|
MKF Property Services |
Review of existing facilities management processes |
€28,720.50 |
2014 |
Published - June 2014 |
|
PMCA Economic Consulting |
Assistance and Analysis in the Preparation of the Medium-Term Economic Strategy 2014-2020 |
€49,043.00 |
2013 |
Final report submitted to the Department of Finance on 6 December 2013. It was not published because it was commissioned to provide evidence-based economic analysis as an input to the MTES. This analysis is reflected in the text of the MTES. |
|
Crowe Horwath |
Report to Department in respect of a survey of R&D Active Companies 2013 |
€36,850.80 |
2013 |
Published |
|
Indecon |
Ex ante cost benefit analysis of proposed Living City Initiative |
€28,290.00 |
2013 |
Published |
|
Red C Research & Marketing Limited |
SME Lending Survey October-March 2013 |
€59,593.50 |
2013 |
Published** |
|
Red C Research & Marketing Limited |
SME Lending Survey April-September 2013 |
€58,978.50 |
2013 |
Published** |
|
Mercer (Ireland) Limited |
Remuneration Review of Covered Institutions |
€146,370.00 |
2013 |
Published |
|
Deloitte & Touche |
External Review of the Compilation of General Government Debt Statistics |
€ 61,553.00 |
2012 |
Published |
|
BDO and Amarach |
(a) Survey of audio-visual producers (b) Review on international review of audio-visual state supports |
€64,575.00 |
2012 |
Published |
|
Grant Thornton |
Assessment of Credit Review Office |
€31,807.80 |
2012 |
Published |
|
Mazars |
SME Lending Survey October-March 2012 |
€60,885.00 |
2012 |
Published** |
|
Mazars |
SME Lending Survey April-September 2011 |
€52,453.50 |
2011 |
Published** |
|
Red C Research & Marketing Limited |
SME Lending Survey April-September 2012 |
€61,438.50 |
2012 |
Published** |
|
Charles River Associates |
Acquisition by AIB of EBS Building Society |
€50,000.00 |
2011 |
Published |
**Reimbursed by AIB & Bank of Ireland
101. Deputy Michael McGrath asked the Minister for Finance the position regarding the disposal or transfer of the remaining Irish Bank Resolution Corporation loan book; if he has issued a direction order on the matter; and if he will make a statement on the matter. [49267/14]
Amharc ar fhreagra102. Deputy Michael McGrath asked the Minister for Finance if the Irish Bank Resolution Corporation mortgage holders whose mortgages are currently still with IBRC have had an opportunity to bid for their own loans; and if he will make a statement on the matter. [49268/14]
Amharc ar fhreagraI propose to take Questions Nos. 101 and 102 together.
The Special Liquidators continue to implement the orderly and efficient wind down of IBRC in accordance with the provisions of the IBRC Act and the instructions issued by the Minister for Finance under the IBRC Act 2013.
As the Deputy is aware, for operational reasons, the loan assets of IBRC were divided into six portfolios: Evergreen, Sand, Rock, Salt, Stone and Pebble.
The Sand portfolio comprised 12,702 Irish originated residential mortgages with a par value of €1.8bn, most of which had transferred from Irish Nationwide Building Society. 64% of the Sand portfolio were sold to two buyers, namely Lone Star and Oaktree Capital Management, L.P.
As it became apparent that the expected proceeds to be raised from the sale of the IBRC loan assets were to be sufficient to fully repay the IBRC debt to NAMA, the Minister for Finance instructed that NAMA were no longer obliged to purchase the unsold IBRC assets at their independent valuation as previously envisaged.
Since that instruction, the Special Liquidators have undertaken further sales processes in respect of unsold assets. This includes the sale of previously unsold residential mortgages (Project Pearl) which, as is the case for all the sales processes, aims to maximise the return to all remaining creditors of IBRC, including the State. This sales process is currently underway.
The Special Liquidators have corresponded with all remaining residential mortgage holders of IBRC providing them with an opportunity to make written representations on the method of disposal of their loans and the criteria for determining who may bid for loan assets. Consideration has been given to these Borrower representations and the Special Liquidators have responded to these Borrower representations.
Having given due consideration to the representations and the professional advice received, the Special Liquidators have divided the remaining residential mortgages into two tranches for sale. The Special Liquidators expect the sales process for Project Pearl to be completed before 31 December 2014.
103. Deputy Michael McGrath asked the Minister for Finance the interest rate that currently applies on the €25 billion of floating rate notes held by the Central Bank of Ireland as a result of the promissory note transaction; and if he will make a statement on the matter. [49269/14]
Amharc ar fhreagraAs part of the liquidation of the Irish Bank Resolution Corporation (IBRC) on 6 February 2013, the Central Bank of Ireland acquired €25.034 billion long-dated Irish Government Floating Rate Notes (FRNs) and €3.461 billion of the Irish Government 2025 Fixed Rate Bond. The table sets out the various notes, the applicable interest rate, the maturity date for each bond and the nominal amounts acquired by the Central Bank.
Full details of the bonds including the offering circulars can be found on the NTMA website at http://www.ntma.ie/business-areas/funding-and-debt-management/government-bonds/
|
Note Type |
Rate |
Maturity |
Nominal |
|
Floating Rate Note |
Euribor+268bps |
06/18/53 |
5,034 |
|
Floating Rate Note |
Euribor+267bps |
06/18/51 |
5,000 |
|
Floating Rate Note |
Euribor+265bps |
06/18/49 |
3,000 |
|
Floating Rate Note |
Euribor+262bps |
06/18/47 |
3,000 |
|
Floating Rate Note |
Euribor+260bps |
06/18/45 |
3,000 |
|
Floating Rate Note |
Euribor+257bps |
06/18/43 |
2,000 |
|
Floating Rate Note |
Euribor+253bps |
06/18/41 |
2,000 |
|
Floating Rate Note |
Euribor+250bps |
06/18/38 |
2,000 |
|
Fixed Rate - 5.4% |
5.40% |
03/13/25 |
3,461 * |
*As of 11/12/14 total nominal outstanding of the 5.4% 2025 Treasury Bond is €11,745 m.
In its 2013 Annual Report the Central Bank stated that it intends to sell the combined portfolio of the FRNs and the fixed rate bond as soon as possible, provided conditions of financial stability permit. The Bank stated it will sell a minimum of these securities in accordance with the following schedule: to end 2014 (€0.5 billion), 2015-2018 (€0.5 billion per annum), 2019-2023 (€1 billion per annum), and 2024 on (€2 billion per annum until all bonds are sold). As part of these minimum sales, the Bank sold €350 million of the 5.4% Irish 2025 Government Bond by end December 2013. There were no sales, purchases or transfers of FRNs in the year 2013.
The next Central Bank of Ireland annual report will contain the updated overview of their holdings of these bonds as at YE2014 and is expected to be published in April 2015.
104. Deputy Michael McGrath asked the Minister for Finance the way he plans to provide for potential State liabilities which may emerge from pre-existing or future pension fund difficulties; if he has estimated the possible range of these liabilities; and if he will make a statement on the matter. [49270/14]
Amharc ar fhreagraIn Budget 2014 and Finance (No 2) Act 2013, I introduced an additional levy on pension funds at 0.15% for 2014 and 2015 to help fund the Jobs Initiative and to make provision for potential State liabilities emerging from pre-existing or future pension fund difficulties. The yield from the additional levy in these years forms part of general tax revenue of the Central Fund and is not hypothecated to any particular or specific item of expenditure. It is envisaged that any State liabilities to pension fund difficulties would be met by the Exchequer as they arise.
As regards estimates of the possible range of liabilities that may be involved, these are matters for my colleague, Ms. Joan Burton TD, Tánaiste and Minister for Social Protection.
105. Deputy Michael McGrath asked the Minister for Finance the number of initiatives he has announced which have not commenced as they are awaiting EU State aid approval; and if he will make a statement on the matter. [49271/14]
Amharc ar fhreagraIncentives for Certain Aviation Services Facilities
A scheme of accelerated capital allowances for the construction and refurbishment of certain buildings and structures for use in the maintenance, repair or overhaul of commercial aircraft, and the dismantling of such aircraft for the purposes of salvaging or recycling of parts or materials was announced in Budget 2013. An application for State Aid approval for the scheme was subsequently made to the EU Commission.
The Commission formed the view that the scheme in its current form is not compatible with any State Aid guidelines. Following on from meetings and discussions with officials from the Commission, a revised application was recently submitted, which it is hoped will lead to a positive result in the near future. In the meantime, an amended provision has been included in the recent Finance Bill, in order to address the concerns already communicated by the Commission.
Employment and Investment Initiative
A number of changes were announced to the EII in the recent Budget and Finance Bill. Approval for these changes will need to be sought from the Commission. It is expected that an application will be made shortly.
Exemption from Stamp Duty (Section 70 Finance (No. 2) Act 2013)
Exemption from Stamp Duty on the transfer of shares of companies listed on the Enterprise Securities Market of the Irish Stock Exchange, remains subject to State Aid approval. The proposed measure aims to encourage entrepreneurs and growing businesses to use public equity markets as a source of funding for growth and the creation of jobs. Discussions are on-going with the EU Commission.
Relief for certain leases of farmland (Section 74 Finance Bill 2014)
The EU Commission has advised the Department of Agriculture, Food and the Marine that in its present form this measure may constitute illegal State Aid as it is confined to lands used for farming. The Department of Agriculture, Food and the Marine are currently exploring options with the Commission.
106. Deputy Michael McGrath asked the Minister for Finance the number of housing units by county that the National Asset Management Agency has approved and transferred for social housing to date; and if he will make a statement on the matter. [49272/14]
Amharc ar fhreagra115. Deputy Michael McGrath asked the Minister for Finance the reason a high proportion of housing units identified by the National Asset Management Agency as suitable for social housing are not being taken up by local authorities; and if he will make a statement on the matter. [49283/14]
Amharc ar fhreagraI propose to take Questions Nos. 106 and 115 together.
I am advised by NAMA that the detail sought by the Deputy is available, for the period to end-September 2014, on the Agency's website, https://www.nama.ie/social-initiatives/social-housing/. I am advised by NAMA that this information is updated quarterly and is also published on the website of the Housing Agency, www.housing.ie.
As the Deputy is aware, NAMA has no role in determining the take-up of properties that it has made available for social housing as this is a matter for Housing Agency in conjunction with local authorities by reference to national and local housing and planning policy.
107. Deputy Michael McGrath asked the Minister for Finance the position regarding plans to repay Ireland’s IMF loans early; and if he will make a statement on the matter. [49273/14]
Amharc ar fhreagraIn order for the early repayment of a substantial portion of our IMF loans to proceed, it was necessary to secure the agreement of the EU lending facilities, the EFSF, the EFSM, and the bilateral lenders (the UK, Sweden and Denmark) to waive the mandatory proportionate early repayment clauses in their loan agreements with us.
Following completion of all necessary approval procedures by our EU and bilateral lenders last month, Ireland is currently proceeding with the first tranche of repayment of our IMF loan of approximately €9 billion.
This represents almost 40% of Ireland's €22.5 billion IMF loan facility.
This transaction reduces the interest bill by about €750 million over the lifetime of those loans.
To facilitate an orderly settlement, the repayment is taking place on two separate dates in December 2014. The first of these repayments was completed on 10 December, and the second one was made yesterday, 17 December.
Total interest savings in excess of €1.5 billion are expected to be achieved from the full early repayment of approximately €18.3 billion to the IMF. The actual interest savings will depend on the timing and market rate paid on bonds issued to refinance the IMF loans once completed.
The December repayment will discharge all scheduled IMF principal repayment obligations that were originally falling due from July 2015 to July 2018. Subsequent early repayments, planned for 2015, will target later repayment dates up to January 2021.
The repayments have been structured to ensure IMF post programme monitoring continues for the initially envisaged period, i.e. up to mid-2021.
108. Deputy Michael McGrath asked the Minister for Finance when the European Commission will deliver its final response and decision in respect of the restructuring proposals for Permanent TSB; the way the delay is impacting the day-to-day management of the bank; and if he will make a statement on the matter. [49276/14]
Amharc ar fhreagraA way forward for Permanent TSB was agreed with the Troika in April 2012 which envisaged it playing an important role in the future of Irish retail banking, being a more focused retail bank bringing competition to the marketplace which has consolidated significantly since 2008. In this regard Permanent TSB prepared a Restructuring Plan, which was submitted to the European Commission ("the Commission") in June 2012. As requested by the Commission, an updated version of the plan was submitted in August 2013 which incorporated improvements in performance over the intervening period.
The Permanent TSB restructuring plan submitted in Autumn 2013 is now outdated and is in the process of being updated for both recent positive financial and operational performance in 2014 and the results of the Comprehensive Assessment. My officials have been in discussions with the European Commission over recent weeks in relation to the plan, details of which are confidential between the parties and commercially sensitive. I do not intend to speculate on when that process might be concluded.
As the Deputy is aware PTSB is an important bank in a highly concentrated Irish market. While no restructuring plan has been approved, it has not prevented Permanent TSB from making significant progress in delivering key elements of the Restructuring Plan submitted over the last year and the business is being managed structurally in the way envisaged in the plan. Permanent TSB has made steady progress on returning to operating profitability, has significantly de-risked its balance sheet through a sale of a tranche of its UK mortgage portfolio and the sale of Springboard Mortgages and has reduced 90 day plus mortgage arrears by 25% from peak and 23% year-to-date September.
The current strategy is for Permanent TSB to be an independent bank, competing within targeted segments of the retail banking market, and I will continue to support the board and management in the delivery of that strategy.
109. Deputy Michael McGrath asked the Minister for Finance the National Asset Management Agency's current estimated cost of funds; and if he will make a statement on the matter. [49277/14]
Amharc ar fhreagraI am advised by NAMA that its cost of funds, taking account of interest cost on its debt securities and its interest rate hedging costs, is currently less than 2.0%.
110. Deputy Michael McGrath asked the Minister for Finance the number of National Asset Management Agency debtors that have been put into receivership since its inception; and if he will make a statement on the matter. [49278/14]
Amharc ar fhreagraI am advised by NAMA that there has been full or partial enforcement over 342 debtor connections to date, including appointments made by the participating institutions prior to the acquisition of the loans by NAMA.
111. Deputy Michael McGrath asked the Minister for Finance regarding AIB’s holding of National Asset Management Agency bonds the interest rate being paid on these bonds; the amount that have been redeemed to date; and if he will make a statement on the matter. [49279/14]
Amharc ar fhreagraI am advised by NAMA that as of December 17th, 2014, AIB's holding of NAMA senior notes is €9.477bn with a current coupon of 0.267%. The amount redeemed to date with respect to AIB is €11.407bn.
