Duncan Smith
Ceist:298. Deputy Duncan Smith asked the Minister for Transport his plans for sector-specific supports for the taxi industry to combat rising fuel costs; and if he will make a statement on the matter. [44129/22]
Amharc ar fhreagraFuel Prices
Ceisteanna (298)
Freagraí scríofa
As the Deputy may be aware, the Government and the National Transport Authority (NTA) have been actively engaged in ensuring that appropriate and timely measures are in place to support the taxi sector, in addressing the challenges it faces.
I recognise that rising fuel costs are a significant challenge for all sectors, and that is why the Government announced on March 9th last, a temporary reduction in fuel-related excise duties of 20 cent per litre of petrol and 15 cent per litre of diesel. These reductions, which were due to finish at the end of August, are extended until Budget Day on September 27th, at an additional cost of circa €80m, and should help reduce the operating costs of all private and commercial vehicle owners, including non-electric SPSV operators.
The NTA's Board approved an average increase of 12% on taxi fares, which came into effect on the 1st of September 2022. This increase was proposed in the recent National Maximum Fares Review, and it is the first increase on such fares since 2017. A recent NTA driver survey shows that 93% of drivers are now working but only 29% currently undertake “night work”. 30% of drivers (up from 17% in 2019) reported that they would consider doing “night work” if the relevant fares were to increase.
In recognition of this, the fares increase has been weighted in favour of the premium rate, which can be charged for journeys between 8.00pm to 8.00am, as well as on Sundays and public holidays. The increase in cents/euro for each taxi user per journey is not substantial; however, the cumulative impact is significant for drivers, and the weighting in the increase has been designed so as to encourage more drivers to operate during these periods and also encourage drivers who may still not have come back since the pandemic, to re-activate their licences.
Whilst the NTA has statutory responsibility for regulating the SPSV industry, taxi drivers are self-employed individuals and, as such, decide on their own business strategies within the regulatory framework, including choosing the times at which they operate.
The NTA extended vehicle age limits several times during the pandemic, with standard age limits for taxis and hackneys now waived through to end-2022, thereby ensuring no operator exits the industry simply because of the need to replace a vehicle. The NTA also introduced a regulatory measure to allow licence holders to be inactive for 24 months (previously 12 months) to allow them to remain attached to the industry, with no associated costs, during this very uncertain period. It is hoped that a significant proportion of these licensees will return now that demand for services is increasing.
Supports are available to drivers wishing to change their vehicles. To support the wider availability of wheelchair accessible vehicles (WAVs) in Ireland’s small public service vehicle fleet, I allocated €2m to the WAV grant scheme for this year (WAV22). WAV22 offers financial aid of up to €7,500 nationwide for the purchase or conversion of a new WAV – and a sliding scale, with lesser monies being available for older cars. Cars older than 6 years will not qualify for this Scheme. The Scheme is available to anyone who wishes to purchase or convert an ‘internal combustible engine’ (ICE) WAV or an electric WAV (eWAV). The Grant Scheme also offers training assistance to all successful applicants. The criteria is subject to review at regular intervals throughout the duration of the Grant Scheme. The NTA informed me recently that, under this Scheme, 155 new WAV licences have been added to the SPSV fleet to date in 2022, and 57 replacement vehicles have been upgraded.
I remain committed to supporting the transition of the SPSV fleet towards zero/low-emission vehicles. The electric small public service vehicle (eSPSV) grant scheme was put in place to support the greening of the taxi sector. The Scheme is funded by my Department and administered by the NTA. The SPSV industry is regarded as a champion in the normalisation of electric vehicle use, and I allocated €15m to the Scheme in Budget 2022, to support the industry to switch to electric.
eSPSV2022 was paused for new applications in April to allow operators with grant offers the time to finalise their car purchase and draw down funding. The Scheme re-opened for applications on 1 August, and the application form is available on the NTA's website. Applications will be accepted up to 30 November 2022 for this Scheme, with no extension being considered. Vehicles must be licensed (passed the suitability inspection) by 31 December 2022 to obtain funding. If this has not happened, operators must wait and apply to any future eSPSV grant Schemes which might be launched by the Department.
The number of eSPSV grants administered has been encouraging, with 920 grants paid between the beginning of the scheme in 2018 to 2nd September 2022, with associated funding of €16,262,500m.
You may be aware that Microfinance Ireland is still providing the so-called eSPSV Business Loan, which is available to support SPSV owners that are unable to secure finance from banks and asset finance providers, and are availing of the eSPSV Grant Scheme to replace their vehicle with a more sustainable model (electric/hybrid). These loans range from €5,000 to €25,000, with a fixed interest rate of 4.5% if submitted through a Local Enterprise Office, and with no additional fees or charges.
Rail Network
Ceisteanna (299)
Duncan Smith
Ceist:299. Deputy Duncan Smith asked the Minister for Transport the plans that his Department has to decarbonise Ireland’s passenger rail fleet; and if he will make a statement on the matter. [44130/22]
Amharc ar fhreagraFreagraí scríofa
Decarbonisation of our society and economy is a key policy priority for this Government and transport has a significant role to play in that regard.
An important part decarbonisation efforts is the expansion of sustainable mobility options in our urban centres and across the country to enable people to make the switch toward more sustainable transport modes – rail, bus and active travel. This will require significant investment in our infrastructure and our services. The Programme for Government - Our Shared Future commits toward such a fundamental change in the nature of transport in Ireland and I look forward to delivering on that commitment.
As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The National Transport Authority (NTA) has statutory responsibility for the development and delivery of certain public transport infrastructure including, in consultation with Iarnród Éireann, the purchase of rolling stock.
Noting the NTA's responsibility in the matter, I have referred the Deputy's question to the NTA for a more detailed response on the specific issue raised. Please contact my private office if you do not receive a reply within 10 days.
A referred reply was forwarded to the Deputy under Standing Order 51
Cycling Facilities
Ceisteanna (300)
Duncan Smith
Ceist:300. Deputy Duncan Smith asked the Minister for Transport the new cycling infrastructure projects that have been approved in Fingal as of September 2022; and if he will make a statement on the matter. [44131/22]
Amharc ar fhreagraFreagraí scríofa
As Minister for Transport, I have responsibility for the policy and overall funding in relation to Active Travel. The National Transport Authority (NTA), meanwhile, has responsibility for the allocation of funding to specific projects and oversight of their development, in cooperation with the relevant local authorities.
Noting the NTA's role in the matter, I have referred your question to the NTA for a more detailed reply . Please advise my private office if you do not receive a reply within 10 working days.
Rail Network
Ceisteanna (301)
Duncan Smith
Ceist:301. Deputy Duncan Smith asked the Minister for Transport if he will provide an update as of September 2022 on the progress of MetroLink; and if he will make a statement on the matter. [44132/22]
Amharc ar fhreagraFreagraí scríofa
On 4 July, the Government approved the Preliminary Business Case for MetroLink at Decision Gate 1 of the Public Spending Code. Following this approval, TII will submit the Railway Order application for MetroLink to An Bord Pleanála this month. The Preliminary Business Case was published in full on the NTA's website on 26 July.
As MetroLink is at a relatively early stage of development, the delivery strategy and timeline for the project has not yet been finalised. The expected timeline will see MetroLink will move forward to Decision Gate 2 (Pre-Tender Approval) in 2023 and a detailed design, planning, and procurement strategy will be prepared for this Government decision in line with the Public Spending Code. Following Decision Gate 3 and an enforceable Railway Order, the tenders will be awarded such that the construction process could begin in late 2025.
The above dates are dependent upon the timing and outcome of the planning process, and whether or not any judicial or other legal proceeding are commenced in relation to that process.
As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The National Transport Authority (NTA) has statutory responsibility for the planning and development of public transport infrastructure in the Greater Dublin Area which includes, in conjunction with Transport Infrastructure Ireland (TII), MetroLink.
Noting the NTA's responsibility in the matter, I have referred the Deputy's question to the NTA for a more detailed direct reply to the specific issues raised. Please contact my private office if you do not receive a reply within 10 days.
A referred reply was forwarded to the Deputy under Standing Order 51
Transport Policy
Ceisteanna (302)
Duncan Smith
Ceist:302. Deputy Duncan Smith asked the Minister for Transport the plans that his Department has as of September 2022 to introduce a petrol and diesel vehicle scrappage scheme; if so, the estimated cost of such a scheme; and if he will make a statement on the matter. [44133/22]
Amharc ar fhreagraFreagraí scríofa
Passenger cars account for over half of all land transport emissions in Ireland; therefore, a transition to low and zero emission cars is one of the necessary changes if Ireland is to substantially reduce its transport emissions. Accordingly, electric vehicles are a prominent mitigation measure in the Climate Action Plan and Ireland has set an ambitious target of nearly one million EVs on our roads by 2030.
The Electric Vehicle Policy Pathway (EVPP) Working Group produced a report detailing a roadmap to achieving the 2030 EV target in September 2021. The EVPP Working Group comprised senior officials and considered regulatory, financial, and taxation policies to help drive a significant ramp-up in passenger EVs and electric van sales. Scrappage schemes were discussed as part of these considerations. The Working Group concluded that a general scrappage scheme would entail significant additional costs and as such was not recommended; however, the Group concluded that niche markets scrappage schemes could potentially play an important role, such as the SPSV sector. There is currently a scrappage scheme in place for this sector administered by the NTA.
Overall, considerable progress has been made in supporting citizens to make greener vehicle choices. A comprehensive suite of measures is available to EV drivers, including purchase grants for private car owners and taxi drivers, VRT relief, reduced tolls, home charger grants, favourable motor and BIK tax rates, as well as a comprehensive charging network. These measures have collectively contributed to increased take up of EVs in Ireland in recent years.
Bus Services
Ceisteanna (303)
Duncan Smith
Ceist:303. Deputy Duncan Smith asked the Minister for Transport his views on the status of the BusConnects project as of September 2022; and if he will make a statement on the matter. [44134/22]
Amharc ar fhreagraFreagraí scríofa
As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The National Transport Authority (NTA) has responsibility for the planning and development of public transport infrastructure in our cities, including BusConnects.
Noting the NTA's responsibility in the matter, I have referred the Deputy's question to the NTA for a direct reply. Please contact my private office if you do not receive a reply within 10 days.
A referred reply was forwarded to the Deputy under Standing Order 51
Transport Policy
Ceisteanna (304)
Duncan Smith
Ceist:304. Deputy Duncan Smith asked the Minister for Transport the plans his Department has in line with the Cost of Disability in Ireland research report, to invest in transport infrastructure ensuring accessibility for those with disabilities and additional needs; and if he will make a statement on the matter. [44135/22]
Amharc ar fhreagraFreagraí scríofa
As stated in previous PQ responses to the Deputy, I welcome the Cost of Disability report published by the Department of Social Protection. I am acutely aware of the concerns outlined in the report with regards to the cost of transport, particularly personalised or individualised transport requirements for Persons with Disabilities, and acknowledge the important role that transport plays in all our lives.
I must emphasis to the Deputy that specialised non-public (closed) door-to-door services do not fall under my aegis; nevertheless, I am fully committed to strengthening our public transport offerings and progressively making them accessible for all, especially for Persons with Disabilities, Persons with Reduced Mobility and Older People. In this regard, my Department has in place a funding programme of €15.35 million aimed toward retrofitting older infrastructure and facilities. Through the National Transport Authority (NTA), we are using this funding in 2022 to roll out more accessible bus stops, wheelchair accessible taxis and improve train station accessibility. In addition, the NTA will continue to support Persons with Disabilities to travel independently on the public transport network through initiatives such as the Just A Minute (JAM) Card and the provision of Disability Awareness Training to public transport staff. Furthermore, in rural Ireland, where currently more than 90% of Local Link services are accessible, the new Connecting Ireland Rural Mobility Plan aims to provide greater access to public transport services for all users by increasing the frequency and number of routes provided.
My Department is also spearheading several initiatives focused on reducing the cost of public transport services, including the 90-minute fare and the development of Next Generation Ticketing. Furthermore, I have nationally introduced the "Young Adult Card" for all public transport services, which will allow any person nationwide who is between 19 and 23 years old to avail of discounted travel costs. Collectively, these measures will benefit all members of society, including those with hidden disabilities and/or who may not qualify for the Free Travel Scheme.
Additionally, my Department and the NTA will be actively collaborating with the Department of Children, Equality, Disability, Integration and Youth, through a Working Group arising from National Disability Inclusion Strategy (NDIS) and Make Work Pay Report, to review of the current provision of disability transport and mobility schemes across Government Departments, agencies, and local authorities. The group aims to develop a plan to enhance options for travel to work or employment for persons with Disabilities, efficiently utilising available transport resources. We will also continue our membership on the NDIS Steering Group, working together with the other Departments and Agencies that have responsibility for individualised, personalised transport support schemes.
Transport Costs
Ceisteanna (305, 306)
Duncan Smith
Ceist:305. Deputy Duncan Smith asked the Minister for Transport the estimated cost of introducing a reduced €9 public transport ticket serving buses, trains and Luas, similar to the scheme introduced in Germany in summer 2022; and if he will make a statement on the matter. [44145/22]
Amharc ar fhreagra
Ivana Bacik
Ceist:306. Deputy Ivana Bacik asked the Minister for Transport the estimated cost of capping public transport fares at either €9 a month or €10 a month for the remainder of 2022 from October to December; the estimated full-year cost of each in 2023; and if he will make a statement on the matter. [44229/22]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 305 and 306 together.
As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport; however, I am not involved in the day-to-day operations of public transport. The National Transport Authority (NTA) has responsibility for the regulation of fares charged to passengers in respect of public transport services provided under public service obligation (PSO) contracts.
The PSO programme represents a significant expenditure of taxpayers' money, and funding has increased in recent years to cater for additional services and growing capacity. Any assessment of a proposed change to public transport fare structures would be a matter for the NTA to consider in the first instance.
In light of the NTA's responsibility in the matter, I have forwarded the Deputies questions in relation to the cost of the possible introduction of a price initiative for customers similar to that offered in Germany, 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. 306 answered with Question No. 305.
National Car Test
Ceisteanna (307)
Holly Cairns
Ceist:307. Deputy Holly Cairns asked the Minister for Transport the steps that he is taking to address the backlog and delays at NCT centres. [44317/22]
Amharc ar fhreagraFreagraí scríofa
The operation of the National Car Testing Service (NCTS) is the statutory responsibility of the Road Safety Authority (RSA). I have therefore referred the question to the Authority for direct reply.
I would ask the Deputy to contact my office if a response has not been received within ten days.
However, I am very aware of the challenges that the RSA and the NCTS are currently facing to meet demand and the delays which vehicle owners have encountered since the start of this year. This is a serious matter and my department will continue to monitor the RSA's progress in reducing test delays, as part of ongoing corporate governance processes, as well as supporting any appropriate requests from the RSA for assistance.
I am also given to understand that customers seeking test appointments may contact the NCTS directly, by calling 01-4135992, or may avail of the priority waiting list function via the NCT website www.ncts.ie. In the vast majority of cases, these vehicle owners are provided with an appointment within 30 days.
A referred reply was forwarded to the Deputy under Standing Order 51
Public Transport
Ceisteanna (308, 309, 310)
Holly Cairns
Ceist:308. Deputy Holly Cairns asked the Minister for Transport the steps that he is taking to ensure that there are regular inspections covering the operation of wheelchair accessible taxis and their operation, including the capacity of the driver to assist wheelchair users in accessing the vehicle. [44318/22]
Amharc ar fhreagraHolly Cairns
Ceist:309. Deputy Holly Cairns asked the Minister for Transport his views on increasing the fines for taxi drivers with wheelchair accessible taxis who refuse, without just reason, to transport wheelchair users in their vehicle. [44319/22]
Amharc ar fhreagraHolly Cairns
Ceist:310. Deputy Holly Cairns asked the Minister for Transport his views on establishing a national wheelchair accessible taxi company with a special app for wheelchair customers only. [44320/22]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 308 to 310, inclusive, together.
The regulation of the small public service vehicle (SPSV) industry, including SPSV licensing, as well as matters of enforcement and compliance in the SPSV sector, is a matter for the independent transport regulator, the National Transport Authority (NTA), under the provisions of the Taxi Regulation Acts 2013 and 2016.
Accordingly, I have referred your questions to the NTA for direct reply to you. Please advise my private office if you do not receive a response within 10 working days.
A referred reply was forwarded to the Deputy under Standing Order 51
Question No. 309 answered with Question No. 308.
Question No. 310 answered with Question No. 308.
Driver Test
Ceisteanna (311)
James O'Connor
Ceist:311. Deputy James O'Connor asked the Minister for Transport the number of applicants waiting for tests in each driving test centre; the length of time they have been waiting for such appointments; the length of time applicants have to wait for re-tests to be taken, in tabular form; and if he will make a statement on the matter. [44345/22]
Amharc ar fhreagraFreagraí scríofa
The operation of the national driving test service is the statutory responsibility of the Road Safety Authority. The information requested is held by them and I have therefore referred this question to the Authority for direct reply.
I would ask the Deputy to contact my office if a response has not been received within ten days.
A referred reply was forwarded to the Deputy under Standing Order 51
Driver Test
Ceisteanna (312)
James O'Connor
Ceist:312. Deputy James O'Connor asked the Minister for Transport the position regarding the recruitment of driving testers in Dungarvan, County Waterford; and if he will make a statement on the matter. [44346/22]
Amharc ar fhreagraFreagraí scríofa
The operation of the national driving test service and the employment of driver testers is the statutory responsibility of the Road Safety Authority (RSA). Information on the recruitment of driver testers in Dungarvan is held by the RSA. I have therefore referred this question to the Authority for direct reply.
I would ask the Deputy to contact my office if a response has not been received within ten days.
A referred reply was forwarded to the Deputy under Standing Order 51
Driver Test
Ceisteanna (313)
James O'Connor
Ceist:313. Deputy James O'Connor asked the Minister for Transport his plans to recruit driving testers to reduce the waiting times for driving tests (details supplied); and if he will make a statement on the matter. [44347/22]
Amharc ar fhreagraFreagraí scríofa
The operation of the national driving test service and the employment of driver testers is the statutory responsibility of the Road Safety Authority (RSA).
In early 2022, the RSA conducted a review of the current and evolving needs of the driver tester service. This recommended that the number of permanent driver testers employed by the RSA should be raised from 100 to 130.
The last increase in the number of permanent testers was in 2015. Anticipated future demand means that this is not going to be adequate into the future.
The Department considered the RSA’s request for these 30 additional posts and gave its approval in June 2022. This approval is subject to the condition that new testers are to be recruited via an Open Competition. An open competition is in line with the Code of Practice for Appointment to the Civil and Public Service, with appointments being made on merit and in an open, accountable, and transparent manner. Both the Department of Transport and the Department of Public Expenditure and Reform (DPER) are clear on this and the Authority has always been expected to adhere to the spirit of the Code in this and all other regards.
There is no alternative to following best practice in this matter. Neither the Department nor DPER can sanction any proposal for a confined competition to fill these sanctioned full-time and permanent posts. This would go against the well-established principles of open and transparent public service recruitment policy. It should also be borne in mind, that regardless of the nature of the competition, in the case of the expiry of a temporary contract of employment, in order to secure re-employment on a permanent basis, participation in a competition for such a position is required.
Small and Medium Enterprises
Ceisteanna (314, 315)
Carol Nolan
Ceist:314. Deputy Carol Nolan asked the Minister for Finance if he will address concerns that small businesses are being penalised for fraudulent activity which they had no knowledge of or responsibility for, with reference to a company (details supplied); and if he will make a statement on the matter. [41939/22]
Amharc ar fhreagraCarol Nolan
Ceist:315. Deputy Carol Nolan asked the Minister for Finance the steps that he will take to ensure that small businesses are protected from fraudulent activity (details supplied); and if he will make a statement on the matter. [41940/22]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 314 and 315 together.
The issues referred to in the details supplied relate to a disputed charge back transaction between a small enterprise here and a financial service provider.
I am informed by the Central Bank of Ireland that the financial services firm in question is authorised by the Federal Financial Supervisory Authority in Germany (BAFIN) as a payment institution and passports its services into Ireland on a freedom of establishment basis under the revised Payment Services Directive (PSD2). For payment institutions passporting into Ireland on a freedom of establishment basis, the Central Bank of Ireland is the competent authority responsible for the supervision of the conduct requirements set out in Parts 3 and 4 of the Payment Services Regulations which transposes PSD2 into Irish law.
The Central Bank is not in a position to comment on specific cases, however Part 3 of the Payment Services Regulations which transposes PSD2 into Irish law sets out information requirements which payment service providers are subject to including specific information that has to be provided in advance of a payment service being provided.
Regulation 75 of the Payment Services Regulation states that in good time before a payment service user is bound by a framework contract, the payment service provider is required to provide the payment service user on paper or on another durable medium with the information that is required to be contained in a framework contract, such as information relating to the use of the payment service, charges, interest and exchange rates and safeguards and corrective measures. This information is required to be in easily understandable words and in a clear and comprehensible form.
Also under Regulation 65, where in proceedings in relation to these Regulations a dispute arises as to whether or not the information requirements set out in Part 3 of the Payment Services Regulations have been complied with, the burden of proof rests with the payment service provider.
Should an individual not be satisfied with a payment service that is provided to them, they are advised to follow the regulated firm’s compliant handling process.
If they are not satisfied with the response from the regulated entity to that complaint, the person may then submit the matter to the statutory and independent Financial Services and Pensions Ombudsman.
Question No. 315 answered with Question No. 314.
Tax Code
Ceisteanna (316)
Fergus O'Dowd
Ceist:316. Deputy Fergus O'Dowd asked the Minister for Finance if a response will issue to concerns raised by an organisation (details supplied) in respect of capital acquisition tax; and if he will make a statement on the matter. [41968/22]
Amharc ar fhreagraFreagraí scríofa
Prior to Finance Act 2017, agricultural land which was leased for solar panels was not classified as qualifying agricultural property for the purposes of Capital Gains Tax retirement relief or agricultural relief from Capital Acquisitions Tax.
Following a review announced in Budget 2018, and in recognition of the then Government's commitment to facilitate the development of solar energy projects in Ireland, a revised approach was introduced whereby it is now possible for land leased for the installation of solar panels to be classified as qualifying agricultural property under certain conditions. A key condition is that the total area of land under lease and on which solar panels are installed does not exceed 50% of the total area of agricultural land.
While introducing this amendment, it was important that we did not lose sight of the fundamental principle which underpins our policy in relation to agricultural relief and retirement relief.
I recognise that allowing land leased for solar panels to be classified as qualifying agricultural property is an important element in encouraging solar energy projects. However, this must also be carefully balanced with the overarching objectives of this valuable relief which aims to encourage the inter-generational transfer of agricultural land which is being actively farmed.
My officials recently engaged directly with the organisation referenced by the Deputy on this matter. Department of Finance officials have also engaged with officials from Department of Agriculture, Department of Energy, Climate and Communications and Revenue in consideration this matter, as well as other solar energy policy measures, in a broader government context.
Pension Provisions
Ceisteanna (317, 326, 361, 376)
Réada Cronin
Ceist:317. Deputy Réada Cronin asked the Minister for Finance if he will request the Pensions Authority to reconsider its approach to one-person pension arrangements and extend the deadline for compliance with EU IOPR II directive to January 2023; if his Department, the Revenue Commissioners and the Department of Social Protection will work together to ensure the PRSA changes vis-à-vis the current one-member arrangements are made in the Finance Act 2023, given that without the necessary flexibility, providers and customers are facing a catastrophic situation, especially those with no other realistic alternative for their savings; and if he will make a statement on the matter. [41969/22]
Amharc ar fhreagra
Michael Healy-Rae
Ceist:326. Deputy Michael Healy-Rae asked the Minister for Finance if he will reconsider the approach to one-member pensions schemes; if he will extend the deadline for at least six months from 1 July 2022 to 1 January 2023 for compliance with institutions for occupational retirement pensions (details supplied); and if he will make a statement on the matter. [42170/22]
Amharc ar fhreagra
David Cullinane
Ceist:361. Deputy David Cullinane asked the Minister for Finance if he will advise on a matter raised in correspondence (details supplied); and if he will make a statement on the matter. [42668/22]
Amharc ar fhreagra
Michael Lowry
Ceist:376. Deputy Michael Lowry asked the Minister for Finance if his attention has been drawn to the current issue business owners face concerning their single-member scheme, personal retirement savings accounts; if his attention has been drawn to the fact that currently the Pensions Authority regulator is warning business owners they will face prosecution if they continue using their current pension schemes as under IORP II governance rules from 1 July 2022 and that their old single-member schemes are no longer compliant with guidelines; the alternative that will be put in place by the Government to assist these business owners; and if he will make a statement on the matter. [42873/22]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 317, 326, 361 and 376 together.
IORP II sets out minimum standards for the management and supervision of pension schemes, with the objective of ensuring the soundness of occupational pensions and better protections for scheme members and beneficiaries across the European Union. IORP II requirements were transposed into Irish law by way of the European Union (Occupational Pension Schemes) Regulations 2021 (S.I. No. 128 of 2021) which came into force on 22nd April 2021.
Implementation of IORP II and related policy which seeks to improve the governance and supervision of occupation schemes, ultimately benefiting pension savers, is a matter for the Pension Authority, an independent statutory body which is the Regulator for pensions in Ireland, and the Department of Social Protection, as the policy lead department in relation to such matters.
Accordingly, it would be inappropriate for the Minister for Finance to interfere in the supervision of compliance with the provisions of the 1990 Pensions Act or to direct the Pensions Authority to extend any IORP II related compliance deadline. Furthermore, IORP II requires Member States to ensure that competent authorities, such as the Pensions Authority, conduct their tasks in a transparent, independent and accountable manner.
Separately, the Report of the Interdepartmental Pensions Reform and Taxation Group (IDPRTG) published in late 2020 set out a number of measures to aid in the harmonisation and simplification of supplemental pensions. One of these relates to the abolition of the differential treatment of PRSAs for funding purposes, and the BIK treatment of employer contributions to PRSAs.
This Group comprising officials from the relevant Departments and organisations reconvened in 2021 to consider implementation of the various recommendations. A package of tax-related measures were enacted in the Finance Act 2021.
The Group continues its work to bring about further reforms of the supplemental pension landscape. Accordingly, a number of proposals from the Report are currently being worked on, some of which are technical in nature and others which have wider policy implications necessitating careful consideration through the normal policy channels. As you will be aware, any measures requiring legislative change would be subject to Government's and subsequently parliamentary approval, and there can be no guarantees until the relevant Bill is signed into law and enacted.