Tuesday, 1 Mar 2022

Written Answers Nos. 232-251

Driver Test

Ceisteanna (232)

Seán Sherlock

Ceist:

232. Deputy Sean Sherlock asked the Minister for Transport the status of an NDLS centre (details supplied). [11716/22]

Freagraí scríofa

Minister of State at the Department of Transport

This is an operational matter for the Road Safety Authority, which provides the National Driver Licence Service. I have forwarded the Deputy's query to the Authority for direct reply. If he has not heard from the Authority in 10 working days I would ask that he contact my office directly.

A referred reply was forwarded to the Deputy under Standing Order 51

Public Transport

Ceisteanna (233)

Michael Lowry

Ceist:

233. Deputy Michael Lowry asked the Minister for Transport if he will meet with representatives of an organisation (details supplied); and if he will make a statement on the matter. [11718/22]

Freagraí scríofa

Minister for Transport

Licensed bus and coach operators are an integral part of the overall public transport system particularly in areas which are not covered by existing public service bus and rail services. In recognition of this, throughout the COVID-19 pandemic the Government have provided temporary financial supports for certain licensed commercial services with a view to protecting capacity across the public transport sector throughout the crisis. To date c.€60m has been provided to support the Commercial Bus Operators during this challenging time.

In addition, the Government is strongly committed to helping combat the rising cost-of-living being experienced throughout the country. In this context, a suite of new measures is being introduced by Government to help with this issue, including a 20% average fare reduction on PSO services until the end of 2022. These discounted fares will benefit the hundreds of thousands of people across the country who use public transport every day. A further €54m in Exchequer funding has been secured to allow for the introduction of these discounted fares, this is in addition to the REV22 allocations. The NTA will work with the PSO public transport operators in the coming weeks to commence rolling out these fare reductions across the public transport network in April/May.

Also, in recognition of the importance of incentivising young people to use public transport, as part of Budget 2022 I secured €25m of funding to provide for the introduction of a young adult card (YAC) which will allow any person nationwide who is between 19 and 23 years old, to avail of an entitlement for discounted travel costs, and to increase the level of discount over and above the current student discount to an average of discount of 50% across all services, including city, intercity and rural services. It is envisaged that the discount will initially be made available on PSO services, and then broadened to include commercial operators at a later date.  This will not only promote modal shift in the transport sector among this age group but should also contribute towards a reduced reliance on private transport with associated benefit of transport emission savings.

As the Deputy will understand, I receive a large number of diary requests that are considered and coordinated with my private offices in both the Department of Transport and Department of Environment, Climate and Communications in a weekly joint meeting. I note that it is not always possible to respond in the affirmative to every request; however, I would like to reassure the Deputy that both the National Transport Authority (NTA) and my Department have been engaging directly with commercial bus operators throughout the crisis to help inform policy decisions in relation to the public transport sector as we continue to deal with the impact of Covid-19.

In this context, my Department has been liaising with the Coach Tourism & Transport Council of Ireland (CTTC) since May 2020 - to date 22 meetings have taken place, and a further meeting is scheduled for April 2022. I also previously met with the CTTC and I am aware of the issues facing the sector.

I hope to meet again with representatives from the CTTC to discuss the highlighted issues at a future date when my diary allows.

Public Transport

Ceisteanna (234, 235, 237)

Michael Lowry

Ceist:

234. Deputy Michael Lowry asked the Minister for Transport the reason scheduled service operators (details supplied) have been excluded from accessing Exchequer funding or financial subsidies in order that they can also introduce a 20% reduction in passenger fares similar to the scheme which was announced on public service obligation serviced routes; and if he will make a statement on the matter. [11719/22]

Michael Lowry

Ceist:

235. Deputy Michael Lowry asked the Minister for Transport the reason scheduled service operators (details supplied) have been excluded from the youth travel card; and if he will make a statement on the matter. [11720/22]

Gerald Nash

Ceist:

237. Deputy Ged Nash asked the Minister for Transport his plans to extend the proposed 20% average fare reduction on public service obligation services to private bus contractors; and if he will make a statement on the matter. [11748/22]

Freagraí scríofa

Minister for Transport

I propose to take Questions Nos. 234, 235 and 237 together.

As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport; I am not involved in the day-to-day operations of public transport, nor decisions on fares. It is the National Transport Authority (NTA) that has responsibility for the regulation of fares charged to passengers in respect of public transport services, provided under public service obligation (PSO) contracts.

The Government is strongly committed to helping combat the rising cost-of-living being experienced throughout the country. In this context, a suite of new measures is being introduced by Government to help with this issue, including a 20% average fare reduction on PSO services until the end of 2022. These discounted fares will benefit the hundreds of thousands of people across the country who use public transport every day. A further €54m in Exchequer funding has been secured to allow for the introduction of these discounted fares, this is in addition to the REV22 allocations. The NTA will work with the PSO public transport operators in the coming weeks to commence rolling out these fare reductions across the public transport network in April/May.

Also, in recognition of the importance of incentivising young people to use public transport, as part of Budget 2022 I secured €25m of funding to provide for the introduction of a young adult card (YAC) which will allow any person nationwide who is between 19 and 23 years old, to avail of an entitlement for discounted travel costs, and to increase the level of discount over and above the current student discount to an average of discount of 50% across all services, including city, intercity and rural services. It is envisaged that the discount will initially be made available on PSO services, and then broadened to include commercial operators at a later date.  This will not only promote modal shift in the transport sector among this age group but should also contribute towards a reduced reliance on private transport with associated benefit of transport emission savings.

In light of the NTA's responsibility in this area, I have forwarded the Deputy's specific question in relation to the inclusion of commercial bus operators in the schemes, to the NTA for direct reply.  Please advise my private office if you do not receive a response within ten working days.

A referred reply was forwarded to the Deputy under Standing Order 51

Question No. 235 answered with Question No. 234.

Electric Vehicles

Ceisteanna (236)

Niall Collins

Ceist:

236. Deputy Niall Collins asked the Minister for Transport his plans to provide echarge points in towns and villages across County Limerick; and if he will make a statement on the matter. [11724/22]

Freagraí scríofa

Minister for Transport

The Deputy will be aware that the Government is fully committed to supporting a significant expansion and modernisation of the electric vehicle charging network over the coming years. 

A national charging infrastucture strategy is being developed which will set out a pathway to stay ahead of demand over the critical period out to 2030. My Department is engaging with relevant stakeholders to inform this work and it is envisaged that the strategy will be published for consultation early this year.

Preparations are underway to establish an Office of Low Emission Vehicles. This Office will play an important role in our transition to zero emission vehicles. It will co-ordinate measures to support the uptake of EVs and the rollout of charge point  infrastructure.  

In terms of existing supports for public charging, the Public Charge Point Scheme continues to be available during 2022 to provide local authorities with a grant of up to €5,000 to support the development of on-street public chargers. The primary focus of the scheme is to provide support for the installation of infrastructure which will facilitate owners of electric vehicles, who do not have access to a private parking space, but instead rely on parking their vehicles in public places near their homes to charge their EVs. My Department is reviewing the Scheme at present to ensure that it is as effective as possible in driving the decarbonisation effort.

The Department is working closely with a number of key stakeholders, including Local Government, to ensure electric vehicle charging infrastructure stays ahead of demand. This includes developing appropriate guidance for local authorities in line with the Programme for Government which will ensure we can continue to expand our national charging network through the supports for on street chargers. I am also aware that a report was published by the CCMA on the provision of guidance to local authorities on the provision of charging infrastructure. The document is available for viewing online at www.lgma.ie/en/publications/general-publications/local-authority-electrification-of-fleet-and-ev-charging-guidance.pdf.

€10 million was committed from the Climate Action Fund (CAF) to support ESB investment in the charging network and this has leveraged a further €10 million investment from ESB. This intervention alone will result in:

- 90 additional high power chargers, each capable of charging two vehicles - 17 high power chargers distributed across 14 multi vehicle hubs have been delivered as part of the programme to date.  The installation of high powered charging hubs will be the priority for the remainder of the program.

- 52 additional fast chargers, which may replace existing standard chargers - This work is completed at 36 locations.  ESB are awaiting the delivery of new chargers which have twice the charging capacity and speed when compared to the existing technology.  This element of the programme will restart when the units are delivered and conclude in Q3.

- 264 replacement standard chargers with more modern technology and with each consisting of two charge points - This work is substantially complete, 258 of the chargers have now been successfully replaced.

The project is due to be completed in 2023.  

Further details on ESB charge points nationwide can be found at esb.ie/ecars/charge-point-map.

In light of the ESB eCars responsibility in the matter of the provision of charge points, I have forwarded the Deputy's question to the ESB for direct response.  Please contact my Office if no reply is received within 10 working days. 

The following deferred reply was received under Standing Order 51

ESB ecars is currently investing €20m in upgrading and expanding the public EV charging infrastructure in Ireland. €10 million was committed from the Climate Action Fund (CAF) and ESB matched this funding to bring the total investment fund to €20m. The outline scope of the project is to install:

- 90 additional high power chargers, each capable of charging two vehicles. 17 high power chargers distributed across 14 multi vehicle hubs have already been delivered as part of the programme to date. The construction of another 36 high powered charging hubs will be the priority for the remainder of the program.

- 52 additional fast chargers, which may replace existing standard chargers - This work is completed at 36 locations. ESB are awaiting the delivery of new chargers which have twice the charging capacity and speed when compared to the existing technology. This element of the programme will restart when the units are delivered and conclude in Q3.

- 264 replacement standard chargers with more modern technology and with each consisting of two charge points - This work is substantially complete, 258 of the chargers have now been successfully replaced.

Our high-powered charging hubs offer customers the ability to obtain 100km of range in as little as six minutes. Our most recent installation of a Tier 3 hub was in Ballysimon, Limerick and we are in advanced negotiations with a private landowner to install a larger Tier 1 hub. I am hopeful that these commercial discussions will be a success and if so, preliminary design works on the new hub will begin immediately.

I trust the above is satisfactory. Please feel free to contact me if you have any queries in relation to my mail.

Question No. 237 answered with Question No. 234.

Covid-19 Pandemic Supports

Ceisteanna (238)

Kathleen Funchion

Ceist:

238. Deputy Kathleen Funchion asked the Minister for Finance the estimated total cost of the temporary wage subsidy childcare scheme and employment wage subsidy scheme for the childcare sector up to 30 April 2022. [11671/22]

Freagraí scríofa

Minister for Finance

The objective of the Employment Wage Subsidy Scheme (EWSS) is to support employment and maintain the link between the employer and employee insofar as is possible. The EWSS has been a key component of the Government’s response to the Covid-19 crisis. It is an economy-wide scheme that operates across all sectors.

In money terms, the overall support provided to-date (24 February) by EWSS is over €7.5 billion comprising direct subsidy payments of €6.51 billion and PRSI forgone of over €1 billion to 51,900 employers in respect of over 717,300 employees. In relation to TWSS, in total €2.8 billion was paid to over 67,000 employers in respect of almost 690,000 employees.  Overall to-date, support well in excess of €10 billion has been provided across the two wage subsidy schemes. 

I am advised by Revenue that the amount of support provided to the childcare sector from March 2020 to January 2022 (the latest month for which data are available) through the Temporary Wage Subsidy Scheme (TWSS) and the Employment Wage Subsidy Scheme (EWSS) amounts to approximately €677m. The breakdown by scheme and year is set out in the table below. These estimates are based on childcare providers registered with the Department of Children, Equality, Disability, Integration and Youth.

	2020 €m	2021 €m	2022 (Jan) €m
EWSS	116	399	32
TWSS	130	NA	NA

While the criteria for eligibility for business in general is based on a reduction in turnover, as a result of the pandemic and having regard to the importance of maintaining the provision of childcare facilities so as to enable parents to continue in, or to take up, positions of employment, the legislation provided that childcare businesses in possession of tax clearance and registered in accordance with Section 58C of the Childcare Act 1991 are eligible for the EWSS. 

Since the introduction of EWSS there has been regular and, where necessary, detailed engagement between my Department and the Department of Children, Equality, Disability, Integration and Youth (D/CEDIY). Analysis undertaken by D/CEDIY informed the approach taken with regard to the childcare sector. Childcare business will continue to benefit from the EWSS exemption until end April 2022.

As announced by my colleague, Minister O’Gorman, it is intended to put in place a transition fund between May and August 2022, which early learning and childcare providers can access. From September 2022, a major new funding stream will be introduced, to support providers in meeting their operating costs in return for a commitment that fees to parents will not increase.

Tax Code

Ceisteanna (239)

Danny Healy-Rae

Ceist:

239. Deputy Danny Healy-Rae asked the Minister for Finance if he will reverse the decision to increase the carbon tax in Budget 2022. [11767/22]

Freagraí scríofa

Minister for Finance

In line with the Programme for Government policy approach to Carbon Tax, Finance Act 2020 legislated for a series of annual increments in the carbon tax rate leading to a rate of €100 per tonne of tonne of CO2 emitted in 2030.   The rate of €41 per tonne applied to auto fuels from October 2021 but I delayed the increased on home heating fuels until 1st May 2022 to allow for the passage of the winter heating season.

Budget 2022 contained a large range of measures to protect households from the rising cost of living, including a personal income tax package worth €520m and a social welfare package of over €550m. Analysis undertaken using SWITCH, the ESRI tax and benefit model, to simulate the impact of the carbon tax increase and the compensatory welfare package has confirmed that the net impact of the combined measures is progressive.  Households in the bottom four income deciles will see all of the cost of the carbon tax increase offset, with the bottom three deciles being better off as a result of these measures.

In addition to the Budget 2022 measures announced in October 2021, in February this year the Government approved a further package of measures to the value of €505m to mitigate the cost of living including an increase in the energy credit to €200 including VAT, estimated to impact just over 2 million households.  The package also included a series of targeted measures which will reduce the impact of inflation including ;

—   a lump sum payment of €125 on the fuel allowance will be paid to 390,000 recipients;

—   a temporary reduction in public transport fares of 20% from the end of April to the end of the year. This will impact approximately 800,000 daily users of Bus Éireann, Iarnród Éireann, Dublin Bus, Go Ahead, Luas, DART and Local Link services;

—   a reduction of the Drug Payment Scheme from €144 to €80. This will benefit just over 70,000 families

—   the working family payment budget increase will be brought forward from 1 June to 1 April;

—   reduced caps for multiple children on school transport fees to €500 per family post primary and €150 for primary school children;

Carbon Tax is a key pillar underpinning the Government’s Climate Action Plan to halve emissions by 2030 and reach net zero no later than 2050.  The Programme for Government commits that all revenues raised from additional increases in Carbon Tax will be used for:

- Targeted social welfare measures to prevent fuel poverty and ensure a just transition;

- To part fund a socially progressive national retrofitting programme;

- To encourage and incentivise farmers to farm in a greener and more sustainable way.

It is revenue from carbon tax that will support Ireland in meeting our climate targets in the short and medium terms by protecting against fuel poverty, and in the long term by providing for a more sustainable living environment. In the long run the best way to protect Ireland from the impact of international fossil fuel prices is to reduce our dependence on them. We will achieve this through the progressive decarbonisation of Irish Society and through the steps that will be taken to meet the Government’s commitment to reach net zero greenhouse gas emissions by 2050.

Electric Vehicles

Ceisteanna (240)

Noel Grealish

Ceist:

240. Deputy Noel Grealish asked the Minister for Finance the plans he has for providing tax credits to purchasers of electric vehicles considering the significant carbon savings achieved by the switch from fossil-fuelled vehicles; and if he will make a statement on the matter. [10847/22]

Freagraí scríofa

Minister for Finance

The Government is committed to incentivising electric vehicles (EVs) as has been reflected in the wide suite of measures which have facilitated an exponential growth in EV registrations over the past number of years. The Programme for Government 2020 outlined a commitment to an average 7% per annum reduction in overall greenhouse gas emissions from 2021 to 2030 (a 51% reduction over the decade) and to achieving net zero emissions by 2050. The need to make significant emissions reductions in the transport sector is fundamental to Ireland’s policy around Vehicle Registration Tax (VRT) and Motor Tax; the systems are designed to facilitate the uptake of EVs and to address the increasingly harmful environmental and public health effects of vehicle emissions.

Vehicles registered after July 2008 are charged motor tax according to their emissions profile; the rate for EVs is €120 and scales up to €2400 for the most pollutant vehicles. The VRT system has been modified in recent Budgets to strengthen the environmental rationale of the regime, and is structured to provide a reduced rate for EVs of 7% of open-market selling price (OMSP), while vehicles falling into the highest emissions band are liable to a rate of 41%. The €5,000 VRT relief for electric cars and vans were due to end on 31st December 2021 but was extended for two years in Finance Act 2021 to end in 2023. As the rate of VRT charged for EVs is already very low, many purchased in the next two years will pay no VRT at all.

In Finance Act 2019 I legislated for a CO2-based benefit-in-kind (BIK) regime for company cars from 1/1/2023. From that date the amount taxable as BIK remains determined by the car’s original market value (OMV) and the annual business kilometres driven, while new CO2 emissions-based bands will determine whether a standard, discounted, or surcharged rate is taxable. EVs will benefit from a preferential rate of BIK, ranging from 9 – 22% depending on mileage. Fossil-fuel vehicles will be subject to higher BIK rates, up to 37.5%. This new structure with CO2-based discounts and surcharges will incentivise employers to provide employees with low-emission cars.

The current €50,000 BIK exemption was extended in Finance Act 2021 with a tapering mechanism that represents a value for money consideration.  This forms part of a broader series of generous measures including the preferential rates of VRT and Motor Tax, the VRT relief, SEAI grants, discounted tolls fees, and 0% BIK on electric charging.

I am satisfied that this Government continues to provide a generous set of supports to encourage the transition to low and zero emission vehicles.

Tax Code

Ceisteanna (241)

Noel Grealish

Ceist:

241. Deputy Noel Grealish asked the Minister for Finance the plans he has to bridge the disparity between the EU emissions trading scheme carbon price and the Irish carbon tax of €41 set out in Budget 2023; and if he will make a statement on the matter. [10848/22]

Freagraí scríofa

Minister for Finance

The EU ETS operates in all EU countries plus Iceland, Liechtenstein and Norway (EEA-EFTA states) and covers approximately 10,000 installations in the power sector and manufacturing industry, as well as airlines operating between these countries. 

The EU ETS works on the 'cap and trade' principle. A cap is set on the total amount of certain greenhouse gases that can be emitted by the installations covered by the system. The cap is reduced over time so that total emissions fall.   Within the cap, installations receive emissions allowances, which they can trade with one another as needed.

The Irish Carbon Tax is a national tax which is applied to mineral oils, solid fuels and natural gas.    In line with the Programme for Government policy approach to Carbon Tax, Finance Act 2020 legislated for a series of annual increments in the Carbon Tax rate leading to a rate of €100 per tonne of tonne of CO2 emitted in 2030.   This trajectory of increases transparently signals to households and businesses the specific rate increases which they can expect to occur every year out to 2030, thereby affording a period of gradual transition.  

The ETS, as a market based system applying to large installations, operates through an entirely different structure to the domestic carbon tax. While the ETS carbon price changes periodically, the rate of carbon tax is set out in the 2020 Finance Act. The Government remains committed to the carbon tax rates outlined in the Programme for Government and Finance Act.

Naval Service

Ceisteanna (242, 243, 244)

Sorca Clarke

Ceist:

242. Deputy Sorca Clarke asked the Minister for Finance the number of customs patrols that were cancelled or rescheduled as a result of crewing problems in the Naval Service in 2019, 2020, 2021 and to date in 2022, in tabular form; and if he will make a statement on the matter. [10886/22]

Sorca Clarke

Ceist:

243. Deputy Sorca Clarke asked the Minister for Finance if there are plans to increase the number of Naval Service vessels thereby increasing the scope to patrol Irelands waters given the proposed new patrol boats will replace Revenue Commissioner cutter RCC Faire and the RCC Suirbhéir which are approaching the end of their service; and if he will make a statement on the matter. [10887/22]

Sorca Clarke

Ceist:

244. Deputy Sorca Clarke asked the Minister for Finance when the tendering process for the provision of a Customs cutter for Revenue Commissioners is expected to commence [10888/22]

Freagraí scríofa

Minister for Finance

I propose to take Questions Nos. 242, 243 and 244 together.

I am advised by Revenue that the role of its Maritime Unit, which has a national remit, is to patrol and monitor internal waters, territorial seas and adjacent waters. These patrol and monitoring activities are aimed at the prevention, detection, interception and seizure of illegal importations and exportations of prohibited and restricted goods, including drugs. It is also involved in servicing national and international Memoranda of Understanding and Mutual Assistance requests from other jurisdictions, and works closely with the Maritime Analysis and Operations Centre – Narcotics (MAOC-N), based in Lisbon, the focus of which is to reduce the threat of drug trafficking into the EU by sea.

Revenue currently has two cutters (patrol vessels) in service, RCC Suirbhéir and RCC Faire, I am informed that Revenue intends to purchase a replacement vessel for RCC Suirbhéir, which is in operation since 2004 and is approaching the end of its service life. As part of the procurement process, Revenue published a Prior Information Notice (PIN) in the Official Journal of the EU in November 2021. The purpose of the PIN was to inform the market that Revenue may seek tenders in 2022 for the provision of a new cutter. It is anticipated that this procurement competition will also include an option for a second vessel which could be a future replacement for RCC Faire, which has been in operation since 2009. I am advised that Revenue is currently finalising the detailed specifications and requirements as regards any cutter which it may seek to acquire through the tender process.  

Finally, the Deputy should note that Revenue’s capacity to carry out customs patrols is independent of the Naval Service. Questions relating to the Naval Service are a matter for my colleague, the Minister for Defence.

Question No. 243 answered with Question No. 242.

Question No. 244 answered with Question No. 242.

Credit Unions

Ceisteanna (245, 248)

Niamh Smyth

Ceist:

245. Deputy Niamh Smyth asked the Minister for Finance if he will review correspondence (details supplied); and if he will make a statement on the matter. [10907/22]

Paul Murphy

Ceist:

248. Deputy Paul Murphy asked the Minister for Finance if his attention has been drawn to the campaign by the Irish League of Credit Unions which is calling for his Department to make the necessary regulatory changes to enable credit unions to significantly increase their footprint in the mortgage market and honour the commitment in the Programme for Government for credit unions to become a key provider of community banking; and if he will make a statement on the matter. [10934/22]

Freagraí scríofa

Minister for Finance

I propose to take Questions Nos. 245 and 248 together.

This Government recognises the importance of credit unions.

The Programme for Government contains commitments to;

- Review the policy framework within which Credit Unions operate.

- Enable and support the Credit Union movement to grow.

- Support Credit Unions in the expansion of services, to encourage community development.

Credit unions can and do provide mortgages, with over half the sector engaging in mortgage lending at some level.  As at December 2021 credit unions had a mortgage book of approximately €280 million, which had grown 23% year-on-year.

The level of mortgage lending undertaken by the industry varies. 20 credit unions account for approximately 76 per cent of all new house loans with 50 credit unions accounting for 98 per cent of the total.

Since 1 January 2020, credit unions now have a combined capacity to provide up to €1.1 billion in additional SME and mortgage loans, with further capacity of up to 15% available to credit unions on approval by the Central Bank.

4 credit unions are currently approved for the 15% combined lending limit with 1 additional application to the Central Bank currently in progress. Up to 66 credit unions could apply for this 15% limit and it is the Government’s hope that more will continue to do so.

In regard to fulfilling the commitments in the Programme for Government for credit unions, the Review of Policy Framework is in its final stages with a summary list of proposals having recently been shared with all the credit union representative bodies. A final stakeholder engagement session has been scheduled for early March. Legislative proposals arising will go to Cabinet shortly thereafter. The proposals being considered should assist credit unions to invest in collaborative ventures, which could also be used to expand their mortgage offering. 

Banking Sector

Ceisteanna (246)

Mairéad Farrell

Ceist:

246. Deputy Mairéad Farrell asked the Minister for Finance the size of the State's current shareholdings in each of the banks; and the current market value of these shareholdings in tabular form. [10916/22]

Freagraí scríofa

Minister for Finance

As the Deputy may be aware, during 2021, I announced that the State would commence selling its shareholding in AIB and Bank of Ireland through separate pre-arranged trading plans. Updates on the shareholdings in AIB and Bank of Ireland are disclosed to the market each time the shareholding falls through a percentage point threshold as is required by the Stock Exchange and investment regulations. Therefore the exact shareholding in these banks today cannot be disclosed as it could be detrimental to maximising value from our shares.

The following table gives a range for Allied Irish Banks and Bank of Ireland which may be as assistance to the Deputy. 

Bank	State's Current Shareholding	Current Market Value of State's Shareholding (based on closing price on 24/2/2022) €m
AIB	between 70%-71%	4,427.2 - 4,490.4
Bank of Ireland	between 5%-6%	298.3 - 357.9
Permanent TSB	74.92%	534.8

Trade Sanctions

Ceisteanna (247)

Patrick Costello

Ceist:

247. Deputy Patrick Costello asked the Minister for Finance the number of instances and the value of goods that were refused entry to Ireland in the past five years because they originated in illegal Israeli settlements in Palestine; the details of the efforts being made including the mechanisms in place to ensure that goods from illegal settlements are not mislabelled as Israeli; if he is fully satisfied that no such goods are being imported to Ireland; and if he will make a statement on the matter. [10932/22]

Freagraí scríofa

Minister for Finance

Revenue, as Ireland’s Tax and Customs administration, is responsible for managing the importation and exportation of goods in accordance with the EU Union Customs Code and relevant national legislation. I am advised by Revenue that both Palestine and Israel have Free Trade Agreements with the EU. As a result, there are no prohibitions on goods coming from either jurisdiction into Ireland.

As regards the value of goods imported requested by the Deputy, I am advised by Revenue that in the time available it has not been possible to finalise all of this data. Revenue is finalising the data and it will be provided to the Deputy directly by Revenue as soon as possible.

As there are no prohibitions on imports from either jurisdiction, I am advised by Revenue no goods have been refused entry to Ireland for the reasons cited by the Deputy.

Question No. 248 answered with Question No. 245.

Tax Code

Ceisteanna (249)

Colm Burke

Ceist:

249. Deputy Colm Burke asked the Minister for Finance if an analysis has been undertaken by his Department on the impact of the reduced VAT rate on the tourism sector which is of great assistance due to the impact of Covid-19; and if he will make a statement on the matter. [10976/22]

Freagraí scríofa

Minister for Finance

As the Deputy may recall, I previously asked my Department to undertake a comprehensive study of all aspects of the 9% VAT rate ahead of Budget 2019.

The “Review of the 9% VAT rate: Analysis of Economic and Sectoral Developments” was published by my Department in July 2018, in order to better inform any decision in relation to the 9% reduced rate going forward. In addition to assessing the relevance, cost, value-for-money, and impact to date of the 9% VAT rate, the Review also looked at the estimated impact on the relevant sectors were the rate to be increased.

The Review found that tourism expenditure was more sensitive to income growth and the economic cycle than price changes. The Review concluded that the VAT rating applied to the tourism sector should not greatly impact demand or employment in the sector.

Furthermore, the Revenue Commissioners also published a report on the 9% VAT Rate in June 2018 which analysed the output and employment impact of the 9% VAT rate using Revenue data. The analysis found an estimated increase in employment of on average 1.8 employees for each firm benefitting from the reduced rate in the accommodation and food sector in the year following the introduction of the reduced rate. However, beyond the short term, they were unable to distinguish the impact of the rate on employment from the impact of other factors in the economy.

I am advised by Revenue that an estimated €820m in VAT was collected at the 9% rate during the period from 1 November 2020 to end December 2021 (the most recent available data). An estimated additional €410m would have been collected had the rate remained at 13.5% over the period.

Covid-19 Pandemic Supports

Ceisteanna (250)

Aengus Ó Snodaigh

Ceist:

250. Deputy Aengus Ó Snodaigh asked the Minister for Finance when the list of recipients of the Covid restrictions support scheme will be published. [10995/22]

Freagraí scríofa

Minister for Finance

Section 485 of the Taxes Consolidation Act 1997, as inserted by Section 11 of the Finance Act 2020, requires Revenue to publish the list of Covid Restrictions Support Scheme (CRSS) recipients at the end of the scheme.

I am advised by Revenue that it is currently finalising the wind-down process of the scheme, which was extended to 31 January 2022 to provide additional support to the hospitality and indoor entertainment sectors impacted by the further restrictions imposed on 20 December 2021.

Once the wind-down process is completed, which is expected to take a number of weeks, Revenue will publish the list of recipients on its website at www.revenue.ie.

Insurance Industry

Ceisteanna (251, 266)

Aengus Ó Snodaigh

Ceist:

251. Deputy Aengus Ó Snodaigh asked the Minister for Finance if his attention has been drawn to the impact of spiralling public liability insurance costs, together with increasing requirements placed on venues by insurance companies obliging all individual performers to have their own public liability insurance in addition to that of the venue, is having on artists and performers struggling to emerge from almost two years of unemployment; if he has discussed or if he plans to discuss the matter with the Ministers for Tourism, Culture, Arts, Gaeltacht, Sport and Media and Enterprise, Trade and Employment; and his views on whether this problem could hamper the recovery of an industry that is already in difficulty and will drive talented musicians from their trade. [10998/22]

Aengus Ó Snodaigh

Ceist:

266. Deputy Aengus Ó Snodaigh asked the Minister for Finance if he has discussed or plans to discuss the spiralling public liability insurance costs for artists and venues with the Ministers for Tourism, Culture, Arts, Gaeltacht, Sport and Media and Enterprise, Trade and Employment; and his views on whether this problem could hamper the recovery of an industry that is already in difficulty and will drive talented musicians from their trade. [12022/22]

Freagraí scríofa

Minister for Finance

I propose to take Questions Nos. 251 and 266 together.

I am aware that the affordability of public liability insurance is an issue for certain sectors, including for those involved in performance and the arts. As the Deputy will be aware, neither I, nor the Central Bank of Ireland, can direct the pricing or provision of insurance products, as this is a commercial matter which individual companies assess on a case-by-case basis. This position is reinforced by the EU Single Market framework for insurance (the Solvency II Directive).

Notwithstanding this, the Programme for Government recognises the need for a continued focus on insurance reform in order to tackle the issue of costs, including of public liability insurance. This focus is being driven by the Cabinet Committee Sub-Group on Insurance Reform, chaired by the Tánaiste and Minister for Enterprise, Trade and Employment, through the Action Plan for Insurance Reform.

One of the key achievements of this whole-of-Government reform agenda has been the implementation of the Personal Injuries Guidelines, which have significantly lowered award levels of many common injuries. The Guidelines should also help to bring more certainty to claimants and insurers, thereby reinforcing the benefits of using the Personal Injuries Assessment Board (PIAB) to settle claims, which in turn should further reduce the costs of claims, particularly legal fees.

The Government is committed to ensuring that the benefit of the suite of reforms being pursued, including the Guidelines, are passed onto customers. In this regard, Minister of State Fleming has held two rounds of meetings with the CEOs of the major insurance providers in the Irish market, to discuss their response to the Action Plan, and we will both maintain a proactive engagement process throughout 2022 in order to hold industry to account in this regard.

In conclusion, the Sub-Group has a number of key areas of focus for 2022, including actions relevant to public liability insurance, such as reforming the duty of care legislation. Rebalancing the duty of care should help to address the issue of slips, trips and falls, which are particularly prevalent in footfall-intensive areas, and should contribute to easing the insurance difficulties facing artists and performers. I will continue working with the Minister for Justice, who is leading on this action, and with colleagues across Government, in order to ensure that the overall implementation of the Action Plan leads to improved affordability of insurance for all sectors of the economy, including the arts.