Written Answers Nos. 82 - 92
82. Deputy Michael McGrath asked the Minister for Finance the projected annual cost for each year to 2030 of servicing the national debt under present assumptions for each year to 2030, in tabular from; the assumptions which are being made including the interest rate; the amount by which the repayments would increase for every 1% increase in the interest rate, in tabular form; and if he will make a statement on the matter. [22657/17]
Amharc ar fhreagraThe most recent forecasts of both National Debt interest and General Government interest expenditure are for the period 2017 to 2021 and are contained in the recently published Stability Programme Update (SPU).
The relevant information is contained in Table A3, Annex 1 on page 51 of the SPU and is replicated in the table.
|
€ million |
2017 |
2018 |
2019 |
2020 |
2021 |
|
National Debt Interest |
6,195.0 |
6,276.0 |
6,075.0 |
5,921.0 |
5,206.0 |
|
General Government Interest |
6,024.0 |
5,956.7 |
5,842.2 |
5,596.5 |
5,264.2 |
National debt interest is the projected cash interest cost of the National debt. The General Government interest figures are prepared on an ESA10 accrual basis and represent the projected interest cost of the wider General Government measure of debt. Both sets of interest estimates are point-in-time estimates reflecting the position as at the end of the first quarter of 2017.
I am advised by the National Treasury Management Agency (NTMA) that it does not disclose the interest rates at which it could potentially issue debt as to do so could negatively impact the Agency from raising funds for the Exchequer at the most competitive rates possible.
That said, the interest expenditure estimates reflected in the SPU are based on prudent assumptions and reflect an increase in rates over the forecast period. Finally, I should add that the vast bulk of Irish sovereign debt is at fixed interest rates, which also reduces the exposure of the economy in the event of higher rates.
83. Deputy Michael McGrath asked the Minister for Finance the number of private dwelling home, PDH, and buy-to-let tracker mortgages to date and the current annual repayments for each, in tabular form; the amount by which the repayments would increase for every 1% increase in the European Central Bank base interest rate, in tabular form; and if he will make a statement on the matter. [22658/17]
Amharc ar fhreagraThe Central Bank has advised me that it does not publish data on the particular basis requested.
However, the Central Bank has indicated that, as at end-2016, the value of PDH tracker mortgages in the Irish banking system, including securitised loans serviced by these institutions, was €37.9 billion. The equivalent value of BTL/holiday home tracker mortgages was €13.8 billion. The net repayments (new drawdowns minus repayments) of on-balance sheet PDH tracker mortgages, over 2016, amounted to €1.6 billion. The equivalent net repayments of on-balance sheet BTL/holiday home tracker mortgages, over 2016, was €1.1 billion.
(Source: Private Household Credit and Deposits Tables A.18.1 and A18.2.)
84. Deputy Fergus O'Dowd asked the Minister for Education and Skills the status of funding proposals made by the Dundalk Institute of Technology to his Department. [22402/17]
Amharc ar fhreagraMy Department allocates recurrent funding to the Higher Education Authority (HEA) for direct disbursement to the HEA designated higher education institutions, including Institutes of Technology (IoTs) such as Dundalk Institute of Technology (DKIT). The HEA allocates this funding to the institutions and the internal disbursement of funding is then a matter for the individual institution.
The HEA has been closely monitoring the financial position of all of the IoTs and in particular are working closely with those Institutes, such as DKIT, that are experiencing financial difficulties in order to ensure appropriate mechanisms are put in place to eliminate any deficit as quickly as possible.
The HEA has a policy framework in place for engaging with vulnerable IoTs which requires Institutes to submit a three year plan to return them to a balanced budget situation. If the Institute is unable to demonstrate how a return to a balanced budget can be achieved within this timeframe, or if actual performance deviates significantly from the plan, then the HEA will seek the appointment of an independent financial expert to work with the Governing Body and Executive Management Team to agree a revised plan and programme of remedial action.
My Department and the HEA are aware of the financial difficulties being experienced by a number of the IoTs. The Financial Review of the Institutes, recently undertaken by the HEA in order to provide an overview of the financial health of the IoT sector, to consider capacity issues and to examine the challenges for the institutions given their respective plans for the future, makes a number of recommendations on how some of the issues which contribute to funding problems in the IoT sector can be addressed. These policy recommendations will feed into the work being undertaken on developing a sustainable funding model for the sector.
In November 2015 it emerged that the draft financial results for year-end 31 August 2015 showed an increasing deficit at DKIT. This gave rise to an urgent request by the HEA for a new 3-year financial plan designed to return DKIT to a break-even position by 31 August 2018 through a combination of income increases and cost reductions in a number of key areas including financial, staffing, research projects and maximising the effectiveness of education provision. An external Financial Advisor was appointed to oversee this process. This new plan was submitted to the HEA in January 2016 and agreed in consultation with my Department.
DKIT has exceeded its targets set in the financial plan thus far. The Institute has implemented a number of actions and efficiencies from their strategic plan and have identified new approaches to including apprenticeship provision. DKIT has also reviewed its research initiatives and have implemented a number of savings and secured a number of additional projects and funding in this area. A revision of the draft strategic plan is currently awaited following appointment of a new Acting Head of School.
The Plan is subject to ongoing monthly reviews by the Executive, the Governing Body and the HEA to monitor progress and mitigate potential issues as they arise.
Funding overall for the higher education sector is a key concern for me particularly in light of the additional pressure that will fall on the system over the next decade or so. In seeking to address the issue in the short term, I have for the first time in nine years secured as part of Budget 2017, additional funding for the sector. In 2017 additional funding of €36.5m will be made available with €160m additional over the next three years.
The Report of the Expert Group on Future Funding for Higher Education, published in July 2016, clearly outlines the funding challenges and offers a number of approaches and recommendations for consideration for the medium term. As committed to in the Programme for Government, the report has been referred to the Oireachtas Education Committee and this consultation will form part of the process of formulating a plan for the future of the sector.
In addition, in Budget 2017 the Minister for Public Expenditure and Reform and I, announced a policy review with the aim of designing and implementing a sustainable and predictable multi-annual funding model for higher and further education and training involving increased Employer and Exchequer contributions from 2018. The review will be undertaken as part of the overall response to meeting the anticipated skills needs in the economy over the coming years, in line with the policy framework set out in the National Skills Strategy.
It will include an analysis of the business case for enhanced investment in the higher and further education and training sectors. In this context it will identify key elements of the new funding model and of the expected impacts including those on employers. The review will include consultation with stakeholders. The policy review will be published by the end of Q2 2017, and will complement the ongoing work by the Oireachtas Committee in relation to the Cassells report.
85. Deputy Paul Kehoe asked the Minister for Education and Skills the person or body to which requests for Garda vetting for transport companies that provide transport for school bus services should be sent, in view of the fact that a person cannot request clearance for themselves; and if he will make a statement on the matter. [22556/17]
Amharc ar fhreagra119. Deputy Paul Kehoe asked the Minister for Education and Skills the person or body that manages Garda vetting requests for companies that provide transport for school bus services; and if he will make a statement on the matter. [22644/17]
Amharc ar fhreagraI propose to take Questions Nos. 85 and 119 together.
School transport is a significant operation managed by Bus Éireann on behalf of the Department.
Currently almost 116,000 children, including some 12,000 children with special educational needs, are being transported in over 4,000 vehicles on a daily basis to primary and post-primary schools throughout the country covering over 100 million kilometres annually.
Bus Éireann is responsible for the procurement of suitable contractors to provide school bus services on its behalf.
Drivers nominated to perform services for contractors operating under contract under the School Transport Scheme, and the contractors themselves, are subject to vetting procedures arranged by Bus Éireann and conducted by the Garda Central Vetting Unit.
86. Deputy Niall Collins asked the Minister for Education and Skills if, under EU regulations, the European Globalisation Adjustment Fund, EGF, can be used only in circumstances in which more than 500 persons are made redundant by a single company, including its suppliers and downstream producers; the reference in the regulations to the criteria that must be met when redundancies occur to draw down funding; and if he will make a statement on the matter. [22630/17]
Amharc ar fhreagra87. Deputy Niall Collins asked the Minister for Education and Skills the eligibility criteria under EU regulation when a business fails for securing EGF funding for the self-employed who employ not more than ten persons. [22631/17]
Amharc ar fhreagraI propose to take Questions Nos. 86 and 87 together.
The European Globalisation Adjustment Fund (EGF) is an EU co-funding instrument to assist workers made redundant as a result of globalisation or due to a global financial and economic crisis.
To be eligible for assistance there must be at least 500 redundancies in a specific company (including suppliers/downstream producers) in a 4 month period, or at least 500 redundancies in a specific sector in a 9 month period. Company specific EGF applications can include self-employed persons whose activity has ceased and who employed not more than 10 workers, provided that it can be demonstrated that their activity was dependent on the specific company concerned (i.e. they were a supplier or downstream producer of the company). Sectoral EGF applications can include self-employed persons who were operating in the relevant economic sector.
In small labour markets or in exceptional circumstances, applications can be made where the minimum threshold number of redundancies is not entirely met and the Member State can substantiate that there is a serious impact on employment and the local, regional or national economy. Cases approved on exceptional circumstances grounds cannot exceed 15% of the total EGF annual budget of €150m. A number of Irish EGF applications have been approved on exceptional circumstances grounds.
Applications for EGF assistance must be made by Member States within 12 weeks of the threshold number of redundancies being met and must establish the link between the redundancies and globalisation or a global financial and economic crisis.
88. Deputy Niall Collins asked the Minister for Education and Skills the annual amount allocated under the youth employment initiative each year since it commenced and to date in 2017; the amount spent in each year since it commenced and to date in 2017; the projects that have been allocated funding; and if he will make a statement on the matter. [22632/17]
Amharc ar fhreagra89. Deputy Niall Collins asked the Minister for Education and Skills the projects that have been allocated funding under the youth employment initiative; the amount per project, in tabular form; and if he will make a statement on the matter. [22633/17]
Amharc ar fhreagraI propose to take Questions Nos. 88 and 89 together.
The Youth Employment Initiative (YEI) is one of the main EU financial resources to support the implementation of the EU Youth Guarantee. It is integrated into European Social Fund (ESF) programming as a dedicated priority axis within the ESF Programme for Employability, Inclusion and Learning 2014-2020 (PEIL) that was adopted by Commission Decision in February 2015. The specific YEI allocation for Ireland of €68m (for 2014-15) is matched by equal amounts from our ESF allocation and from the Exchequer, giving an overall allocation of €204m. Seven activities were originally selected for YEI funding and the individual allocations for these activities over 2014/15 are provided in the table.
|
Activity |
Total - Allocation 2014/15 - €m |
|
Back to Work Enterprise Allowance Scheme |
4.648 |
|
JobsPlus Incentive Scheme |
7.992 |
|
Tús |
35.347 |
|
JobBridge |
57.24 |
|
Youthreach |
79.876 |
|
Momentum |
13.333 |
|
Social inclusion & Community Activation Programme |
6.0 |
|
TOTAL |
204.436 |
The YEI activities are fully funded up-front by the Exchequer. The EU Regulations allow for the 2014/15 allocations to be spent and claimed before the end of 2018. This timeframe allows Member States to undertake the necessary verification work on claims in accordance with the EU Regulations. As no ESF claim has been submitted to date no expenditure declarations have been made in relation to the YEI.
The ESF Managing Authority and the Operational Programme Monitoring Committee (PMC) maintain an ongoing overview of the funding allocations under the PEIL and will re-allocate the available funding as required, in accordance with the EU Regulatory provisions. The PMC has agreed in principle to the inclusion of the Community Training Centres, which are funded by the ETBs in consultation with SOLAS, as an approved activity under the YEI with effect from 1 January 2017 with an allocation to be approved following the completion of the current review of allocations.
In relation to ESF receipts, the Regulations provide for initial pre-financing/advances of EU support at 1% (or 1.5% for Member States under financial assistance in 2014 and 2015) of the full programme support, payable for each year from 2014 to 2016, together with annual pre-financing of between 2% and 3% payable from 2016 to 2023. In May 2015 an amendment to the relevant EU Regulations resulted in an unprecedented increase in the YEI advances to be paid to Member States. The Commission subsequently released pre-financing payments from the dedicated YEI budget line, worth 30% of the YEI budget, to provide additional financial liquidity to support YEI implementation. However, the relevant Regulations specified that where a Member State did not submit an interim payment application by 23 May 2016 for at least 50% of the additional pre-financing amount, the Member State must reimburse the Commission the total YEI pre-financing contribution. The ESF regulations also provide that annual pre-financing for any year in which an interim payment application is not made in that year must also be reimbursed.
As Ireland did not submit an interim YEI payment application, the €19.8m additional pre-financing received was reimbursed to the Commission. Furthermore, as there was no ESF application made in 2016, the €11.6m annual pre-financing for 2016, including €1.36m for the YEI, will be offset against the 2017 pre-financing due. The reimbursement of these amounts has not resulted in any loss of EU monies to the Exchequer.
90. Deputy Jack Chambers asked the Minister for Education and Skills the position regarding the location of the site for the new secondary school for the Castleknock-Carpenterstown area; and if he will make a statement on the matter. [22406/17]
Amharc ar fhreagraAs the Deputy is aware the building project for the new post primary school to serve the Carpenterstown/Castleknock school planning areas is included in my Department’s 6 year construction programme.
Officials in my Department are liaising with officials in Fingal County Council in accordance with the Memorandum of Understanding in relation to the identification and acquisition of a suitable site for the school.
Due to commercial sensitivities relating to site acquisitions generally I am not in a position to provide further details at this time but the school patron will be informed of the proposed location for the school as soon as it is possible to do so.
91. Deputy Jack Chambers asked the Minister for Education and Skills the steps he will take to ensure religious minorities are not undermined by changes to school admissions policies; and if he will make a statement on the matter. [22407/17]
Amharc ar fhreagraAs the Deputy may be aware I ran a public consultation process from 24 January to 20 March 2017 on the role of denominational religion in the school admission process and possible approaches for making changes.
A number of submissions were received from Protestant and other minority faith schools. In this regard, as I have said throughout, I am mindful of the need to avoid possible pitfalls and unintended consequences such as possible impacts on these minority religions and on the wishes of Protestant, Jewish, Islamic and other communities to be able to run schools in accordance with their ethos and admit children from their communities to attend those schools.
The 8 week phase of receiving written submissions formed part of a broader consultation process which will include additional steps, including any follow-up consultation that is required, collation of responses and development of next steps.
My Department has begun the process of examining the submissions and formulating next steps. Clearly I will not make any decisions around next steps until such time as all of the submissions have been examined and considered.
92. Deputy Pat Casey asked the Minister for Education and Skills the procedure for critical illness cover for departmental staff, including education and training boards staff; his views on the meaning of the term "acute operative surgical treatment", as listed as eligible for such cover; the full list of such acute operative surgical treatments accepted under such terms; and if he will make a statement on the matter. [22409/17]
Amharc ar fhreagraThe conditions that govern the operation of sick leave for Civil Servants are contained in the Department of Public Expenditure & Reform circular reference number 12/2015.
In the event a member of staff is certified with a serious illness there is provision for extending the term of sick leave and this is addressed under the Critical Illness Protocol (CIP) at appendix 3 of the circular. Under the CIP, an individual may, on an exceptional basis, be granted paid sick leave extended as follows:
- A maximum of 183 days on full pay in the previous rolling one-year period.
- Followed by a maximum of 182 days on half pay in the previous rolling one-year period.
- Subject to a maximum of 365 days paid sick leave in the previous rolling four-year period.
All applications are referred to the Chief Medical Officer to determine if the request meets the medical criteria set out in the Protocol and each application is assessed on a case by case basis following consideration of the medical advice and any other relevant circumstances.
The conditions that apply to staff at ETBs are governed by Department of Education and Skills Circular 0063/2015 which sets out the arrangements for a Certified Sick Leave Scheme for all staff in Education and Training Boards, other than Teachers and Special Needs Assistants (SNAs).
Under the provisions of Circular 0063/2015 an employee who becomes incapacitated as a result of a critical illness or serious physical injury may be granted extended paid sick leave, in exceptional circumstances of:
- A maximum of 6 months (183 days) on full pay in a year
- Followed by a maximum of 6 months (182 days) on half pay
- Subject to a maximum of 12 months (365 days) paid sick leave in a rolling four year period.
The award of extended sick leave for critical illness or serious physical injury is a decision for the employer following receipt of medical advice from an Occupational Health Physician.
