Written Answers Nos. 117-130
117. Deputy Michael McGrath asked the Minister for Finance if a borrower is entitled at all times to pay off the arrears owed in full at any point in time and if it is not open to the loan owner to refuse to accept such a payment of arrears against the loan account in the context of a buy-to-let loan on a residential property; if the Central Bank has encountered instances of this practice; and if he will make a statement on the matter. [20453/19]
Amharc ar fhreagraI have been advised by the Central Bank of Ireland that the arrears handling provisions of the Central Bank’s Consumer Protection Code 2012 (CPC) apply to loans provided to consumers that are not covered by the Code of Conduct on Mortgage Arrears (CCMA), including Buy To Let mortgages of personal consumers. Credit institutions, retail credit firms and credit servicing firms are all required to comply with the Consumer Protection Code.
In relation to arrears, the relevant rules in the CPC cover the following matters:
i) Having written procedures in place for the handling of arrears
ii) Provision of information to consumers in arrears
iii) That the regulated entity must, if requested, deal with a nominated third party of the personal consumer in relation to their arrears
iv) Revised repayment arrangements
v) Communication with consumers in arrears.
With respect to arrears resolution, the Code requires a lender to seek to agree an approach that will assist the personal consumer in resolving the arrears.
Where arrears arise on an account and where a personal consumer makes an offer of a revised repayment arrangement that is rejected by the regulated entity, the regulated entity must formally document its reasons for rejecting the offer and communicate these to the personal consumer, on paper or on another durable medium.
The Central Bank has informed me that it has not been made aware of any instances of this practice.
While every individual case would need to be considered on its own merits, the Central Bank’s expectation would be that no regulated entity should refuse the payment, if a consumer who is in mortgage arrears elects to pay off their full outstanding mortgage debt.
118. Deputy Brendan Griffin asked the Minister for Finance his views on a matter (details supplied) regarding betting tax; and if he will make a statement on the matter. [20648/19]
Amharc ar fhreagraThe increase in the betting duty rate from 1 per cent to 2 per cent, and the betting intermediary duty rate from 15% to 25%, came into effect on 1 January 2019. It is too early to draw any definite conclusions on the impact of these increases. Betting receipts in the year to date suggests that industry wide turnover has remained broadly stable.
Receipts from betting duty represented less than 1 per cent of all excise receipts in 2017 and this is also likely to be the case in for 2018. In addition, unlike other excisable commodities, there is no VAT applied on betting transactions. I have outlined why I consider the betting sector needs to make a fair contribution to the Exchequer.
In any discussion on betting duty, we must acknowledge the raised public consciousness of the problem of gambling in society. While problem gambling can result in the problem gambler, and their family, bearing the severest of economic and of course personal costs, the social costs of problem gambling can extend to their employers and to public institutions in the health, welfare and justice systems, such costs ultimately borne by taxpayers. I have outlined my view that this needs to be better reflected within the betting duty regime.
During the course of the Finance Bill process I agreed to review an alternative proposal put forward by the betting sector following the announcement of increases in betting duty in Budget 2019, and I acknowledge that small independent bookmakers may have difficulty competing with larger bookmakers with retail and/or online operations. My officials are currently considering this proposal, including the compatibility of a core element with EU rules, and will set out analysis and options in relation to betting duty at the Tax Strategy Group (TSG) meeting in July. The TSG Papers will be published on the Department's website shortly afterwards.
119. Deputy Bernard J. Durkan asked the Minister for Finance if further time can be given to the representatives of a person (details supplied) who are attempting to dispose of some of the assets to meet the outstanding nursing home charges; and if he will make a statement on the matter. [20705/19]
Amharc ar fhreagraRevenue’s role in the Nursing Home Support Scheme is confined to that of collection agent for the Health Service Executive (HSE) in respect of loan funding that falls due for repayment.
The repayment date for monies loaned is set out in the Nursing Homes Support Scheme (Collection and Recovery of Repayable Amounts) Regulations 2009 (Statutory Instrument No. 436 of 2009), which provides that payment of any outstanding liability must be made within one year of the date of death of the care recipient. The legislation also provides that any payment made after this date is subject to interest.
I am aware that the Deputy previously made representations on this issue in October 2016 requesting additional time for repayment pending the sale of an asset, which Revenue agreed to. Revenue has informed me that no progress has been made on that sale during the intervening years and the debt remains outstanding with interest continuing to accumulate. Revenue has also advised me that it recently wrote to the Accountable Person seeking an update and was informed that there is still no timeframe for completion of the asset sale.
While Revenue always seeks to adopt a practical approach in such situations, it cannot postpone collection indefinitely and I would urge the Deputy to advise the Accountable Person to agree a payment schedule as quickly as possible.
120. Deputy Seán Haughey asked the Minister for Finance if he will introduce a tax credit in respect of childcare expenses incurred by taxpayers; the consideration given to this proposal previously; and if he will make a statement on the matter. [20772/19]
Amharc ar fhreagraThe Government acknowledges the continuing cost pressures on parents, particularly those with young children.
In recognition of these cost pressures, a number of support measures are already in place to ease the burden on working parents. These include various tax-exempted child-care related supports provided by the Minister for Children and Youth Affairs and measures such as the Working Family Payment provided by the Minister for Employment Affairs and Social Protection.
With regard to taxation measures, and separate to the above:
- The Accelerated Capital Allowances scheme for Childcare Services was introduced to encourage employers to develop childcare facilities onsite for their employees.
- Individuals who provide child-minding services in their own home may claim childcare services relief each year, provided that they do not receive more than €15,000 income per annum from the child-minding income.
- Furthermore, a Single Person Child Carer tax credit of €1,650 is available as well as an additional standard rate band of €4,000. This credit and band is payable to any single person with a child under 18 years of age or over 18 years of age if in full time education or permanently incapacitated. The primary claimant may relinquish this credit and increase in the rate band to a secondary claimant with whom the child resides for not less than 100 days in the year.
I have no plans to introduce a specific income tax relief for parents to assist with childcare costs. As the Deputy will appreciate, I receive numerous requests for the introduction of new tax reliefs and the extension of existing ones. In considering these, I must be mindful of the public finances and the many demands on the Exchequer given the current budgetary constraints and the equitable treatment of all tax-payers. Tax reliefs, no matter how worthwhile in themselves, reduce the tax base and make general reform of the tax system that much more difficult.
121. Deputy Catherine Connolly asked the Minister for Finance the estimated cost in a full year if the earned income credit increased from €1,350 to €1,500 for those in receipt of a gross income up to €60,000; and if he will make a statement on the matter. [20809/19]
Amharc ar fhreagraI am advised by Revenue that the full year cost of increasing the Earned Income Credit from €1,350 to €1,500, for taxpayer units in receipt of gross income of up to €60,000, is estimated at €19 million in a full year.
This estimate assumes that all affected taxpayers have the capacity to fully benefit from the increase in the credit. Therefore, €19 million is the maximum cost of this change.
122. Deputy Michael McGrath asked the Minister for Finance the costs incurred by his Department in respect of advertising in all forms to date in 2019, in tabular form; and if he will make a statement on the matter. [21121/19]
Amharc ar fhreagraI can confirm that my Department has incurred the following costs in respect to advertising in all forms to date in 2019.
|
Business Unit |
Supplier |
Details |
Amount |
|
Central Bank Policy Unit/Banking & Financial Stability Division |
Merc Partners |
Print newspaper advertisement highlighting the job vacancy for role of Governor of the Central Bank of Ireland |
€10,000 +VAT (€12,300) |
123. Deputy Denis Naughten asked the Minister for Public Expenditure and Reform when the Public Service Pay Commission will complete its work on the examination of recruitment and retention challenges in the defence sector; and if he will make a statement on the matter. [20311/19]
Amharc ar fhreagraAs set out in my reply to Question No. 29 of 18/04/2019 I understand that written submissions have been received from both the Employer and relevant staff associations and more recently, on 5th March last, oral presentations were also made to the Commission by both parties. Following this, the Commission has indicated that it expects to complete its examination of recruitment and retention matters in the Defence Forces by the end of quarter two 2019.
124. Deputy Micheál Martin asked the Minister for Public Expenditure and Reform the number of civil servants within his Department on a transfer request list; and his views on whether civil servants should work closer to their homes if possible. [20425/19]
Amharc ar fhreagraAs the Deputy is aware, the Civil Service Mobility scheme which comes under the remit of my department, and is administered through HR Shared Services, National Shared Services Office, offers an opportunity for staff members to apply for mobility through an open and transparent system.
The scheme will support the needs of the business, increase career development opportunities and facilitate relocation for staff members. The establishment of the scheme fulfils one of the requirements of Action 15 of the Civil Service Renewal Plan; and Action 14 of the People Strategy for the Civil Service, which calls for the further expansion of a coherent mobility policy to facilitate staff development and strategic alignment with other HR policies, builds upon this.
The scheme is being introduced on a phased basis as follows:
Phase 1A of the scheme is for the general Civil Service grades of Clerical Officer (CO) and Executive Officer (EO) to apply for mobility between and within 46 zones - excluding mobility within Zone 46 (Dublin) which will be included in Phase 1B. The application stage of this phase launched in November 2017 with the offer stage launched in September 2018.
The location choices in the scheme are divided into mobility zones rather than county or province. An applicant may express a preference for mobility for a maximum of 3 zones from the list of 46 zones with a choice of any or all organisations in each zone (a full list of zones and organisations per zone can be viewed at www.hr.per.gov.ie). Staff members can apply for mobility within their current zone (excluding Phase 1B, Zone 46 Dublin) as well as other zones. A number of mobility zones also have an option to include or exclude a choice of satellite towns.
Phase 1B (COs and EOs - Dublin) is on track to launch in the next few months.
Phase 2 of the scheme will include the general Civil Service grades of Higher Executive Officer, and Assistant Principal. Officials from my Department have commenced discussions with stakeholders on the development of this phase and it is anticipated that Phase 2 will be introduced in 2020.
Principal Officer (PO) Mobility - this scheme was introduced in September 2015. It was designed “to expand career and mobility opportunities for staff across geographic, organisational and sectoral boundaries.”
Senior Public Service (SPS) Mobility – this scheme was introduced in 2012. Assistant Secretary level mobility was introduced as a means of providing an opportunity for skills and experience across the system to be deployed more effectively in pursuit of common Governmental and civil service goals and priorities.
Number of staff on D/Public Expenditure and Reform outbound Mobility list
The current number of staff members seeking mobility opportunities under Phase 1A of the scheme from my Department is 7 (5 EOs and 2 COs).
125. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform the ministerial gross expenditure ceilings in each year of their projections (details supplied) since expenditure ceilings were established by gross capital expenditure and gross current expenditure; and if he will make a statement on the matter. [20320/19]
Amharc ar fhreagraThe Government Expenditure Ceiling for 2018 was first published by the Department of Public Expenditure and Reform in Expenditure Report 2016. The Budget 2017 and Budget 2018 adjustments to the 2018 ceiling reflect decisions to prioritise additional spending measures supported by discretionary revenue measures as well as increasing public investment in infrastructure. In addition, the Revised Estimates Volume (REV) 2018 included a significant technical adjustment of €792 million in relation to the funding of domestic water services. This adjustment had no impact on overall General Government expenditure. The 2018 outturn also reflects the impact of Supplementary Estimates.
Table 1: 2018 Gross Voted Expenditure Ceiling as published Budget 2016 – 2018 (€m)
|
Budget 2016 |
Budget 2017 |
Budget 2018 |
Outturn* |
|
|
Gross Voted Current Expenditure |
52,813 |
54,720 |
55,593 |
57,052 |
|
Gross Voted Capital Expenditure |
4,230 |
5,292 |
5,330 |
5,928 |
|
Total Gross Voted Expenditure |
57,043 |
60,012 |
60,923 |
62,979 |
*Provisional Outturn 2018. Capital carryover not included.
126. Deputy Michael McGrath asked the Minister for Public Expenditure and Reform the costs incurred by his Department in respect of advertising in all forms to date in 2019, in tabular form; and if he will make a statement on the matter. [20334/19]
Amharc ar fhreagraThe information requested by the Deputy regarding advertising costs for my Department is set out in the following table.
|
Department of Public Expenditure and Reform |
Costs |
|
Advertising ICT specialist posts |
€5,323.00 |
|
Office of Government Procurement |
|
|
Stand at Transforming Public Services event |
€1,230.00 |
|
Strategy document design and booklet printing |
€3,542.00 |
|
Standard pull up banners (x2) |
€197.00 |
|
€10,292.00 |
127. Deputy Fergus O'Dowd asked the Minister for Public Expenditure and Reform when funding will be available to progress a significant number of Rebuilding Ireland home loan applications within counties Louth and Meath and nationally; and if he will make a statement on the matter. [20374/19]
Amharc ar fhreagraThe Rebuilding Ireland Home Loan launched on 1 February 2018. Prior to its launch, an initial tranche of €200 million of long-term fixed-rate finance was borrowed by the Housing Finance Agency to provide funds for the scheme to local authorities.
When the Rebuilding Ireland Home Loan was initially being developed it was estimated that the drawdown of loans under the scheme would be approximately €200 million over three years. From the data collated on the scheme to date, it is clear that there has been a greater demand for the RIHL than initially anticipated, as a result of which, the scheme would require a further tranche of funds to be borrowed by the HFA if it is to continue. The Department of Housing, Planning and Local Government has requested sanction for additional funding for the scheme.
Further to that request, the Department of Housing, Planning and Local Government are concluding an internal review of the scheme. Further details on the review can be obtained from my colleague, the Minister for Housing, Planning and Local Government. In conjunction with this review, the Departments of Finance and Public Expenditure and Reform are also nearing a conclusion in their discussions with both the Central Bank of Ireland and the Department of Housing, Planning and Local Government with regard to the future of the scheme. Once this has been completed, the Minister for Housing will be in a position to make a statement on the scheme
128. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform the way in which he will accommodate the cost of the national broadband plan, which was not fully accounted for in the National Development Plan 2018-2027; the amount needed over the life of the National Development Plan 2018-2027 to pay for the national broadband plan above that already allocated; if other projects within the Department of Communications, Climate Action and Environment or other Departments will be impacted by the cost that will be incurred in implementing the national broadband plan; and if he will make a statement on the matter. [20627/19]
Amharc ar fhreagra131. Deputy Timmy Dooley asked the Minister for Public Expenditure and Reform if projects will be put on hold or cancelled as a result of the additional funds required to fund the national broadband plan; the projects impacted by Department; and if he will make a statement on the matter. [20678/19]
Amharc ar fhreagra136. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform the impact the national broadband plan and the €1.5 billion required in addition to the funding already allocated in the National Development Plan 2018-2027 will have on capital expenditure over the life of the national development plan; the projects that will be impacted; and if he will make a statement on the matter. [20791/19]
Amharc ar fhreagra138. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform if further Exchequer funding will be committed to the National Development Plan 2018-2027 in order to pay for the national broadband plan while protecting other projects scheduled to be delivered under the national development plan; the impact this will have on the fiscal position of the State and national debt; and if he will make a statement on the matter. [20796/19]
Amharc ar fhreagraI propose to take Questions Nos. 128, 131, 136 and 138 together.
The Government has approved the appointment of the Preferred Bidder for the National Broadband Plan, to deliver high speed broadband to all premises in Ireland, irrespective of location, through a combination of commercial investment and State intervention.
The Department of Communications, Climate Action and Environment has advised me that a maximum of €774 million will be required over the period 2019 to 2022, and €2.331 billion in total over the period of the National Development Plan (2019 to 2027) to fund the project. €800 million has already been allocated for this purpose in the National Development Plan and therefore the additional funding now required by the Department of Communications, Climate Action and Environment is €477 million over the period 2019-2022, and a total of €1.579 billion over the full period of the National Development Plan (2019 to 2027).
As I have already indicated, I intend to provide the additional capital required to fund the additional cost of proceeding with the project from future revenues - this will be done in the context of updating the overall multi-annual capital ceilings set out in Project Ireland 2040. This means that the decision to approve the appointment of the Preferred Bidder will have no repercussions for other planned projects within the National Development Plan. No other projects will be delayed or rescheduled, and no other changes will be made to the capital allocations for other projects as set out in the National Development Plan as a consequence of the Government’s decision to proceed with the National Broadband Plan.
In relation to the impact of this on the fiscal position of the State and national debt, the increased expenditure related to the National Broadband Plan will worsen the annual General Government position by around 0.1 percentage points. Over a decade, this would add approximately 1 percentage point to the debt ratio.
129. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform if he will publish the briefing given to the Cabinet from his Department in regard to the national broadband plan; and if he will make a statement on the matter. [20628/19]
Amharc ar fhreagra130. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform if the briefing given to the Cabinet from his Department in regard to the national broadband plan is consistent with the correspondence from his Department that was published; and if he will make a statement on the matter. [20629/19]
Amharc ar fhreagraI propose to take Questions Nos. 129 and 130 together.
As the Deputy is aware, Government records are confidential to Government. The Deputy will appreciate that in order to respect the rules in relation to Cabinet confidentiality, I am circumscribed in terms of outlining the content of the Government’s detailed discussions on the National Broadband Plan and what, specifically, was reported to Government by me and/or my Department in that context.
However, my Department’s advice in relation to the National Broadband Plan has been consistent over time, as will be clear from the briefing documents I have published in recent days. I can assure the Deputy that the Government was fully aware of the views of my Department as it deliberated on the proposal from the Minister for Communications Climate Action and Environment to approve the appointment of the Preferred Bidder to the National Broadband procurement process.
