The Central Bank has advised that the estimated costs incurred by the Bank in carrying out the Tracker Mortgage Examination to end December 2017 amounted to approximately €8.4m. This comprises an estimate of internal labour costs of €4.5m (but does not include an apportionment of indirect costs) and an estimate of €3.9m for directly attributable external costs (including third party external consultancies).
The Bank also indicates that, since 2016, third party external costs incurred by the Consumer Protection division of the Central Bank relating to the Examination have been ring-fenced and are recoverable in full from the entities involved. It is also worth noting that, through the Central Banks’s annual Industry Funding Levy process, the overall costs of financial regulation are aggregated and charged to the industry in accordance with defined recovery rates. The rates as set out in the annual Industry Funding Regulations reflect the recovery rates as agreed with the Minister.