I have not had the opportunity to meet or speak with President Putin since coming into office.

My Department's primary role is to support me as Taoiseach, and the Government, in delivering on our programme of work.

During the next three months, my Department will therefore support delivery of significant Government policy objectives including:

- development of a Ten-Year Capital Investment Plan alongside the National Planning Framework;

- ensuring that Ireland's key Brexit priorities continue to be strongly represented in the ongoing negotiations between the EU27 and the UK;

- supporting the peace process and restoration of a power-sharing government in Northern Ireland;

- developing the Action Plan for Jobs 2018, including specific responses to the challenge of Brexit;

- finalising a roadmap for pensions reform;

- implementing Rebuilding Ireland to increase housing supply and tackle homelessness;

- developing the Government's response to the Slaintecare Report.

These are just a few of the many policies which will be progressed over that period.

In most of these areas, the primary responsibility lies with the relevant line Departments. The role of my Department is to help ensure that policies are developed and implemented in a coherent way across different Departments, and to support me in my role as head of Government. This includes my role as chair of Government meetings and Cabinet Committees, attendance at the European Council, and other national and international engagements.

My Department will also seek to ensure effective communication of Government policy in these and other areas, in particular through the new Strategic Communications Unit.

My Department is also currently updating its Statement of Strategy to reflect some of the changes that have taken place in recent months following my appointment as Taoiseach. This includes the establishment of a new configuration of Cabinet Committees, and some changes in the functions of Ministers of State in the Department

There is no statutory retirement age in the State, and the age at which employees retire is a matter for the contract of employment between them and their employers. Retirement age in the public sector is a matter for my colleague, the Minister for Public Expenditure and Reform. State pension age is currently 66.

Where a person exits the workforce before reaching State pension age they may apply for either the jobseeker’s benefit or jobseeker’s allowance schemes. Jobseeker’s payments are paid to eligible jobseekers aged 18 to 66 years and all recipients of a jobseeker’s payment are subject to the rules of the scheme. At the end of September, there were over 2,800 recipients of jobseeker’s allowance aged 65 and over.

People in receipt of a jobseeker's payment must engage with my Department's activation measures. From January 2014, these criteria were eased for people aged 62 and over, such that they are not obliged to engage with the activation process. However, they are still able to voluntarily avail of a range of supports from my Department if they wish to return to work, training or education.

Furthermore, the majority of these people will have to register with their local Intreo centre only once a year and their payments will be paid directly into their bank accounts. Once a person has exhausted their entitlement to jobseeker’s benefit, they may be eligible for jobseeker’s allowance, subject to the means test and other qualifying conditions. However, someone claiming jobseeker’s benefit from a date after their 65th birthday continues to be eligible for that payment until reaching State pension age which is currently 66 years of age.

Deputies on all sides of the House are fully aware of the positive benefits derived from schemes like the Rural Social Scheme. In recognition of the crucial work undertaken in rural communities under the scheme, and as part of the social welfare budget package for 2018, I was very pleased to announce an additional 250 places in 2018, as well as an increase in the weekly rate of payment for participants from March of next year.

Taking into account the 500 additional places already allocated as part of the social welfare Budget 2017, this brings the total number of Rural Social Scheme places to 3,350, nearly 30% of an increase in the last two years.

In order to qualify to participate on the scheme, all new entrants to the scheme since 1 February 2017 must be over 25 years of age and, in addition, a 6 year overall participation limit applies to participants joining the scheme from this date. Those who joined prior to this date may remain on the scheme if they continue to satisfy the eligibility conditions.

This will ensure that there will be a throughput of places available and also ensures that younger people have a chance to explore other training/education options prior to participation on the scheme.

As the Deputy knows, the scheme has played an important role in sustaining rural communities. Participants have the opportunity to improve existing skills, or develop new skills, while performing valuable work in their local communities. In tandem, communities benefit from the skills and talents of local farmers and fishermen and community groups have benefitted from the many projects undertaken through the scheme with minimal cost to the Exchequer.

Finally, the Deputy should note that while the Implementing Bodies have responsibility for the day-to-day operation of the scheme, including recruitment, my Department is working closely with them to ensure that all the places are filled as quickly as possible, along with the additional 250 places which will be allocated over the coming months.

As the Deputy will be aware, JobPath is a service that supports people who are long-term unemployed and those most at risk of becoming long-term unemployed to secure and sustain paid employment. It is important to note that these types of services, which are delivered under contract by JobPath, Local Employment Service and Job Club providers, do not create employment in themselves rather they assist jobseekers to enter or re-enter full time paid employment.

There are two phases to the JobPath service. During the first phase, of 12 months duration, an appointed personal advisor provides practical assistance in searching, preparing for, securing and sustaining employment. The second phase starts if the jobseeker is successful in finding work. During this phase the personal advisor continues to work with the jobseeker for a further period of at least three months, and up to 12 months.

As at 30 September, some 124,000 Jobseekers have commenced with the JobPath service. The latest published data indicates that full-time job starts under JobPath exceed the target rate set by 36%.

JobPath is a payment by results model and all costs are borne by the companies themselves.

The payments made are in respect of an initial registration fee, on completion of a personal progression plan, and thereafter fees are only paid for sustained employment outcomes of 13, 26, 39 and 52 weeks duration.

The gross cost of the service since July 2015 up to the end of September 2017 is €71.2m. The overall cost of the service will be determined by the number of people who engage with the service, the number of jobseekers who successfully sustain employment and less the saving arising to the department from a payment by results model of contracting.

I propose to take Questions Nos. 67 and 85 together.

The General Scheme of the Social Welfare and Pensions Bill 2017, which was published in May, contained a number of key measures to respond to the ongoing difficulties in defined benefit schemes and to increase protections for members. The proposals provide for -

i) the introduction of a time limit for submitting funding proposals and for the annual preparation and submission of actuarial funding certificates;

ii) the introduction of a minimum notice period when an employer decides to cease contributions to a scheme; and

iii) the Pensions Authority to direct payment of a funding obligation payable by the employer to the trustees of the scheme where a scheme is in deficit and the sponsoring employer has failed to adequately support the scheme to address the funding deficit.

Given the technical and complex nature of the provisions in the General Scheme, including the pension provisions, there was not adequate time to include all of these measures in the text of the Social Welfare, Pensions and Civil Registration Bill 2017 at Second Stage in the Dáil. It is my intention to introduce these amendments to the Bill at Committee Stage.

Finally, many of the provisions contained within the IORP II EU Directive (Institutions for Occupational Retirement Provision) will also support positive reform of the Irish occupational pension sector. Implementation of the Directive will require legislative changes and my officials, together with the Pensions Authority, are working on the transposition process to ensure that any necessary amendments to existing laws, regulations or administrative provisions will be made, or where necessary any new provisions are implemented, to give full effect to the Directive.

I hope this clarifies the matter for the Deputies.

A Public Services Card (PSC) and an online account called MyGovID may be issued to a person following successful completion of an identity verification process known as SAFE 2. This process authenticates a person’s identity to a substantial level of assurance.

Accordingly, SAFE 2, the PSC and MyGovID are investments in the future of public service provision. They will allow all public service providers over time to be assured that they are dealing with the right person, that identity fraud is minimised, that personal data can be protected, that high-value and personalised public services can be made available to individuals online and remotely, and that Ireland is aligned with the EU’s electronic ID regulations. As a result, more and more public services are beginning to use SAFE 2, the PSC and MyGovID in the provision of their services securely to individuals.

To date over 2.92 million Public Services Cards (PSC) have been issued at a cost of €23.25 million (excl. VAT).

Up to August 2016, when the process was ceased, approximately 1.385 million PSCs had been activated at a cost of €2.47 million.

I hope this clarifies the matter for the Deputy.

I propose to take Questions Nos. 69 and 72 together.

The independent review completed by Indecon of the changes to the one-parent family payment since 2012 provides a robust and thorough analysis of these changes. I am grateful to Indecon for their work on this and welcome the findings of the review.

The Report supports the rationale and continued relevance of the policy changes made since 2012. It highlights that employment rates increased among lone parents and welfare dependency decreased. However, the report also highlights the risk of poverty for lone parents with no or low-paid employment and the associated policy challenge to integrate these lone parents into the Irish labour market.

These findings reinforced my commitment to make lone parents one of my priorities in Budget 2018 and I have delivered on that commitment. Budget 2018 includes a €5 increase per week in the rates of payment, an increase in the qualified child payment of €2 per week, an increase in the earnings disregard on the one-parent family payment and jobseeker’s transitional payment from €110 to €130 per week. It also extended the fuel allowance season by an additional week, and provided for an increase of €10 per week in the working family payment thresholds (formerly the family income supplement) for families with 1 to 3 children and the continued availability of the back to work family dividend. All of these measures will benefit lone parents.

I intend to provide for the further review of my Department’s supports for lone parents and I anticipate that this review will include data to the end of 2018.

All of my Department’s major programmes and operational schemes, including the SAFE/Public Services Card (PSC) Programme, are included in the Department’s Business Planning and Risk Management System, and are reported on every quarter. Additionally, all projects are reviewed by the Department’s Programme Governance Committee (comprising the Department’s most senior managers) approx. every two months with status reports and risk assessments of the various programme elements.

The original Government Decision relating to SAFE identity verification and the PSC was made in 2005 and my Department began the implementation of SAFE registrations and the issuances of PSCs in 2011. My Department complied with all legal Data Protection requirements at that time. Privacy impact assessments will become a legal requirement under the new EU General Data Protection Regulation (“GDPR”) in May 2018.

The Department obviously takes its data protection obligations very seriously. Consequently the Department works extensively with the Data Protection Commissioner and consults regularly with her office on any major developments or proposed changes, including over the years in relation to the PSC. The Data Protection Commissioner is clear that all uses for the PSC must be set out in legislation and that the Department should be transparent in the provision of information on the programme. The Department fully agrees with that, and with the help of the Data Protection Commissioner’s Office, has published a Comprehensive Guide on SAFE Registration and the Public Services Card on its website.

SAFE identity verification and the PSC also allow the provision of an online account to individuals called MyGovID. All three are investments in the future of public service provision. They provide significant benefits in that they will allow all public service providers over time to be assured that they are dealing with the right person, that identity registration can be completed on a “once and done” basis, that identity fraud is minimised, that personal data can be protected, that high-value and personalised public services can be made available to individuals online and remotely, and that Ireland is aligned with the EU’s electronic ID regulations. As a result, more and more public services are beginning to use SAFE 2, the PSC and MyGovID in the provision of their services securely to individuals.

Since the introduction of the PSC, my Department has detected 167 cases of suspected identity fraud which have been referred to the Department’s Special Investigation Unit (SIU). Of these, 65 cases have been concluded with 22 finalised in Court (where 19 of them received a custodial sentence), 15 not proceeded (mainly due to the person leaving the jurisdiction), and 28 with formal proceedings issued and awaiting court appearance. Fraud overpayments of approx. €3 Million have been assessed in these 65 cases.

The other 87 cases are under investigation or at various stages of the prosecution process. Assessments will be determined for these (and any others in the future) as they are brought to conclusion.

Where a customer does not attend for a number of SAFE appointments without explanation, the relevant payment can be suspended. In general, experience is that where a claim is suspended as a result of a non-attendance for SAFE registration, the customer gets in touch and complies with SAFE registration, upon which payment is restored. SAFE-related savings are calculated in accordance with the relevant multiplier of the DSP scheme in payment. As of 31/07/2017, savings of over €3 Million has been recorded in respect of 438 cases of suspension. It is important to bear in mind that the SAFE registration process is a dynamic one, with a number of stages to be followed and statistics representing a snapshot at a particular point in time. Claim suspensions are a temporary measure and savings are not claimed where a claim is suspended and the customer subsequently complies with SAFE registration. The relatively small number of cases (438) of claimed savings for payment stopped reflects the generally very high overall rates of compliance with SAFE registration.

The introduction of the Free Travel variant of the PSC, i.e., the PSC-FT, has seen a significant reduction in the number of confiscations of free travel passes. In Q1 and Q2 2017, there were no PSC-FTs confiscated for attempted forgery and 59 PSC-FTs were confiscated as the photo on the card was not that of the cardholder. By contrast, in the same period, 19 paper Free Travel passes were confiscated across the CIE Group and Luas for attempted forgery and 134 paper passes were confiscated as the travel pass was not being used by the correct pass holder. Even this number of 134 is a significant reduction on the 323 paper passes confiscated in Q1 and Q2 2016 (a year earlier) arising from the fact that over 87% of free travel entitled customers now have the PSC-FT rather than a paper pass.

I hope this clarifies the matter for the Deputy.

I propose to take Questions Nos. 71 and 1187 together.

On 3 October 2017 I, together with my colleague the Minister for Justice and Equality, Charlie Flanagan T.D., announced increased maternity leave and maternity benefit for mothers whose babies are born prematurely.

Under the new arrangements, in addition to the current 26 weeks of paid maternity leave a mother will be entitled to an additional period of maternity leave and benefit where her baby is born prematurely, where she meets the ordinary qualifying criteria for the schemes. The additional period will commence at the end of the standard 26 week period of paid maternity leave. The extended period to be added will be the number of weeks from the baby's actual date of birth up to two weeks before the expected date of confinement which would have been the 37th week of the pregnancy, at which point the current entitlement to 26 weeks leave and benefit would normally begin.

The Government decided that the additional maternity leave and benefit would be available for mothers of premature babies born on or after 1 October 2017 and my Department is now working to make sure the necessary arrangements are put in place to meet that deadline. There are no plans to extend the new arrangements to mothers of premature babies born before that date.

Carer's Allowance (CA) is a means-tested social assistance payment, made to persons who are providing full-time care and attention to a person who has such a disability that they require that level of care. An application for CA can be disallowed because one or more of the qualifying conditions are not satisfied or because insufficient evidence is provided at application stage to establish the full-time care and attention needs of the cared for person or the means of the applicant.

During 2016, 31,881 CA applications were processed. Of these, 19,308 were allowed and 12,573 were disallowed or withdrawn by the applicant. Each decision notice offered the recipient a right of review and appeal.

When a person appeals a decision, the Social Welfare Appeals Office (SWAO) who are independent of the Department, send a notice of the appeal to the Department requesting a statement from the deciding officer showing the extent to which the facts and contentions advanced by the appellant are admitted or disputed.

At that stage a different deciding officer reviews in full the original decision which is under appeal and any additional statement or evidence provided as part of the appeal. It is quite often the case that additional information and evidence is supplied by the appellant at this stage, which may require further investigation by a Social Welfare Inspector or an opinion by a Medical Assessor.

This review can sometimes result in a revised decision by the deciding officer which means an appeal is no longer required. In 2016, 815 such cases were successful on review, resulting in the withdrawal of the appeal. Of cases examined by the SWAO in 2016, 1,375 were allowed, 145 were partially allowed and 1,237 were disallowed.

The Low Pay Commission was established through the National Minimum Wage (Low Pay Commission) Act 2015. Its principal function is, once each year, to examine the national minimum hourly rate of pay and to make a recommendation to the Minister regarding the rate, ensuring that any recommendations are evidence based, fair and sustainable, and do not create significant adverse consequences for employment or competitiveness.

EUROSTAT data indicates that the minimum wage in Ireland is the second highest in the EU, after Luxembourg. In terms of purchasing power standards, Ireland’s minimum wage currently ranks in 6th position. I have recently signed an Order increasing the national minimum wage to €9.55, with effect from 1 January next, on foot of the Commission’s most recent recommendation.

It is important that Ireland’s statutory National Minimum Wage and the Living Wage concept are not conflated.

The Living Wage is a voluntary societal initiative centred on the social, business and economic case to ensure that, wherever it can be afforded, employers will pay a rate of pay that provides an income that is sufficient to meet an individual’s basic needs, such as housing, food, clothing, transport and healthcare. The Living Wage is voluntary and has no legislative basis and is therefore not a statutory entitlement. It is different to the National Minimum Wage which is a statutory entitlement and has a legislative basis.

I have no plans to move away from current policy in relation to the National Minimum Wage.

The Scope insurability section in my Department makes statutory decisions on insurability of employment under the Social Welfare Act. Employers, employees or the self-employed may apply to Scope for an investigation of an employment status and a determination of the correct class of PRSI. Decisions are based on all available evidence, including a report from a social welfare inspector where appropriate, and the case law from previous court judgements.

A deciding officer in the Department has made a decision on the insurability of employment of a number of employees in Coillte. Coillte, as is their right, has appealed this decision to the Social Welfare Appeals Office.

The Social Welfare Appeals Office performs its statutory functions independently of the Minister for Employment and Social Protection and it would be inappropriate to comment on the matter under appeal.

Separately, the Department has received submissions from Coillte and from the employees’ trade union, IMPACT, in relation to certain aspects of the decision made by the Department. The Department is considering the issues and will revert to the interested parties in due course.

Bogus self-employment is where employees and employers wilfully evade income tax and social insurance liabilities. Departmental social welfare inspectors carry out visits to a wide range of businesses, as part of their ongoing compliance operations. Inspections can be undertaken jointly with other State agencies such as the Revenue Commissioners and the Workplace Relations Commission. Where evidence of non-compliance is detected, this will be pursued.

The Scope insurability section in my Department is responsible for decisions on the insurability of employment under the Social Welfare Act. Employers, employees or the self-employed may apply to the section to have an employment or self-employment status investigated and the correct class of pay-related social insurance (PRSI) determined.

Where the misclassification of workers as self-employed is detected, the correct insurability status of the person concerned is determined and social insurance arrears are collected.

Under the Social Welfare Consolidation Act, there are specific offences in relation to employment contributions, their remittance and the maintenance of prescribed wages and employment records. On conviction, fines and-or imprisonment can ultimately be imposed.

Any worker who has concerns about their employment and PRSI status should contact my Department and the matter will be fully investigated.

My Department is concerned that certain employment structures may be being used to reduce the amount of PRSI and tax being paid, with a subsequent loss to the exchequer and the Social Insurance Fund. An interdepartmental working group, comprising officials from my Department, the Department of Finance and the Revenue Commissioners has been examining the issue and I expect to receive a report shortly.

Legitimate self-employed workers pay PRSI at the class S rate and have access to social insurance benefits such as State pension (contributory) and widow's, widower's or surviving civil partner's pension (contributory), as well as guardian’s payment (contributory), maternity benefit, adoptive benefit and paternity benefit. They also can access the treatment benefit scheme and, from December 2017, the invalidity pension.

I am committed to maintaining and enhancing the social protection rights of all workers, employees and the self-employed, while ensuring that they make the appropriate contribution to the social insurance fund to pay for these benefits and entitlements.

In 2005, the Government approved a rules-based standard for establishing and authenticating an individual’s identity for the purposes of access to public services. This standard is known as the Standard Authentication Framework environment – or SAFE. A person who successfully completes a SAFE 2 registration process (i.e. verifies their identity to a substantial level of assurance) may be issued with a Public Services Card (PSC). In the case of my Department’s own services, the legislation governing identity verification for existing claimants is set out in the Social Welfare Consolidation Act 2005, as amended, viz

- Section 247C(1) of the Act provides that the Minister may require any person receiving a benefit to satisfy the Minister as to his or her identity;

- Section 247C(2) of the Act specifies the consequences of failure to satisfy the Minister in relation to identity as required, specifically that a person shall be disqualified from receiving a benefit; and

- Section 247C(3) of the Act specifies the manner in which the Minister may be so satisfied; in effect, this Section describes the process for registering a person’s identity - this is the SAFE 2 Process.

This legislation requires a person to satisfy the Minister as to their identity and allows disqualification from receipt of a benefit in the event that it is not done. It is not possible for a person to satisfy the Minister as to his or her identity without being SAFE2 registered.

The decision to stop a payment is never made lightly. However, where a customer does not satisfy the Minister in relation to identity, in accordance with the legislative requirements, a payment can be disqualified. In advance of any such disqualification, the Department makes every effort to engage with the customer to explain the legislative basis for the SAFE2 registration process and the consequences of potential disqualification. Where a payment has been disqualified and the customer subsequently successfully completes the SAFE2 registration process, their payment will be reinstated by my Department (assuming they continue to meet all qualifying criteria for that payment) from the date of compliance.

I hope this clarifies the matter for the Deputy.

Section 34 of the Pensions Act 1990 provides the legislative basis for minimum transfer values for defined benefit schemes. It sets out that regulations may prescribe how the transfer payment is to be calculated in accordance with professional guidance issued by the Society of Actuaries or other person, including the Pensions Authority and the Minister for Employment Affairs and Social Protection. The standard transfer value and elements of its basis are used or referenced for a number of items in addition to voluntary transfer payments including the minimum funding standard liability calculations.

Up until 2013, the Society of Actuaries in Ireland Actuarial Standard of Practice PEN-2, Retirement Benefit Schemes Transfer Values, was the professional guidance underlying the calculation and the basis for setting the level of technical provisions required. This guidance was reviewed and updated regularly by the Society of Actuaries in Ireland and changes were subject to ministerial approval. As the standard transfer value basis incorporates assumptions and judgements more appropriate to governmental or regulatory determination there was some concern about the scope of the Society’s role in relation to issues and principles of a public policy nature. It was therefore decided that the regulatory determination of pensions policy aspects would rest more appropriately with the Department and the Pensions Authority with the Society providing technical advice.

In 2014 the Pensions Authority set out in prescribed guidance the pensions policy matters relating to section 34 of the Pensions Act and defined benefit transfer values. This guidance “Prescribed Guidance in Relation to Section 34 of the Pensions Act, 1990” is subject to Ministerial consent and provided for under the Occupational Pension Schemes (Preservation of Benefits) (Amendment) Regulations 2014 -S.I. No. 218 of 2014. The guidance sets out the assumptions which must be used in calculating a transfer payment on a standard basis and is in addition to the Society of Actuaries in Ireland Guidance. The guidance sets out financial and non-financial assumptions.

Earlier this year the Pensions Authority submitted a discussion paper to the Department to assist in its consideration of the funding standard for defined benefit schemes with the aim of examining whether there are changes that could be made to the funding standard to make it easier to comply with, but without compromising its role of ensuring adequate advance funding and oversight of over €60 billion of defined benefit obligations. When this review is complete the Department will make recommendations to me for any changes considered appropriate to the funding standard basis.

I hope this clarifies the matter for the Deputy.

Government policy to reduce unemployment is twofold. First, through policies set out in the Action Plan for Jobs, to create an environment in which business can succeed and create jobs; and second, through Pathways to Work to ensure that as many of these new jobs and other vacancies that arise in our economy are filled by people taken from the Live Register.

The Pathways to Work 2016-2020 strategy continues to prioritise actions for the newly unemployed and also includes a range of measures for the long-term unemployed. This includes the payment-by-results services of JobPath to engage more systematically with the long-term unemployed; providing targeted wage subsidies under JobsPlus; and reserved places for long-term unemployed jobseekers on employment and training programmes.

The unemployment rate in the South East is still relatively high at 8.1% (Q 2 2017) as compared with the national average of 6.4%; data on the official unemployment rate are not available at the sub-regional level.

In relation to ‘blackspots’ with a high concentration of unemployment, as identified in the Census, it is important to recognise that DSP services through Intreo are focused on unemployed individuals rather than on areas. This means, nonetheless, that those areas where unemployed individuals are most concentrated will also be the areas that receive a greater share of DSP income support payments and activation and employment services.

The Action Plan for Jobs 2017 includes actions aimed at stimulating regional growth, including the progression, monitoring and support of the eight Regional Action Plans for Jobs, which through public and private sector collaboration seek to build on existing strengths and assets and identify opportunities within each region, and realise the national Action Plan’s regional employment targets.

The South East Action Plan for Jobs is the key policy response for supporting employment growth in the South East region. The Key Targets for the SE RAPJ are as follows:

- Increase employment in the region by 10%-15% over the period to 2020. This will see the creation of 25,000 new jobs in the region.

- Increase the number of IDA investments in the region by 30-40% up to 2019. This will result in a minimum of 44 additional projects for the region by 2019.

- Achieve an increase of at least 25% in the number of start-ups in the region, and a 25% improvement in the survival rate of new businesses.

- Increase jobs in export-led sectors by 20% across the region by 2020.

- Increase the value of agri-food exports by 85% by 2025.

- Develop the South East as a key destination as part of Ireland’s Ancient East experiences, to achieve a target to grow overseas tourism numbers by an extra 300,000 with 5,000 associated jobs being created.

- Establish a new Regional Skills Forum to ensure closer collaboration between employers and the education system in identifying and meeting the skills needs of the region and promoting the range of roles and career paths available in the region.

- Develop Smart Specialisms as new sources of growth in the South East, in particular where the region has both a research base and an enterprise base that can exploit emerging technologies from that research.

Progress Reports on the SE RAPJ are being published twice yearly.

The first progress report for the South East Region was published last December and the second Report was published on 26 June. Both reports show that good progress is being made in the implementation of the Action Plan.

As a result of a focused collaborative approach and a range of reforms delivered in the region over recent years, the unemployment rate in the South East has fallen from 12.8% in 2015 to 8.1% by Q2 2017.

Some 13,000 jobs were created in the South East from the start of 2015 to Q2 2017.

I am confident that the range of measures outlined, and continuing economic recovery, will support further reductions in unemployment nationally, regionally, and in the blackspot areas.

The new weekly Telephone Support Allowance (TSA) of €2.50 will be paid from June 2018. People in receipt of the Living Alone Allowance and also Fuel Allowance will automatically qualify for the TSA. It is expected that approximately 124,000 customers will qualify for the scheme at a cost of €16 million in 2018.

The primary objective of the TSA is to allow the most vulnerable people access to personal alarms or phones for security. The allowance will also encourage social contact and assist in the prevention of social isolation for those living alone.

The criteria for the TSA are framed in order to direct the limited resources available to my Department in as targeted a manner as possible. Fuel Allowance is a means tested payment ensuring that the TSA payment goes only to people on low income who live alone.

Accordingly, I have no plans at this time to change the criteria for the TLA as suggested by the Deputy.

Any decision to do so would considerably increase the overall cost of the scheme and would have to be considered in the context of overall budgetary negotiations.

I hope this clarifies the matter for the Deputy.

All dealings and decisions made by corporate or individual trustees of occupational pension schemes are governed by legislation and enforced through the supervision of the Pensions Authority.

Legislation together with the trust deed and scheme rules set out the trustees’ duties and responsibilities. Trustees of pension schemes must act in the best financial interests of the scheme members and must serve all beneficiaries of the scheme impartially.

The Pensions Authority’s Trustee Handbook lists numerous trustee responsibilities including chapters on payment of contributions; investing a scheme’s assets; payment of benefits; payment of fees; preservation and transfer of benefits; the minimum funding standard; disclosure of information; and equal pension treatment.

The rules governing the role of trustees are constantly being reviewed. The Pensions Authority carried out a public consultation in 2015 on proposals to impose higher standards for trustees.

Last year the Pensions Authority conducted a consultation process on the reform and simplification of pensions, the purpose of which is to impose higher standards on all occupational schemes. The transposition of the new EU IORPS 2 Directive by January 2019 will further advance the duties and supervision of trustees.

The Pensions Authority is the regulatory body charged with the supervision of pension schemes and has the necessary powers under statute to investigate the conduct of a pension scheme should it become aware that the trustees of a scheme are not in compliance with the provisions of the Pensions Act.

I hope this clarifies the matter for the Deputy.

The risk of fuel poverty is influenced by a combination of fuel prices, weather, income and the heat efficiency of housing. My Department will continue to ensure that those on low incomes and those who are more vulnerable to energy poverty are supported through the fuel allowance and the household benefits package.

The fuel allowance is a payment of €22.50 per week from October to April, to over 376,000 low income households, at an estimated cost of €229 million in 2017. This payment assists these households with the higher energy costs that arise in that period. It is a contribution towards the energy costs of a household. It is not intended to meet those costs in full. Only one allowance is paid per household. In Budget 2018 I announced that the fuel allowance season will be increased by one week to 27 weeks in total.

Households who receive the fuel allowance now have the option to receive their payment in two lump sums – one at the start of the fuel season in October and the second in January. This will enable people to buy fuel in bulk and potentially avail of special offers or discounts on the purchase of the particular fuel that meets their specific needs.

Approximately 51,000 households have opted to receive their fuel payment by lump sum and approximately 325,000 households are still receiving the fuel allowance payment weekly.

My Department also pays an electricity or gas allowance as part of the household benefits package to over 430,000 customers, at an estimated cost of €232 million in 2017.

Under the supplementary welfare allowance scheme, a special heating supplement may be paid to assist people in certain circumstances who have special heating needs due to ill health or infirmity. Exceptional needs payments may also be made to help meet an essential, once-off cost which a person is unable to meet from his/her own resources.

I hope this clarifies the matter for the Deputy.

In July 2017 the Government agreed to the taking of a Census of Population in Ireland in 2021.

It is essential that census data remains relevant, up-to-date and reflective of modern Ireland. To fulfil this obligation, and as part of the preparatory phase for the census, the CSO is conducting a public consultation on the content of the 2021 questionnaire. A notice to this effect was published in the national press and on the CSO website in early October 2017 seeking submissions, and all Government departments together with public bodies and interested individuals were contacted for their input. Submissions could be made online, by email or by post.

A Census Advisory Group made up of representatives of Government departments, public bodies, universities, the social partners and CSO personnel will now consider the submissions and make recommendations on the questions to be tested in a census pilot which will be undertaken in September 2018. The purpose of the pilot is to test new questions, changes to existing questions, and new field methodology in a selection of areas across the country.

The expert group will then assess the results of the Pilot and make recommendations on the content of the Census 2021 questionnaire. This final content of the questionnaire will be submitted for Government approval in early 2019.

The classification of the Approved Housing Bodies (AHBs) is currently being reviewed by the CSO in response to an action point arising from the 2017 EDP Dialogue Visit to Ireland by EUROSTAT. This work is still in progress with priority being given to the larger AHBs - comprising Tier 3 of the voluntary regulatory structure. Part of this review is the compilation of data on the finances of the AHBs. Until this work is complete it is not possible to estimate the potential impact of any reclassification. Any potential impact on the government deficit and debt should a reclassification take place would be confined to that arising from private sources of financing to the AHBs as any financing of these organisations by government is already reflected in the government deficit and debt figures.

I propose to take Questions Nos. 89, 95, 97, 99, 121 to 124, inclusive, and 127 together.

The Director of the Strategic Communications Unit informed the Secretary General of my Department that he was invited by the PRII to address its members.

As part of the Government's eGovernment strategy 2017- 2020 the Office of the Chief Information Officer has been working on the development of a Digital Service Gateway - a single digital point where citizens can easily access information about the Government services that are available to them. This work, which began at the beginning of this year is ongoing and will involve the rationalisation of existing Government websites and online services over time. The project will be managed and developed by existing resources within the civil service.

A series of meetings between the Director and Staff in the SCU with Ministers, Secretaries General and officials across departments have taken place over the past month.

At the meetings, it has been noted that the the Director of the SCU briefed the Minister and Secretaries General on the work of the Unit and the role it will play in improving effectiveness, efficiency and cross Government cooperation to foster and develop a whole of Government approach to communications.

I meet with the Director of the Strategic Communications Unit as part of a sub group of the Civil Service management board on a regular basis.

As part of the planning process in setting up The Strategic Communications Unit and to emulate international best practice the Director and staff of the Unit consulted with their counterparts in the UK, and the Netherlands to learn how those countries go about communicating the work of Government to their citizens in a cohesive and whole of Government way and will continue to consult with international counterparts to seek to adhere to international best practice.

The decision to set up the SCU was informed by a need to streamline how Government communicates with its citizens.

As an initial step, my Department conducted some research on existing communications activities, including the range of campaigns, brands and channels of communication used by different agencies, and which have built up over many years, under successive governments. This research is ongoing and will be used by civil service management to help frame the work plan for the new unit. The results of that research will be published upon completion.

I propose to take Questions Nos. 90 to 93, inclusive, 128 and 129 together.

I attended the European Council in Brussels on Thursday 19 and Friday 20 October. The agenda included Migration; Digital Europe; Security and Defence; and External Relations. The Future of Europe was discussed over breakfast on Friday. There was then a European Council Article 50 - without the UK - which discussed progress in the Brexit negotiations.

Iran was discussed as part of the the external relations items on Thursday evening. France, the United Kingdom, Germany and the EEAS all voiced their strong support for the Joint Comprehensive Plan of Action (JCPOA) and confirmed that it continues to function. This is a key element of the nuclear non-proliferation global architecture, and is crucial for the security of the region. Ireland together with all other Member States has re-affirmed our commitment to all parts of the JCPOA, and to its continued full implementation.

Neither the situation in Catalonia nor Article 155 of the Spanish constitution was discussed.

I was invited, along with the Dutch Prime Minister, to join the leaders of the Nordic and Baltic countries - Sweden, Denmark, Finland, Estonia, Latvia and Lithuania - for a meeting ahead of the European Council discussions. Although Ireland is not part of a formal group in the EU, as a small northern European nation with an open economy, we have similar positions on many issues, particularly economic issues. I was very pleased therefore to attend this meeting with like-minded partners and to have the opportunity to share our views, including on the future of Europe debate.

I had no bilateral meetings with Prime Minister Michel, President Macron, Chancellor Merkel or Prime Minister May in the margins of the October European Council although I did, of course, greet and interact with these and other colleagues over the course of the European Council itself.

The Future of Europe was discussed over breakfast on Friday 20 October. This came in the context of an ongoing process, and discussions at a series of informal Summits in Bratislava, Valletta, Rome and Tallinn.

President Juncker and President Macron have also recently made useful contributions to the debate on the Future of Europe and possible EU reforms. At the meeting on Friday 20 October, it was agreed that the unity of the EU is particularly important and there was general support for the process proposed by President Tusk, on the basis of his ‘Leader’s Agenda.’

I expressed strong support for this approach and thanked President Tusk for taking the time to speak informally to all the 28 Heads of State or Government in advance of the meeting.

It is important that we approach the debate on the future of Europe in a positive way - membership of the European Union has been and will remain very important to Ireland. I will continue to engage actively and to seek to use our influence to shape this debate in a way that reflects our priorities and concerns.

I propose to take Questions Nos. 94, 112 to 115, inclusive, and 118 together.

My meeting with President Macron in Paris covered bilateral relations, the Brexit negotiations, and the future of Europe.

We noted the extensive trading relationship between us and agreed that this provides a solid platform on which to build into the future, especially as Ireland looks to grow and diversify markets in the context of Brexit.

We also discussed our cooperation in other areas, including the EU Training Mission in Mali, and our joint commitment to the planned Celtic Interconnector that will link our electricity networks.

On Brexit, we welcomed the progress achieved to date in the negotiations and agreed that further work is required on the three withdrawal issues - citizens' rights, financial settlement and Irish/Northern Irish issues - before the European Council can agree that sufficient progress has been made in order to move onto phase two. I thanked the President for his continuing understanding and support on Irish-specific issues.

On other EU issues, we agreed on the importance of supporting agriculture and protecting our vital interests in the ongoing Mercosur negotiations.

We also agreed on the enormous potential of the digital economy. I outlined my view that the best way to achieve a successful outcome in the taxation area is to support the work underway at the OECD.

I acknowledged the renewed energy that President Macron has brought to the debate on the future of Europe, and outlined my view that we need to focus on where Europe can have concrete and positive impacts on the lives of our citizens.

We also discussed our respective plans to bring the debate on Europe to the public, through the citizens’ dialogue, and other mechanisms.

The Civil Service Management Board has established a Subgroup to give a whole-of-government approach to strategic communications. This Subgroup held its first meeting on Wednesday 25th October and is chaired by the Secretary General of my Department. Members include the Secretaries General of the Departments of Public Expenditure and Reform; Health; Housing, Planning and Local Government; Agriculture, Food and the Marine; Transport, Tourism and Sport; Rural and Community Development; Business, Enterprise and Innovation; Culture, Heritage and the Gaeltacht; Foreign Affairs and Trade.

My Department currently has four active tenders.

The EU 28 data for the number of underemployed part-time workers aged 15-74 years as a percentage of total employment are sourced from the EUROSTAT website (Data Series lfsa_sup_age)

The following table shows number of underemployed part-time workers aged 15-74 years as a percentage of total employment for the year 2016 and are the latest EU 28 data available:

Underemployed part-time workers aged 15-74 years as a percentage of total employment in the EU 28

JH

Source: EUROSTAT Data Series - lfsa_sup_age

I propose to take Questions Nos. 101, 102 and 104 to 106, inclusive, together.

The cost of the insight and market research contract is estimated at €130,000 ex vat. As stated in the RFT, Phase 1 of the research should be available in early 2018, the research will be published when available.

There is no external company undertaking an audit of my department's website.

The last time my Department's website was revamped or remodelled was in 2013 at a cost of €9,014.50. The total cost of investment in my Department’s website since 2011 is €49,257.33.

As part of the Government's eGovernment strategy 2017- 2020 the Office of the Chief Information Officer has been working on the development of a Digital Service Gateway - a single digital point where citizens can easily access information about the Government services that are available to them. This work, which began at beginning of this year is ongoing and will involve the rationalisation of existing Government websites and online services over time. This project will be managed and developed by existing resources within the civil service.

I meet with the Director of the Strategic Communications Unit as part of a sub group of the Civil Service management board on a regular basis. The Strategic Communications Unit is a unit within my Department and, therefore, meets with Departmental officials on a regular and ongoing basis.

My Department is located in Government Buildings, which is provided by the Office of Public Works. There are already two defibrillators in the building. The National Economic and Social Development Office comes under the aegis of my Department, but does not occupy a public building.

There are five Press Officers in the Government Press Office. A dual reporting relationship is in place whereby Press Officers report to both the Head of Corporate Affairs and the Assistant Government Press Secretary. There is also a vacancy at Clerical Officer level in the Government Press Office which is in the process of being filled via the Public Appointments Service.

The performance of my Department is dependant on the knowledge, skills, competencies and commitment of its staff. Achieving improved performance through appropriate and relevant continuing professional development programmes continues to be an integral element of ensuring my Department achieves its strategic objectives.

All staff of my Department, both established and unestablished Civil Servants, are encouraged to participate in continuing professional development programmes. In addition to such programmes, financial assistance for further or higher education is available to staff of my Department under the Refund of Fees Scheme as set out under the Department of Finance's Circular 23/07 .

Details of membership by staff in my Department in professional organisations in the years 2011 to date in 2017, and associated cost, are set out as follows:

2011

2012

2013

2014

2015

2016

To 06/11/2017

My Department engaged Q4 Public Relations to provide public relations and communications services for the Data Summit, which took place in Dublin in June 2017. The company was tasked with promoting the Data Summit to both a national and international audience, including industry, academia, not-for-profit sector as well as the wider public. The company was selected following a competitive tendering process and the total cost of the services was €30,750 (inclusive of VAT). The Department has not engaged any other public relations companies or agencies this year.

The National Economic and Social Development Office (NESDO) is grant funded from my Department's Vote. NESDO's payments and accounting practices, including the use of credit cards for official purposes, are audited annually by the Comptroller and Auditor General.

The table below provides details of public relations companies engaged by my Department from 1 January 2012 to 31 October 2017:

Since becoming Taoiseach, I have participated in the European Council meetings in Brussels in June and October, and the Digital Summit in Tallinn in September. In advance of the October European Council, I also participated in a meeting with the leaders of a number of like-minded partners - Latvia, Lithuania, Estonia, Finland, Sweden, Denmark and the Netherlands.

I had separate bilateral meetings in Brussels in June with President Tusk, President Juncker, Chancellor Merkel and Estonian Prime Minister Ratas.

I met bilaterally with President Draghi in Dublin in September, with Prime Minister Rutte in Tallinn in September and with President Macron in Paris in October, and with the European Parliament’s lead Brexit negotiator Guy Verhofstadt in Dublin in September.

I met with Prime Minister May in London in June and again in September and we have also had a number of telephone conversations.

My Department does not have contracts with the company in question, nor does the only body under the aegis of my Department, namely the National Economic and Social Development Office (NESDO).

Details of my special advisers are as follows:

- Brian Murphy, Chief of Staff, paid at Deputy Secretary grade;

- John Carroll, Head of Policy and Programme Implementation, paid at Assistant Secretary grade;

- Nick Miller, Spokesman and Communications Adviser to the Taoiseach, paid at Assistant Secretary grade;

- Patrick Geoghegan, Special Adviser, paid at Assistant Secretary grade;

- Angela Flanagan, Special Adviser, paid at Principal Officer grade;

- Philip O’Callaghan, Special Adviser, paid at Principal Officer grade;

- Jim D’Arcy, Special Adviser, paid at Assistant Principal Officer (Higher) grade.

Mark O’Doherty and Gregory Harkin are special advisers to the Government Chief Whip and both are paid at Principal Officer grade.

Prior to taking up their current roles, Brian Murphy and Nick Miller were special advisers to me in my capacity as Minister for Social Protection; Angela Flanagan was special adviser to the former Taoiseach, Mr. Enda Kenny T.D; and Mark O’Doherty was special adviser to the former Government Chief Whip, Ms Regina Doherty T.D.

Brian Murphy; Nick Miller, Patrick Geoghegan, Angela Flanagan, Philip O’Callaghan, Mark O’Doherty and Greg Harkin were appointed on 14 June, 2017 as stated in the Government Order dated 26 July, 2017. John Carroll was appointed on 5 July, 2017 also by that Order.

Jim D’Arcy was appointed with effect from 4 September, 2017 as stated in the Government Order dated 3 October, 2017.

All of these Special Advisers were paid as soon as practicable after their appointment.

All staff in my Department, including special advisers, are subject to the Official Secrets Act 1963. Special advisers provide briefings and policy advice to me as Taoiseach or to the Government Chief Whip. They therefore have access to relevant material and papers as required.

There are no outstanding orders relating to the appointment of special advisers in my Department.

Cabinet Committee A did not meet in October. It met on 12 September and the next meeting is scheduled for 23 November.

My Department's budget for 2018 has decreased by 2% compared to 2017. Savings are expected to be achieved under the subheads Tribunals of Inquiry and Citizens' Assembly in 2018.

The focus of the new Strategic Communications Unit established in my Department will be to streamline Government communications for citizens, develop and deliver major cross-Government communication campaigns, and improve communications capacity across Government.

Exchequer savings will be delivered by the Strategic Communications unit in 2018 through efficiencies generated by:

- cross-Governmental collaboration on major campaigns;

- more efficient use of technology platforms;

- consolidated media buying;

- efficient third-party contract management;

- rationalising design projects;

- streamlining participation in national events; and

- increased communication capacity within Departments.

In this way, the Strategic Communications initiative is expected to be cost-neutral in 2018.

From 1 January 2017 to 31 October 2017, my Department spent a total of €8,614.64 on photography. The use of a photographer is for official events/functions. Increasingly my Department utilises its own staff to take photographs in-house, thereby reducing costs.

Communication to our citizens is an essential public service: the public has a right to know what their government is doing on their behalf, and why. That is why communications should be treated as a strategic, whole-of-government activity which should be conducted to the same level of professionalism as any other activity, such as human resource management or financial management.

Following due consideration and discussion, the Cabinet decided that a Strategic Communications Unit should be established in the Department of the Taoiseach.

Based on international best practice, and with the citizen at the centre of its work, the focus of this Unit is to simplify Government communications and to increase efficiencies across the public sector when dealing with the Irish public.

The Strategic Communications Unit has been integrated within the Civil Service structures in my Department, with the Director of the Unit reporting to the Secretary General of the Department.

The Civil Service Management Board (CSMB) has established a sub group of the CSMB which acts as a high-level working group to ensure successful oversight and delivery of the workplan of the unit, and is chaired by the Secretary General to the Government.

As an initial step, my Department conducted some research on existing communications activities, including the range of campaigns, brands and channels of communication used by different agencies, and which have built up over many years, under successive governments. This research is ongoing. The results of that research will be used by civil service management to help frame the work plan for the new unit.

My Department engaged with the Department of Public Expenditure and Reform on funding for the unit as part of the Estimates process - a process which saw my Department's funding decrease in 2018.

I propose to take Questions Nos. 132 to 135, inclusive, together.

A key part of the modernisation of Government communications is the greater use of social media. Recent initiatives in my Department such as videos relating to Ireland's Rugby World Cup Bid, information about going back to school, the budget and treatment benefits cost approximately €21,895 in total. Sponsored posts appeared on Facebook, YouTube and Twitter. Targeting for these was broadly-based to 'all adults'.

No State agencies or other emanations of the State fall under the remit of the Strategic Communications Unit and it has no role in relation to staff in those entities.

The main task of the Strategic Communications Unit is to simplify Government Communications and to increase efficiencies across the public sector when dealing with the Irish public.

Having regard to the confidential nature of the National Security Committee, it would not be appropriate to disclose information about the dates of individual meetings or about its proceedings.

The Committee is chaired by the Secretary General to the Government and comprises representatives at the highest level of the Departments of Justice and Equality, Defence and Foreign Affairs and Trade, and of the Garda Síochána and the Defence Forces.

It is concerned with ensuring that the Government and I are advised of high level security issues and the responses to them.

The Committee meets as required and will continue to do so. In addition to the meetings, the members liaise on an ongoing basis to monitor developments that might have national security implications, in particular in the international arena.

The Programme for Research in Third-Level Institutions (PRTLI) was launched in 1998, with five cycles of expenditure to date.  The Programme is designed to facilitate Ireland’s HEIs to produce world class research in key strategic areas such as bioscience/biomedical; medical technologies; energy, environment and marine; food and drink; social sciences and humanities; ICT and advanced communications and; platform technologies and materials.

PRTLI has supported the provision of top-class research infrastructure (buildings, laboratories and cutting edge equipment) as well as human capital development, through Structured PhD/Emergent Technology programmes across Ireland’s Higher Education Institutes (HEIs).

My Department took over responsibility for the PRTLI in May 2010, from the Department of Education and Skills.  My Department is meeting the remaining liabilities from Cycle 5 of PRTLI.  The funding allocation for 2017 is €14.4m. Capital projects are initially financed by the HEIs and the monies are then reclaimed from the Higher Education Authority which administers the PRTLI on behalf of my Department. 

 PRTLI Exchequer Payments 2002-2017

The table contains the detail of the funding spent on the Programme for Research in Third-Level Institutions in each of the years 2002 to 2016 and to date in 2017.  This table shows that over the period, an amount of €833.8 million was spent on PRTLI. 

The funding announcements made in the context of Budget 2018 will allow the Government to start making new investments that will address objectives encompassed by previous cycles of PRTLI.

The Programme for Research in Third Level Institutions (PRTLI) has been an important funding programme in developing research capacity within the higher education system in Ireland. Approximately €1.2bn of public and private funding has been invested through PRTLI since the commencement of the programme in the late 1990s. PRTLI has complemented other research funding programmes of Government including in particular the funding provided by my Department through Science Foundation Ireland (€162m in 2017).

Innovation 2020 includes an action to scope out and develop a successor to PRTLI to support new investment in research infrastructure. It also contains an action to increase the enrolment of PhD and research masters students. The creation of additional physical space for research and funding for structured programmes for postgraduate researchers are two key elements associated with previous cycles of PRTLI.

In the context of Budget 2018, the Government announced that €7.5 million would be made available through my Department in 2018 to commence a new programme specifically aimed at increasing the enrolment of PhD and research masters students as per the action in Innovation 2020. This particular programme is to be rolled out through Science Foundation Ireland and further detail on the programme will be provided by SFI in the coming months.  I envisage that additional funding will be provided in 2019 and subsequent years to continue growing this programme and to allow for new student intake in subsequent years.

In the context of Budget 2018, the Minister for Education and Skills also announced a range of measures addressing physical infrastructure and human capital development in the higher education sector including for research. This includes €21m to increase the pipeline of researchers across all disciplines and €200 million for Public Private Partnerships with a particular focus on physical capital needs across the Institute of Technology sector. It also includes an additional €257 million over the period 2018 to 2021 for higher education institutions to expand capacity and upgrade campus infrastructure, including for research.

The funding announcements made in the context of Budget 2018 will allow the Government to start making new investments that will address objectives encompassed by previous cycles of PRTLI.

There has been no confirmation of any investment project involving the company referred to.

It remains the case that discussions between IDA Ireland and companies regarding potential investments here are confidential on account of commercial sensitivity.  Moreover, speculation about potential investment projects in advance of their confirmation can be damaging and - in certain circumstances - result in their cancellation.  

I fully appreciate that Storm Ophelia will have caused considerable difficulties for various businesses around the country from sole traders, to locally trading retailers and distributors, to SME's that operate nationally or internationally.

My advice is that the company engages in the first instance with its Local Enterprise Office. The Local Enterprise Office is the first-stop-shop for any person that wants to start or grow it's business.

The Local Enterprise Office will be able to offer advice on how the business might protect and develop its domestic and export markets, on sources of finance to invest in that development, on mentoring or training supports to realise their development plans, and to advise on which State agencies and programmers might support that development.

I suggest therefore that the company should contact Tipperary LEO at https://www.localenterprise.ie/tipperary  head of Enterprise.

My Department has not engaged an external company to undertake an audit of its website.

Accommodation for my Department is provided by the Office of Public Works (OPW) in buildings which are either State owned or leased by OPW on our behalf.  Therefore, my Department does not directly own any properties. 

The following table sets out the number and cost of the defibrillators most recently purchased by my Department for these buildings:

In relation to the Agencies of my Department, the cost of provision of defibrillators is a matter for each individual Agency, in which I have no role, but I am arranging for the information sought to be collated and reported to the Deputy.

A referred reply was forwarded to the Deputy under Standing Order 42A.

My officials and I met the head of the strategic communications unit, Mr John Concannon, in September 2017. Since then my officials have had, and will continue to have, ongoing contact with the unit which is tasked with the delivery of major cross government communications campaigns.

The Department’s website underwent a significant redevelopment in 2014, as the previous platform was outdated, difficult to update and maintain. The cost of the redevelopment was €97,675.53.

As part of the Government's eGovernment Strategy 2017- 2020 the Office of the Chief Information Officer has been working on the development of a Digital Service Gateway - a single digital point where citizens can easily access information about Government services that are available to them.

This work, which commenced at beginning of this year, is ongoing and will involve the rationalisation of existing Government websites and online services over time.  This project will be managed and developed by resources within the civil service.

Since 2011 my Department has engaged in a two-phase project to replace the Department’s previous corporate website.  This project was initiated after the Department identified a number of issues with the previous website, including:

- Its structure was functional rather than customer focused

- It did not convey the breadth of the Department’s activities

- It had no means of engaging with customers or of using social media

- It was not mobile friendly

- It was visually unappealing

- It was based on older technologies which had not been changed in a number of years and was difficult to maintain

Those issues impeded the Department in an important aspect of its function, that of acting as an advocate for policies and actions which promote growth in jobs, enterprise and innovation throughout the economy.

The project resulted in the launch of the current website which is used to promote the key themes of the Department’s strategy, through the use of a modern and user-friendly website aimed at promoting the Department’s mission.  The website includes customer focused information on the services and supports offered by my Department including key areas such as the Action Plan for Jobs, employment permits, financial supports for business, company law and intellectual property.  The website also promotes the Department’s strategy through the use of modern social media tools such as aggregated news, photo, video and twitter content from the Department and its Agencies.  It also provides direct links to the Online Employment Permits application system, the Agencies and Offices of the Department, and to other key Government services including resources on supports for SMEs and information on Brexit preparations.

The total cost of developing, improving and maintaining the website since 2011 is €250,655.

My Department has a number of strategic communications priorities for the latter end of this year and into 2018, particularly in the areas of: Brexit; Regional Job Creation; Research, Development and Innovation.

The Press Office within my Department is heavily involved in the communications of those priorities through a range of media facing work. In addition the Press Office responds to media queries on an ongoing basis, and supports me in my work as Minister for Business, Enterprise and Innovation and Tánaiste, as well as the two Ministers of State at the Department.

The office is staffed by one Higher Executive Officer, one Executive Officer and two Clerical Officers and is part of a wider departmental Communications team which is managed at Principal Officer level and overseen by an Assistant Secretary.

The Department of Business, Enterprise and Innovation supports continuous professional development by placing a high priority on the development of staff to enable a high performing and agile workforce. 

The attendance by staff on learning andthird level courses to help enable the Department in building the appropriate skill and expert development courses/programmes is informed by an annual Learning and Development Plan. This plan sets out the key learning and development priorities for the year and is based on the individual, team and business needs of the Department.  In addition, the Advanced Payment of Fees (APF) Scheme is supported which enables staff to participate in further relevant third level academic qualifications. In this regard the Management Board annually targets specific levels required, while supporting officers in the area of self-development and life-long learning. 

The specific information the Deputy has sought requires the presentation of data that is not immediately available in the format requested, and will require some time to collate. In this regard, I will furnish the Deputy with the specific details of the costs and the providers of courses and programmes delivered since 2011 within 10 working days. 

My Department uses external public relations providers having regard to its business needs for specialist communications advice and technical materials assistance. In engaging such providers, the Department is mindful of the need to secure value for money and, accordingly, strives to keep costs to the minimum.

The total expenditure incurred by my Department and its Offices to date in 2017 on the services of public relations companies is €53,261. The names and business addresses of the providers of these services and the details of the services supplied are set out in the following table:

Total Expenditure Incurred by the Department of Business, Enterprise and Innovation on the Services of PR Companies in 2017

All grant aided bodies are subject to governance and accountability arrangements and are advised of their obligations under various Department of Public Expenditure and Reform circulars including the Code of Practice for the Governance of State Bodies, Public Spending Code and the Management of and Accountability for Grants from the Exchequer Funds. 

The overall principle of the circular on the Management of and Accountability for grants is that there should be transparency and accountability in the management of public money, in line with economy, efficiency and effectiveness. The provisions of this circular apply to the payment of grants to any agency as well as to any onward movement of such funds.

Every state body under the aegis of my Department reports, through an Annual Report and Financial Statement, their compliance with the Code of Practice for the Governance of State Bodies.  The Chairperson is required to make a Statement on the System of Internal Controls operating in the Body. The statement is reviewed by both the Internal Audit Committee and the Board and are subject to review by external auditors to confirm the body’s compliance with the requirements with the Code. The Code requires that Statements of Internal Control must include specific information including an affirmation by the Chairperson that the Body has appropriate procedures for financial reporting, internal audit, travel, procurement and asset disposals. The Chairperson is also obliged to affirm that Codes of Conduct for the Board and its employees are in place and are being complied with.

My Department also has in place Service Level Agreements with all the Bodies under its aegis and has regular bi-lateral meetings with the Bodies concerned. Issues of governance, accountability and financial control are regular agenda items at those liaison meetings.

As Minister for Foreign Affairs and Trade with special responsibility for Brexit, Minister Coveney has responsibility for coordinating the whole-of-Government response to Brexit. In this capacity, he is working closely with his colleagues across Government to address the many challenges resulting from Brexit. This co-operation also involves the relevant State Agencies.

Work at Cabinet level is being prepared through cross-Departmental coordination structures. These represent a frequent and active channel through which all relevant Departments are providing their research, analysis and overall policy input to the Government’s wider response to Brexit, including its priorities for the ongoing Article 50 negotiations between the EU and the UK.

As the outcome of the negotiations is not yet known, an important focus of the planning and preparation being undertaken through these structures is on deepening the Government’s analysis and understanding of the exact consequences of a range of different possible scenarios. This represents an intensification of efforts to build on the Government‘s contingency planning. 

I will publish further documentation this week regarding the work already underway and future plans by my Department and its agencies in response to Brexit

My Department is conducting a number of research projects to build an understanding of the possible implications of Brexit on Ireland for enterprise, consumers and trading relations. These studies will provide an evidence base to inform Ireland’s policy positions as part of the wider negotiation on the UK’s future relationship with the EU. The details of the Brexit related research currently being undertaken by my Department is as follows:

* It is not intended to publish this study as it will be part of the deliberative process to inform the development of our policy positions as part of the negotiations on the UK future relationship with the EU.

** Project being carried out by InterTrade Ireland in consultation with the Department of Business, Enterprise and Innovation

*** Project being carried out by the Competition and Consumer Protection Commission in consultation with the Department of Business, Enterprise and Innovation

**** This work is currently being finalised by the Consultants and its findings will be analysed by my Officials in advance of its publication.

In the time available, it has not been possible to provide the information requested by the Deputy.  As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

In the time available, it has not been possible to provide the information requested by the Deputy.  As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

In the time available, it has not been possible to provide the information requested by the Deputy.   As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

In the time available, it has not been possible to provide the information requested by the Deputy.   As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

In the time available, it has not been possible to provide the information requested by the Deputy.  As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

In the time available, it has not been possible to provide the information requested by the Deputy.  As soon as the information comes to hand, it will be provided.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

Section 949(3) of the Companies Act 2014 provides that the Director of Corporate Enforcement shall be independent in the performance of his statutory functions.  I, as Minister for Business, Enterprise and Innovation have no direct function in such matters.

I am, however, informed that over the period 2007 to 2017, the Office of the Director of Corporate Enforcement (ODCE) initiated a total of 43 summary prosecutions (i.e., against individuals and/or companies) in the District Court. Such prosecutions can involve individuals or companies being charged with multiple alleged offences. Those prosecutions resulted in a total of 140 convictions being secured. Those prosecutions and convictions are set out by year in the Table below.

As can be seen from the Table, activity in this area has reduced in recent years. This is consistent with the ODCE having taken a decision to concentrate its resources on more serious and complex investigations, the result of which is usually the submission of a file to the Director of Public Prosecutions (DPP) for consideration, as opposed to a summary prosecution by the ODCE. Over the same period, i.e., 2007 to 2017, the ODCE has submitted files in respect of 17 separate investigations to the DPP, on foot of which the DPP has directed a total of 214 charges. One such file currently remains with the DPP and, as such, it is possible that further charges will be directed on foot of the contents of same.

I received a report under Section 955(1)(a) of the Companies Act 2014 from the Director of Corporate Enforcement on 23 June.  This Report addresses the issues highlighted by Judge Aylmer in his ruling in the case of DPP v. Sean Fitzpatrick. The report sets out the facts relating to the case and does not purport to be an investigation or an enquiry.

The Report has been the subject of detailed consultation with the Office of the Attorney General.  I received further advice from the Attorney General recently, which I am considering with my officials.

My Department does not have any contracts with the company in question.

The following are details of contracts that bodies under the aegis of my Department have with the company:

The Personal Injuries Assessment Board established a Framework Agreement for provision of Business Process Support Services (BPSS) in 2014 from which they awarded a call-off contract for Service Centre Solutions. The  contract was signed on 14 October 2014 with Southwestern Business Process Services Limited (Capita acquired the company in 2014) for an initial period of 3 years with the contract providing an option to extend by two periods of 12 months, one of which has been utilised by PIAB (first optional 12 month contract extension ends on 13 October 2018). The total value of the 3-year contract plus optional 12 month extension is c€7.5m (ex VAT).

IDA Ireland has recently signed a contract with Capita IB Solutions following a tendering process for the Provision, Implementation and Support of a Financial Management System from 21 September 2017 for a period of 4 years at a total cost of €154,250 (excl. VAT).  In addition, IDA also has a contract with Capita IB Solutions for a Database Managed Services Support in place from 1st December 2016 until 30th November 2017 at a cost of €20,000 (excl. VAT).

 The National Standards Authority of Ireland has the following contracts with the company:

Contract 1: Integra Annual Support Contract

Company Name: Capita IB Solutions Ireland Ltd

Address: 17-19 Rochester Row, London, SW1P 1LA

Value of Contract: €14200.00

Date of Contract: January 2017 to December 2017

Contract 2: Annual Support Contract for bespoke application TRAMS

Company Name: Capita IB Solutions Ireland Ltd

Address: 17-19 Rochester Row, London, SW1P 1LA

Value of Contract: €25682.52

Date of Contract: January 2017 to December 2017

Contract 3: Oracle Database - Managed Service Annual Support Contract

Company Name: Capita IB Solutions Ireland Ltd

Address: 17-19 Rochester Row, London, SW1P 1LA

Value of Contract: €9800

Date of Contract: April 2017 to April 2018

Contract 4: Integra Upgrade Fixed Price Contract

Company Name: Capita IB Solutions Ireland Ltd

Address: 17-19 Rochester Row, London, SW1P 1LA

Value of Contract: €31185

Date of Contract: August 2017

Contract 5: TRAMS Mobile Taxi App – Bespoke Fixed Price contract

Company Name: Capita IB Solutions Ireland Ltd

Address: 17-19 Rochester Row, London, SW1P 1LA

Value of Contract:€8400

Date of Contract:  August 2017

Ireland’s system of industrial relations is essentially voluntary in nature and responsibility for the resolution of industrial disputes between employers and workers rests primarily with the employer, the workers and their representatives.  As Minister, I encourage full participation by all parties involved in an industrial dispute to come to the best possible accommodation and to seek a resolution of the issues at workplace level.

The State provides the industrial relations dispute settlement mechanisms to support parties in their efforts to resolve their differences. In this context, the Labour Court operates as an independent adjudicative body carrying out statutory functions designated to the Court under relevant law.

The Deputy refers to a Labour Court Recommendation made under the Industrial Relations Acts 1946 to 2015 which Recommendation has been published on the website of the Workplace Relations Commission at www.workplacerelations.ie.

I understand that the Court's Recommendation followed a referral to the Court under Section 20(1) of the Industrial Relations Act, 1969. I understand also that while referrals under that Section of the Act requires the referring party to agree to be bound by the Court’s Recommendation, there is no obligation on the other party to be bound by, or to accept, the Recommendation.

As an independent adjudicative body, the Labour Court has discharged its statutory function in this matter and as Minister, I have no function in relation to this issue.

As Tánaiste and Minister for Business, Enterprise and Innovation, I have the services of three Special Advisers, details of whom are available through the Department of Public Expenditure website, but are set out in table format for the Deputy’s information. These are the only Special Advisers employed by my Department.

Payment of salary has been made by my Department as appropriate to the respective start dates of each individual pending the receipt of the Government Decisions. All such appointments are immediately notified to the Taoiseach and the Department of Public Expenditure & Reform in advance of the administrative process to progress an appointment via Government Decision and implement pay arrangements.

From the date of their appointment, each Special Adviser fulfils the full duties of the role which includes access to confidential material and Cabinet papers, and is subject to the Official Secrets Act 1963 as amended by the Freedom of Information Act 2014.

At present, 13 of the world’s top 15 medical technology companies have invested in Ireland, with a significant number of innovative, research-based, indigenous companies competing internationally.  Ireland’s MedTech industry has world-class capabilities in research, a flourishing indigenous base and the presence of world’s leading MNCs and specialised clinical capabilities.

Medical Technology (Medtech) encompasses a wide range of healthcare products that are used to diagnose, monitor and or intervene to treat diseases or medical conditions.  Such products are intended to improve the quality of healthcare delivered through earlier diagnosis, less invasive surgical or non-surgical intervention options and reductions in hospital stays and rehabilitation times.   Recent advances in medical technology have also focused on cost reduction.  The MedTech industry in Ireland employs 38,000 people in this sector, making Ireland – per capita- the largest Medtech employer in the EU.  There are over 348 medical technology companies in Ireland of which 234 are indigenous.

Enterprise Ireland (EI) has only a very small number of companies in the Drug/Medicines sector and these companies have not sought support under its RD&I schemes to date.  EI does provide support to the broader Medical Technology sector (Medical Devices, Diagnostics, Medical Sub Supply and Healthcare) through a number of its RD&I Schemes e.g. In Company RD&I, Commercialisation Fund, Innovation Vouchers, Innovation Partnerships, Technology Gateways, Technology Centres etc.

Specifically related to the research prioritisation area of Medical Devices in 2016, Enterprise Ireland paid just over €2m under Commercialisation Fund to fund research this area.  In addition, Enterprise Ireland funded almost €1.4m under the In-Company RD&I Fund for R&D projects in the Medical Technology sectors in client companies. Also, over €870k was paid under the Innovation Partnerships Programme to the Medical Technology sectors for collaborative projects where industry engage in research with Irish universities and Institutes of Technology to develop new products and services.

In 2016, Science Foundation Ireland invested €27.2 million in 152 awards related to medicines research and development. This investment includes €9.1 million in 22 new awards commencing in 2016. The awards cover areas directly and more remotely relevant to medicines research including drug/medicines discovery, but mostly synthesis, formulation, processing technologies, delivery. Significant awards in the medicine research and development areas include the SFI Research Centres, Synthesis and Solid State Pharmaceutical Centre (SSPC), Cúram and the Irish Centre for Fetal and Neonatal Translational Research (INFANT).

In 2016, IDA Ireland paid a total of €44,765,000, in R&D grants to its clients to undertake R&D across a variety of sectors, including Technology, Life Sciences, Medical Technologies, Engineering.  IDA Ireland 2016 R&D payments to Pharma companies only total approximately €11,790,000.  Whilst some of this funding may be for drug research it is not possible to confirm that all the funding is used exclusively for that purpose.

In addition, companies that receive R&D grant support from IDA Ireland generate intellectual property and technical knowhow in Ireland.  As the Deputy will be aware, many of these R&D projects lead to manufacturing of new products which further embed the Company and increases the strategic importance of the Irish facility within the Global entity, which in turn contributes to  the potential to increase employment in Ireland.

This Government is strongly committed to regional development and my Department and its agencies are working towards ambitious targets to ensure that employment and investment is evenly distributed across the country. IDA Ireland's strategy for 2015-2019, for example, includes a commitment to increase foreign direct investment (FDI) in every region outside Dublin by 30% to 40% by 2019. The Agency’s results from last year - with 52% of all new jobs created by its clients being located outside Dublin - indicate that progress continues to be made in improving the regional spread of FDI.

IDA Ireland  markets Carlow, Kilkenny, Tipperary South, Waterford and Wexford as part of the South East region. The Agency markets Tipperary North, Clare and Limerick as part of the Mid West region.

Both these regions have performed strongly in recent years in terms of employment growth. In the South East, an additional 33,600 people were in employment by the end of quarter 2 of this year compared to the end of quarter 1 in 2012. The Mid West, meanwhile, was the third fastest growing region in the country in job creation terms from quarter 2 of 2016 to quarter 2 of this year.

While significant progress has been made in reducing unemployment in both regions, more work remains to be done. That is why IDA Ireland continues, on a daily basis, to highlight the benefits of expanding or locating in these regions to its client base in order to boost job creation further.

The following table outlines the number of IDA Ireland sponsored site visits to the aforementioned counties in the first nine months of 2017:

The total photography costs incurred by my Department and its Offices since January 2017 are €3,476. The list of occasions for which photographers were booked, the photographers used and the breakdown of costs are detailed in the following table:  

Photography Costs Incurred by the Department of Business, Enterprise and Innovation and its Offices from January 2017 to date

My Department uses external service providers having regard to its business needs for such services. In engaging such providers, the Department is mindful of the need to secure value for money and, accordingly, strives to keep costs to the minimum.  

IDA Ireland remains committed to increasing foreign direct investment (FDI) in every region of Ireland by 30% to 40% by the end of the Agency's current strategy in 2019.  The Agency continues to highlight the benefits of expanding or locating in the regions - including in Counties Cavan, Monaghan and Meath - to its client base and it makes every effort to ensure that FDI is spread as widely as possible across the country.

The following table outlines the number of IDA Ireland sponsored site visits to each county in Ireland for the period from 2015 to Q3 of 2017:

As part of its current strategy, IDA Ireland is targeting an increase of foreign direct investment in the South East region of 30% to 40% by 2019. The Agency remains committed to achieving this goal.

The IDA's staff continue to draw the attention of potential investors - including those already located in Ireland and companies considering situating here - to the region's particular strengths. These include the South East's accessibility, its ports and its existing cluster of medical technology firms. Like other parts of Ireland, the region's talented and flexible workforce is another significant selling point. In addition to seeking out new investment for the area, the Agency is also working closely with its existing clients in the South East to help strengthen and potentially grow their respective workforces there.

While more remains to be done in Wexford, the County has seen steady improvement in the terms of employment. For example, IDA client company job numbers there increased by 6% between 2015 and 2016.  Moreover, since 2009 there has been a 22% increase in the total number employed in IDA companies in the County. As it currently stands, there are 17 IDA Ireland clients based in Wexford, employing over 2,600 people. We want to see these numbers increase further and I will be working with the IDA in the time ahead to help grow FDI in the County and the surrounding area.

I propose to take Questions Nos. 167 to 170, inclusive, together.

As has been announced previously, my Department will be commissioning an independent review of the Succeed-in-Ireland initiative. The aim of the review is to equip us with a thorough understanding of the programme’s results and its contribution to employment generation in the State.

However, the review cannot proceed until it is possible to assess the total projected costs of the programme, which will itself necessitate the resolution of the dispute between Connect Ireland and IDA Ireland. As I have said before, I hope that the dispute can be resolved as soon as possible and that the review can then go ahead.

Earlier this year, my Department launched a public consultation calling for observations on the draft terms of reference for the review. A total of 17 responses were received from a range of stakeholders, including public representatives and the general public. It is intended to publish the submissions in due course.

The following table sets out the reports that my Department has received in 2017 and which have not yet been made public:

Further to the Deputy's question on 10 October, IDA Ireland has provided the following details regarding investment projects outside the four main urban centres in the country since 2013:

I received a report under Section 955(1)(a) of the Companies Act 2014 from the Director of Corporate Enforcement on 23 June.  This Report addresses the issues highlighted by Judge Aylmer in his ruling in the case of DPP v Sean Fitzpatrick. The report sets out the facts relating to the case and does not purport to be an investigation or an enquiry.

The Report has been the subject of detailed consultation with the Office of the Attorney General both at ministerial and official level. I received further advice from the Attorney General recently, which I am considering with my officials.

Section 216A of the Taxes Consolidation Act 1997 provides for the Rent-a-Room scheme. Under the terms of this scheme, sums arising to an individual in respect of the letting, for residential purposes, of a room or rooms in his or her home, may be fully exempt from income tax where they meet the conditions of the scheme and where the individual's total gross income from such letting(s) is below €14,000 for the tax year in question; this includes where the persons to whom they are renting are on the social housing waiting list.

Policy responsibility for social housing rests with the Minister for Housing, Planning and Local Government and the provision of non-tax incentives or other measures in this area are matters for him.

I am advised by Revenue that the amount of Local Property Tax (LPT) collected broken down by Local Authority for 2016 is available on the Revenue website at: https://www.revenue.ie/en/corporate/information-about-revenue/statistics/local-property-tax/end-of-year-reports/local-property-tax-2016.aspx. Information in respect of LPT collection by Local Authority for the first three quarters of 2017 is available at: https://www.revenue.ie/en/corporate/information-about-revenue/statistics/local-property-tax/quarterly-reports-2017/local-property-tax-october-2017.aspx.

I am advised by Revenue that it has no record of an application under the scheme from the person concerned.  If that person contacts the Revenue Central Repayments Office, M:TEK II Building, Armagh Road, Monaghan, Telephone LoCall: 1890 60 60 61 advice and assistance will be provided.

I am advised by Revenue that, in order to qualify for the Drivers/Passengers with Disabilities Scheme, a vehicle must be specially constructed or adapted to take account of the applicant’s disablement.  In the case of wheelchair use, vehicles qualify where specific constructions or adaptations have been carried out to the vehicle in order to facilitate access for the wheelchair user. Full details of the scheme, including the qualifying criteria, are set out in Information Leaflet VRT 7, which is available on the Revenue website www.revenue.ie

It should be noted that the Central Bank is responsible for the supervision of regulated financial service providers.  In this context the Central Bank maintains contact with other statutory bodies as appropriate and in its recent update on the tracker mortgage examination the Central Bank indicated that, since the previous March update report, it had met with the Competition and Consumer Protection Commission and An Garda Síochána.  The Central Bank has also indicated that it will rigorously pursue its enforcement investigations in relation to the tracker mortgage issue.  However, it should be noted that any matter relating to the initiation of a criminal investigation or prosecution would be a matter for the independent criminal investigation and prosecution authorities and the Government would not have any role in such matters.

It is unclear from the Deputy’s question whether the earnings of under €36,000 refer to the pension of one individual or the combined pension income of both individuals in a couple.  It is also unclear if the question refers to Social Welfare pension income and/or to occupational pension income. 

The Universal Social Charge is an individualised tax, meaning that a person’s liability to the tax is determined on the basis of his or her own individual income and personal circumstances. Therefore the USC liability may differ depending on the split of income between the individual members of the couple.

It is therefore not possible to provide a detailed reply to the Deputy’s question.  However, I would point out that social welfare pensions are not liable to the USC and are not taken into account in determining the income of an individual for USC purposes.  The current entry threshold to USC is €13,000, therefore a pensioner would be within the scope of USC only if he/she personally has income, other than State pension or other social welfare income, exceeding €13,000.

The Deputy will be aware that, in Budget 2018, I have continued to fulfil the Government’s commitment to make steady and sustainable progress in reducing the income tax burden, with a particular focus on low and middle income earners. Therefore, should the couple referenced be within the charge to USC, they will benefit from the reduction in the 2.5% USC rate to 2% and potentially also from the reduction in the 5% rate to 4.75%.

Revenue have published a leaflet setting out, in summary form, the tax and USC provisions that are due to come into effect from 1 January 2018 and this is available at https://www.revenue.ie/en/corporate/press-office/budget-information/2018/budget-summary-2018.pdf

The Central Bank has advised that it does not have data at the level of granularity as requested by the Deputy.

However, at an aggregated national level, the recent Central Bank update on its tracker mortgage examination (see attached www.centralbank.ie/news/article/statement---tracker-mortgage-examination) indicated that circa 13,000 affected customers have been identified to date through the Examination, the majority of whom will receive their redress and compensation before the end of the year. Prior to the commencement of the industry wide Tracker Examination, the Central Bank ensured a further 7,100 cases involving tracker mortgage issues were rectified and remedied. The Central Bank has indicated that it will continue to push lenders using all of its powers to ensure that all affected customers are identified and included in redress and compensation programmes. 

I am advised by Revenue that prior to 2015 Section 481 Taxes Consolidation Act (TCA) 1997, operated by giving relief to individuals and companies investing in the film industry. The information in respect of the tax cost and number of investors who claimed relief under section 481 for the years 2004 to 2015 is available on the Revenue webpage at http://www.revenue.ie/en/corporate/information-about-revenue/statistics/tax-expenditures/costs-expenditures.aspx.  

With effect from 2015, the scheme provides direct support to film producer companies in the form of a tax credit. However, where an application was received up to and including 14 December 2014, it was processed under the previous scheme. Investors availing of the old scheme can choose the year in which to claim their relief. The number of companies claiming the tax credit and included in the tax expenditure information for 2014 and 2015 is 53 and 44 respectively. 

Revenue analysis of applications made in respect of section 481 TCA 1997 indicate that 3,415 full-time equivalent jobs were created over 184 projects in 2015 and 2016. However, it should be noted that jobs created in the film industry are predominately of a short term nature.

The following are the number of companies granted relief during 2015, 2016 and 2017;

2015: 32 companies in respect of 43 films

2016: 54 companies in respect of 75 films

2017 (up to end of quarter 2): 31 companies in respect of 41 films  

The information relating to the beneficiaries under the current scheme can be found at:

- 2015 beneficiaries: http://www.revenue.ie/en/companies-and-charities/documents/beneficiaries-tax-relief-2015.pdf

- 2016 beneficiaries: http://www.revenue.ie/en/companies-and-charities/documents/beneficiaries-tax-relief-2016.pdf

- 2017 (to Quarter 2) beneficiaries: http://www.revenue.ie/en/companies-and-charities/documents/beneficiaries-tax-relief-2017.pdf

I am informed by the Central Bank that the Central Bank Commission approved additional complement for 2017 to circa 1,800 staff, which will be a target net increase of 200 staff on the total at end 2016.

This expansion included dedicated resources of an additional 28 staff to address specific Brexit-related new business needs within existing divisions. Of these 28 staff, 18 have been allocated to supervisory divisions to address specific Brexit-related new business needs within existing divisions.

Furthermore, at its recent June 2017 meeting, the Central Bank Commission approved an additional 36 resources principally to support increases in Brexit-related authorisation/supervisory activity, as well as to support extensions to the post crisis regulatory framework. The Central Bank has already redirected experienced resources to deal with Brexit related activity and are confident that our current recruitment campaigns will support us in having the requisite resources in place.

The Central Bank currently has 138 vacant roles with roles being filled on average within 9 weeks.  Theses vacancies are primarily in Financial Regulation and Financial Conduct Pillars.

The recruitment market remains challenging, and the potential for financial services firms relocating to Ireland pre/post Brexit will create further competition for talent. The Central Bank’s overall offering to staff compares favourably in the employment market, which is reflected in the 2016 attrition rate of 6.2%, with similar levels expected for 2017. The Central Bank continues to monitor turnover levels on a continuous basis to understand any trends emerging.

Furthermore, the Governor has previously indicated to me that where further resources are necessary due to an expanded universe of regulated and supervised firms, the Bank has the ability to effectively re-prioritise where it needs to meet the increased level of demand and also to increase staff numbers as necessary.

The matter is being examined by my officials and a reply will issue shortly. 

I can confirm that the matters highlighted in the correspondence referred to were brought to the attention of the Department in the past. At the time, it was noted that the matters had been raised with the specific bank mentioned, the Central Bank, GSOC, the European Ombudsman, and a variety of Courts both in Ireland and Europe and that one of those cases was against the Minister for Finance in 2004. It was also noted that any decisions that had been made were by independent bodies with the Minister for Finance having no role in adjudicating the validity of court orders.  

There are two types of R&D imports recorded in the Balance of Payments (BOP):

1. Direct acquisition of intellectual property patents, copyrights etc.

2. R&D services imports where an entity pays a foreign firm to conduct research on their behalf.

In the National Accounts both types of R&D imports are capitalised, that is, they are considered a use of profits rather than a cost. However, in the BOP standards the guidance is less clear and consequently only the direct acquisition of patents are capitalised with R&D services treated as intermediate consumption. In other words, R&D services are treated as a cost which in turn reduces profit outflows. As a result, profits generated in Ireland by foreign firms are higher in the National Accounts then in the BOP.

This inconsistency inflates Ireland’s GNP and Gross National Income (GNI) as both measures involve subtracting net factor outflows (calculated in the BOP) from GDP (calculated in the national accounts) although the extent of it is mitigated somewhat by reduced depreciation charges.  This inconsistency also inflates Ireland’s EU budget contribution as Member State contributions are based on inter alia their share of EU GNI.

The CSO is highlighting this ambiguity in the statistical standards at a forthcoming meeting in EUROSTAT where it is seeking clarification around the application of a harmonised approach across the standards in this specific case of imported R&D services.  

It is important to stress that, from a legal perspective, the CSO is compelled to produce existing economic statistics (GDP, GNP, GNI etc.) in accordance with internationally agreed methodologies (European System of Accounts 2010) and that our international obligations including the EU budget contribution will continue to be assessed on this basis.

The outcome of the EUROSTAT consultation will, it is hoped, resolve this inconsistency in treatment.

As I am sure the Deputy is aware, projections beyond 2021 have not been compiled or published. 

The current estimates of net fiscal space for years 2019 – 2021 are set out below. It is important to stress that the figures, as always, are work-in-progress estimates and will evolve over time. 

I also wish to highlight that the economy is now on a path towards full-employment.  In these circumstances, I will not jeopardise our recovery by adopting pro-cyclical fiscal policies that overheat the economy and put our future livelihoods at risk.  Instead I will focus on the appropriate stance of fiscal policy. 

In other words, I will focus on what is right for the economy and not on what is legally permissible under the rules.  In this regard, I want to assure the Deputy that the Government will not repeat the mistakes of the past by adopting inappropriate taxation and spending policies for short-term gain that have involve major long-term pain. 

Steady, incremental and sustainable budgetary policy is the way to improve our living standards and that is how I intend to decide and implement policy.

I propose to take Questions Nos. 186 and 187 together.

I am advised by Revenue that information in respect of the Research and Development credit is available at www.revenue.ie/en/corporate/documents/statistics/tax-expenditures/costs-tax-expenditures.pdf for all years up to 2015. Additionally, the Deputy may be interested in an analysis by my Department on the R&D Tax Credit which is accessible at http://www.finance.gov.ie/wp-content/uploads/2017/07/1610-R-and-D-Credit-Evaluation-2016.pdf

Information on likely future expenditure on research and development is not available and therefore an accurate estimate of the cost of the proposals cannot be provided. However, based on information included in the 2015 Corporation Tax returns in respect of companies with fewer than 250 employees, the cash flow loss from bringing forward the second and third instalment refund to the first year of claim could be in the region of €56 million.

On a similar basis there could be an additional cost of up to €15 million per year for each 2.5 per cent increase in the expenditure write off allowed for the same group of SMEs (defined as those companies with less than 250 employees).

I am advised by Revenue that a Personal Retirement Bond (PRB), otherwise known as a Buy out Bond (BoB), is a single premium pension policy into which an existing pension fund or the cash value of an accrued pension benefit can be transferred from a Defined Contribution (DC) or Defined Benefit (DB) occupational pension scheme. Such transfers usually occur when a scheme member is leaving the employment of the pension scheme sponsor, the scheme is being wound-up or in circumstances where the scheme member’s pension entitlements are being split under the terms of a pension adjustment order.

A member of a funded pension scheme with an entitlement to preserved benefits (and where payment of those benefits has not commenced) may, depending on the circumstances, transfer the value of those entitlements to a PRB, to another exempt approved occupational pension scheme or to a Personal Retirement Savings Account (PRSA).

Preserved benefits are the retirement benefits that a scheme member retains when he or she has completed two years' qualifying service with an employer and has finished their employment.

PRBs are approved by Revenue on a generic basis as a specialist DC pension product to house the transfer value of the preserved pension benefits of pension scheme members in the particular circumstances outlined above.

With regard to the specific pension schemes that are the subject of this question, I am advised by Revenue that they have contacted the relevant administrator on this matter and requested additional information so that a decision may be reached in respect of this particular transfer request.  

A decision in this particular case cannot be made until the information requested has been furnished by the relevant administrator.

I propose to take Questions Nos. 189, 192, 194, 198, 200, 202, 214 and 250 together.

As the Deputy is aware, the Central Bank, as the regulator with the appropriate powers, has been conducting an industry-wide examination of tracker mortgage-related issues. Through the examination, the Central Bank has publicly and unequivocally committed that all affected customers will be identified and to use the full range of its regulatory powers to ensure they receive redress and compensation. These investigations by the Central Bank are statutorily mandated and can lead to significant sanctions. Therefore, as Minister for Finance, I must be cautious not to jeopardise any potential enforcement actions or prosecutions, and refrain from comment on any particular customer or group of customers whose case is under review as part of the ongoing process.

I met with the Central Bank and each of the relevant banks during the week of 23 October, to receive an update on the tracker mortgage examination, and make it very clear that this Government is determined that the banks resolve this matter as quickly as possible.

Following these meetings, all the banks have committed to working with the Central Bank to fully meet its requirements.  This will likely result in further affected customers being identified.  I expect this aspect of the examination to be finalised as soon as possible so as to minimise the uncertainty for such customers, and for redress and compensation for those further customers to swiftly follow.

The tracker examination is the largest and most complex supervisory investigation undertaken in the context of the Central Bank's consumer protection mandate, involving the review by lenders of more than two million mortgage accounts.

The Central Bank has advised me that the ongoing examination requires lenders which offered tracker interest rate mortgages to their customers to review all mortgage accounts from the date when the lender commenced offering tracker interest rate mortgages until 31 December 2015. The review encompasses all mortgages in respect of both Private Dwelling Houses and Buy-to-Let properties that i) originated on tracker interest rates; ii) had tracker interest rates applied at any stage during the term of the underlying mortgage agreements; and/or iii) where the underlying mortgage agreements provided for contractual rights to or options for tracker interest rates at any stage during the term of the agreements.

The Central Bank issued a statement following our meetings, which can be read here: https://centralbank.ie/news/article/statement---tracker-mortgage-examination

Details on the examination framework can be found here: https://www.centralbank.ie/docs/default-source/consumer-hub-library/tracker-issues/appendix1-framework-conducting-tracker-mortgage-examination.pdf?sfvrsn=4

The Central Bank's regular updates can be found here: https://www.centralbank.ie/consumer-hub/tracker-mortgage-examination.

AIB have provided me with the following information:

"The tracker examination programme is ongoing and is subject to the final agreement and approval of the Central Bank.

The review, working at all times within the Central Bank framework, identified issues relating to contractual matters, inadequate levels of transparency and poor quality customer information.  

AIB is advanced in the review and has redressed and compensated the majority of identified impacted customers.

(1)  Customers no longer on a tracker

- At the end of September 2017 AIB had identified 3,416 customers who were not on the tracker mortgage rate to which they were entitled. 91 % percent of these have had their trackers restored (to an average tracker margin of 1.2%) and have also been redressed and compensated. The remaining cases will be completed by the end of the year.

- The bank estimates a further 170 cases will be identified by the end of the year and these have an estimated completion date of end Q1 2018. 

(2) Customers on a higher tracker margin

- During the review AIB also established that some customers, who remained on a tracker mortgage, were incorrectly charged a higher tracker margin.

- The majority of these were impacted for a short period of time and by up to €500.

- Two thirds of these customers will be redressed and compensated by the end of this year, with the remainder to be completed by the end of Q1 2018.

From December 2015 the review has been conducted in accordance with the Central Bank framework and independently assured by KPMG. The programme includes putting customers back on the correct rate, refunding, compensating, and access to an independent appeals process."

While the meetings with the banks had initially been intended to cover a wide agenda, in the event the focus of the meetings was on the tracker issue.       

The issue of standard variable mortgage rates is a significant one for this Government. In line with this the Programme for a Partnership Government has set out a number of important and practical measures which seek to improve the position of variable rate mortgage holders.

As part of the Programme for a Partnership Government, the Competition and Consumer Protection Commission (CCPC) was requested to conduct a review of the Irish mortgage market.  The CCPC has recently produced its report and it outlines a range of short, medium and long term options to improve the operation of the market. The Government will now evaluate and consider these options in detail. A web link to the report is attached for information: https://www.ccpc.ie/business/wp-content/uploads/sites/3/2017/06/CCPC-Mortgages-Options-Paper.pdf

The Government also believes that measures to encourage and promote a greater level of switching in the mortgage market will help boost the level of competition in the market for existing mortgages. In particular, the Programme for a Partnership Government considers that the development of a code of conduct for switching mortgage provider would be a useful and practical initiative which would have the potential to deliver savings to many existing mortgage holders.  In line with this commitment, in 2016 the Central Bank commenced research in the area of mortgage switching which was completed earlier this year. Based on this research, the Central Bank has now commenced a consultation process on proposed measures to help consumers to compare their existing mortgage to other mortgage options and to provide consumers with standardised switching information

(https://www.centralbank.ie/docs/default-source/publications/Consultation-Papers/cp112/cp112-enhanced-mortgage-measures---transparency-and-switching.pdf?sfvrsn=2).

The Central Bank has already made some changes to require lenders to better inform and protect variable rate mortgage holders in relation to changes in mortgage rates. These were set out in an Addendum to the Consumer Protection Code 2012 and require lenders to explain to borrowers how their variable interest rates have been set, including in the event of an interest rate increase. The measures will also improve the level of information to be provided to borrowers about other mortgage products their lender provides that could provide savings for the borrower and signpost borrowers to the CCPC's mortgage switching tool.

In overall terms, the Government is of the opinion that increased competition rather than administrative controls is the best way to ensure that retail lending rates are driven down in a sustainable way for the market as a whole but without giving rise to potentially undesirable consequences for the provision of new mortgage lending.

It should be noted that there has been some progress in this area. Recently published Central Bank data showed that standard variable mortgage rates for new PDH mortgages fell by 23 basis points to 3.34 per cent in quarter 2 2017 since the same period in 2016. This does not include the recent rate reductions by a main mortgage lender which will have a further welcome impact on overall mortgage rates.  However, this is a policy area that the Government will continue to keep under active review in its ongoing engagement with mortgage lenders and in implementing the Programme for Government commitments to help deliver on a long term basis better outcomes for all mortgage borrowers. 

The VAT rating of goods and services is subject to the requirements of EU VAT law, with which Irish VAT law must comply. I am advised by Revenue that there has been no change in the position in relation to the VAT treatment of music and art schools.

In accordance with the EU VAT Directive, the VAT exemption applies to the providers of children’s or young people’s education and school or university education. The exemption also applies to the providers of training and development courses subject to the training and retraining being of a vocational nature.

Where the music or art school is providing courses for educational or vocational purposes, any such course is exempt from VAT provided the lessons in question are provided as part of a programme that meets the standards set out by the Department of Education and Skills syllabus or, in the case of vocational training, the course is aimed at acquiring or updating knowledge in relation to a specific profession or trade.

Where a music or art school is providing courses primarily for recreational purposes the position continues to be that these courses are liable to VAT at the standard rate. If the music or art school has any doubt as to the eligibility for exemption of any of its courses they should contact their local Revenue District for advice.

In response to the Deputy, I am advised that there is no audit being undertaken of my departmental website on behalf of my Department. As such, my Department has incurred no costs in conducting an audit.

The Tracker Examination is the largest and most complex supervisory investigation undertaken in the context of the Central Bank's consumer protection mandate, involving the review by lenders of more than two million mortgage accounts.

The Examination requires lenders, which offered tracker interest rate mortgages to their customers, to review all mortgage accounts from the date when the lender commenced offering tracker interest rate mortgages until 31 December 2015 in respect of both Private Dwelling Houses and Buy-to-Let properties:

1. that originated on tracker interest rates;

2. that had tracker interest rates applied at any stage during the term of the underlying mortgage agreements; and/or

3. where the underlying mortgage agreements provided for contractual rights to or options for tracker interest rates at any stage during the term of the agreements.

Further detailed information regarding the Central Bank’s Tracker Mortgage Examination Framework, as well as the Central Bank’s regular progress updates of the Examination, can be found at https://www.centralbank.ie/consumer-hub/tracker-mortgage-examination.

I propose to take Questions Nos. 196 and 213 together.

The rate of Stamp Duty on commercial property was increased to 6% by way of Budget Day Resolution and applies in relation to all relevant conveyances executed after midnight on Budget day. In order to avoid changing the cost structures of contracts entered into prior to that date, I have introduced measures in the Finance Bill that will allow for the lower rate of 2% to continue to apply to contracts where the parties entered into binding contracts prior to the commencement of the new rate and where the conveyance is executed on or before 31 December of this year.

These transitional measures will come into effect on the passing into law of the Finance Bill.

In order to facilitate taxpayers, Revenue has agreed to accept payment of stamp duty in respect of conveyances or transfers that will qualify for the transitional measures at the lower 2% rate and they will withhold the stamping certificate until after the enactment of the Bill.

In relation to the scenarios outlined by Deputy McLoughlin I am advised that the taxpayers concerned should consult with their legal advisors to determine whether they had, in fact, entered into binding contracts prior to the coming into effect of the Budget Day Resolution and indeed whether the conveyances or transfers will be executed on or before 31 December of this year.

The Strategic Banking Corporation of Ireland (SBCI) is Ireland’s National Promotional Institution; however, it is not a bank and does not have a banking license. The strategic mission of the SBCI is to deliver effective financial supports to Irish SMEs that address failures in the Irish credit market, while driving competition and innovation and ensuring the efficient use of available EU resources. The SBCI achieves this aim through the provision of low cost liquidity and risk sharing activities supporting the provision of appropriately priced, flexible funding to SMEs.

The SBCI does not engage in direct lending. It utilises an on-lending model, making finance available through partner finance providers known as on-lenders. The SBCI currently has 7 on-lenders, 3 bank and 4 non-bank. Credit decisions remain with the SBCI’s on-lending partners and credit applications are subject to the individual credit policies and procedures of each on-lending partner.

It is not clear to me from the question under which SBCI Scheme the borrower’s application referred to has been made and considered. However, the finance of pure real estate development activity is not an eligible purpose for use of SBCI support and there are no exceptions to these eligibility criteria. The SBCI is prohibited from financing pure real estate by European rules and regulations. Additionally, as I have already mentioned, all SBCI funding is subject to the credit decision of the on-lender.

The Deputy’s constituent may be interested in seeking assistance from either Microfinance Ireland or the Credit Review Office if he has applied to a bank and his loan has not been approved. In addition, the Deputy may wish to advise his constituent that the Supporting SMEs Online Tool may be of some help.

Microfinance Ireland provides loans for up to €25,000 to start-up, newly established, or growing micro enterprises employing less than 10 people. Microfinance Ireland works in partnership with the Local Enterprise Offices nationally to administer this fund (www.microfinanceireland.ie/).

The Credit Review Office (CRO) is a government initiative that assists SMEs who have had an application for credit of up to €3 million declined or reduced by the main banks, and who feel that they have a viable business proposition. This is a strictly confidential process between the business, the Credit Review Office and the bank. The CRO overturns more than 50% of appeals it receives. Further details are available at www.creditreview.ie/.

The Supporting SMEs Online Tool is a cross-government initiative. By answering eight simple questions, SMEs will receive a tailored list of available Government supports to suit their needs.  The Supporting SMEs Online Tool is available at www.supportingsmes.ie/.

The Deputy can rest assured that promoting rural employment and development is an important priority for the Government.

I am advised by Revenue that Stamp Duty is payable on documents that transfer ownership of property.  Once that document has been executed (signed), no interest or surcharge arise if the Stamp Duty return is filed within 30 days of date the document was executed.  In practice Revenue allow up to 44 days. Returns can, of course, be filed late on occasion. For these reasons, it is not possible as yet to assess or compare the period preceding the Budget with the same period last year.

Notwithstanding the appeal that the Government has lodged in the Apple State Aid case, Ireland is required to comply with the binding articles of the Commission’s Final Decision and to recover the alleged aid from Apple. Irish officials are continuing this work to ensure that the State complies with all our recovery obligations. 

To clarify for the Deputy, no court ruling has yet been made in respect of the Apple State Aid case. However, the Commission has said publicly that the recovery amount may be reduced if other countries were to require Apple to pay more taxes. 

The Commission’s Decision does not change the taxing rights in other countries and what the Commission is referring to here forms part of the regular private tax process for any global company, whereby they are responsible for managing their global tax affairs in the various jurisdictions in which they are located.

It is therefore a matter between the company in question and the tax authorities in the various locations where they do business as to whether there are any taxation issues to be addressed and I am not in a position to comment on that engagement due to the necessity to respect taxpayer confidentiality.

I can inform the Deputy that a series of meetings was held between officials in my Department and the Strategic Communications Unit (SCU). At a further meeting which I attended, the SCU briefed me and my Secretaries General on the role the unit will play in improving effectiveness, efficiency and cross Government cooperation to foster and develop a whole of Government approach to communications.

See below for details of all meetings held by my officials with the SCU in a tabular format.

I can inform the Deputy that my Department undertook a revision to the www.finance.gov.ie website earlier this year and the switchover took place on 22 August 2017. The work was carried out in conjunction with the Office of the Government Chief Information Officer (OGCIO), under the Department of Public Expenditure and Reform, which provides ICT services to the Department of Finance.  The design costs incurred as part of this revamp amounted to €8,050.35.

At a meeting on 19th October 2017, my Department was briefed on the potential for the development of a Digital Service Gateway - a single digital point where citizens can easily access information about the Government services that are available to them. It is expected that this work would involve the rationalisation of existing Government websites and online services over time and that the project would be managed and developed by existing resources within the civil service. I strongly support measures that improve citizens' awareness and understanding of, and access to, the services available to them.

I consider that this proposal represents a useful initiative and look forward to receiving further update on the matter. 

I can inform the Deputy that investment in my Department’s website for years 2011 to 2017 are as follows:

I wish to inform the Deputy that there are 4 departmental staff in the Department of Finance Press Office. The Press Office is headed up by a Press Officer (acting AP level) who has 3 staff reporting to him, 1 Higher Executive Officer, 1 Executive Officer and 1 Clerical Officer.  The Press Officer works closely with my Press Adviser.

The protocol for attendance by staff to continuing professional development (CPD) programmes and courses, is a matter for each individual staff member to manage based on their specific requirements for their profession.  In this Department, staff attend a wide range of talks and workshops which can be utilised for CPD purposes. Membership of professional organisations is a matter for the individual staff member.

For the purposes of keeping a record of learning undertaking, the Department does not differentiate between courses for CPD or learning relating to a particular role in the Department.

The Department of Finance supports all learning which assists in the achievement of our objectives in line with the Partnership Programme for Government. 

The Department's Learning Strategy utilises the 70:20:10 Model of learning which identifies that only 10% of learning occurs in formalised settings, 20% is completed via coaching and mentoring type activities, while 70% of learning happens on-the-job.

In 2017, to the end of October, the Department has supported 115 training sessions with 905 (cumulative total) staff attending. In addition, the Department supports staff attending academic courses through the Refund of Fees Scheme (Certificate to PhD courses) where staff engage in academic learning mainly in their own time.

The Department delivers accredited in-house developed learning initiatives including the Diploma in Project Management with the National College of Ireland (special purpose award Level 8 on QQI), and the Project Management Institute of Ireland, and a Professional Diploma in Financial Services with the Institute of Banking/UCD (special purpose award Level 9 on QQI). In 2018, the Department will increase the offerings to include a Certificate in Economics with the IPA and a Professional Diploma in Tax Policy and Practice with the Irish Taxation Institute.

The Department offers Self-Awareness assessments and Leadership training. Some 66 staff have completed a self awareness assessment with the Predictive Index (PI), which is available to all staff and which looks to raise awareness of one’s self.  Some 170 staff attended Being an Engagement Leader - Unconscious Bias training in 2017. Three further training dates are being rolled out in Q1 2018 in relation to the Unconscious Bias training.

In relation to the 20% element of the Learning Model, staff are given the opportunity to act as mentors and mentees and this learning initiative is offered to all staff of the Department to assist with growing and delivering high performance within the Department. The Senior Management Team are also offered coaching through the Senior Public Service initiative (DPER).

The Department was recognised as the "Best Learning and Development Organisation- Medium Category" in 2017 by the Irish Institute of Training and Development. This award recognises the learning culture in the Department and the opportunities given to staff to learn, develop and stretch their abilities as well as Senior Management's drive to support the learning culture throughout the organisation.

The data as it relates to continuous professional development programmes between 2011 and 2017 is in the table.  The table also includes the total numbers of professional membership held by staff in the Department since 2011.  Please note that this is not a complete list of all the training undertaken in the Department during this time, only that which relates to CPD.  Please also note that the Department split into the Department of Finance and Department of Public Expenditure and Reform in 2011.

  Professional Courses and Courses Funded through the Refund of Fees Scheme 2017-2018

Professional Courses and Courses Funded through the Refund of Fees Scheme 2016-2017

Professional Courses and Courses Funded through the Refund of Fees Scheme 2015-2016

Professional Courses and Courses Funded through the Refund of Fees Scheme 2014-2015

Professional Courses and Courses Funded through the Refund of Fees Scheme 2013-2014

Professional Courses and Courses Funded through the Refund of Fees Scheme 2012-2013

Professional Courses and Courses Funded through the Refund of Fees Scheme 2011-2012

I can inform the Deputy that the following public relations companies or agencies have been utilised by my department for information campaigns in 2017:

MediaVest : Publication of an Article covering the success of the Department of Finance in the IITD Awards 2017 where my Department won the “Best Learning and Development Organisation- Medium Category 2017.” The costs incurred by my Department totalled €2,870.54.

Gordon MRM : Announcement relating to AIB IPO Retail Offering Information. My Department procured the services of this company, but the costs are fully recoupable from AIB. The costs concerned totalled €91,202.04, but there is no net cost to my Department.

Language Communications : Public awareness campaign to promote customer switching. My Department procured the services of this company, but the costs are fully recoupable from AIB and PTSB in the context of their restructuring plans. The costs concerned totalled €713,687, but there is no net cost to my Department.

My Department has also advertised directly on a number of occasions, and I have also included a breakdown of those costs below:

Independent Newspapers Marketing Ltd; Irish Examiner; The Irish Times Ltd : Information notice re: Beneficial Ownership. Cost: €2,407.73.

Tuairisc Bheo Teoranta: Information notice re: consultation on Irish language scheme on www.tuairisc.ie. Cost: €982.77.

Independent Newspapers Marketing Ltd: Information notice re: consultation on Irish language scheme in Seachtain Irish language supplement. Costs: €1,239.84.

The Disabled Drivers Medical Board of Appeal (DDMBA) is the only State agency funded by my Department.  The DDMBA issues no credit cards to staff or board members.  No concerns have been brought to my attention in relation to this body. 

In relation to credit card expenditure, my Department has not issued new procedures relating to credit cards expenditure in response to revelations relating to the charity Console.

Departmental guidelines and oversight procedures already in place have proven effective in ensuring that all charges incurred on departmental credit cards are business related.

Each officer who holds an official credit card is required to certify that all charges incurred are correct and are of an official nature. The officer is required to provide a hard-copy of this statement alongside all receipts for expenses incurred to my Department’s Financial Management Unit when the statement is presented for processing.

In relation to the general Departmental cards, certification must also be provided to ensure that the appropriate approval within the section has been obtained in relation to all expenditure.

I am satisfied that the current oversight and controls exercised by my Department in relation to payments on credit cards are appropriately clear and that the above procedures are effectively enforced.

The VAT rating of residential property is subject to EU VAT law, with which Irish VAT law must comply. In accordance with the EU VAT Directive, the VAT Consolidation Act 2010 applies the reduced VAT rate of 13.5% to the supply of new residential property. In general, VAT is chargeable to the purchaser on the sale of all new residential property but the purchase of second-hand residential property is exempt from VAT.

The VAT Directive does not permit the application of different VAT rates to different categories of house purchases such as first time buyers or houses on sale or sold below a specified affordability level. In addition, the VAT Directive does not permit a rebate or refund of VAT charged to a private person who incurs VAT on the purchase of residential property. However, the Deputy will be aware that the Help-to-Buy scheme provides an income tax relief for first-time buyers of 5% of the purchase price of a new house or apartment, or of the valuation of a self-build, up to a maximum of €400,000.

As Minister for Foreign Affairs and Trade with special responsibility for Brexit, Minister Coveney has responsibility for coordinating the whole-of-Government response to Brexit. In this capacity, he is working closely with colleagues across Government to address the many challenges resulting from Brexit. This co-operation also involves the relevant State Agencies.

Work at Cabinet level is being prepared through cross-Departmental coordination structures. These represent a frequent and active channel through which all relevant Departments are providing their research, analysis and overall policy input to the Government’s wider response to Brexit, including its priorities for the ongoing Article 50 negotiations between the EU and the UK.

As the outcome of the negotiations is not yet known, an important focus of the planning and preparation being undertaken through these structures is on deepening the Government’s analysis and understanding of the exact consequences of a range of different possible scenarios. This represents an intensification of efforts to build on the Government‘s contingency planning.

The Department of Finance has been preparing for the impact of Brexit since well before the referendum on 23 June 2016, with this work now intensified. The regular updates of the Department's Macro-Economic forecasts take account of the impact of Brexit. In addition, the Department has been to the fore in producing and funding a number of Brexit-related studies, both before and since the UK's referendum decision, including:

- 'Scoping the Possible Economic Implications of Brexit on Ireland' – Scoping study of scenarios for the future relationship between the UK and the EU. Published under the Department of Finance-ESRI research programme in November 2015;

- ‘An Exposure Analysis of Sectors of the Irish Economy’. An in-depth analysis of the possible sectoral and regional impacts of Brexit arising from Ireland's trade relationship with the UK, published by Department of Finance in October 2016 (Updated March 2017);

- 'Modelling the Medium to Long Term Potential Macroeconomic Impact of Brexit on Ireland' - Published under the Department of Finance-ESRI research programme in November 2016;

- ‘Trade Exposures of Sectors of the Irish Economy in a European Context’ – An analysis of trade exposure to the UK in comparison to other EU Member States, published by Department of Finance in September 2017.

The Department will continue to monitor the economic impact of Brexit, to carry out and publish relevant analysis and to frame policy advice in the context of Brexit.

Like all Government agencies, the Revenue Commissioners are also actively engaged in examining a range of scenarios in order to support Ireland's objectives. This also includes supporting relevant research, including:

- ‘Ireland's International Trade and Transport Connections’ - An ESRI study co-sponsored by the Department of Finance and the Revenue Commissioners which looks at the transport patterns of Irish international trade, examining in particular how trade flows in weight differ from those measured by value, and the implications that this has for transport mode and cost. Published in October 2017;

- “Ireland and the UK – Tax and Customs Links” - The paper examines the links between Ireland and the UK that may impact on tax and customs matters. Two primary topics are examined – flows between the two jurisdictions that may carry customs implications and the links of Irish based businesses to the UK and their tax contributions to the Irish Exchequer. The paper was published by Revenue Commissions in October 2017.

The Deputy will be aware that the position as regards the Revenue Dundalk office has been addressed in a number of recent Parliamentary Questions.

I am advised by Revenue that there are no plans to re-introduce a “walk-in” service at the Dundalk office. Revenue has recently expanded its outreach programme to include a monthly information session in the Citizens Information Office, Long Walk, Dundalk. This service is, since 3 November, available on the first Friday of every month.

As with all services provided by Revenue, the appointments and outreach services are monitored and reviewed on an ongoing basis. Revenue is not aware of any difficulties encountered by taxpayers in accessing its services since the appointments facility was introduced but if the Deputy provides details of any particular difficulties that he may be aware of, Revenue will contact the customers concerned and resolve their issues without delay.

I am advised by Revenue that the amounts received, offset and refunded in relation to RCT are set out in the table. I am further advised by Revenue that RCT payments relate to a number of different industries and it is not possible to separately identify RCT payments which relate only to the construction sector. However, construction accounts for the bulk of these activities.

I propose to take Questions Nos. 216 to 218, inclusive, together.

When the then Minister for Finance announced in last year’s Finance Bill that he was reducing the rate of DIRT by 2% each year until it reaches 33% in 2020, he identified the cost of that measure as €9m for a full year, or €36m by 2020 (Revenue have subsequently revised the annual cost of a 2% reduction in the rate of DIRT down to €6.4 million). He explained that the cost of moving the other taxes which tended to move in line with the rate of DIRT had been tentatively estimated by Revenue as €14m per annum or €56m by 2020. Such costing estimates are based on the assumption of no behavioural change as it is not possible to estimate changes in behaviour.

The then Minister also agreed during the Report Stage of Finance Bill 2016 that the 2017 Tax Strategy Group (TSG) would examine this issue. This was done, and the report to the TSG containing this examination can be found at:

http://www.finance.gov.ie/wp-content/uploads/2017/07/TSG-17-11-Capital-and-Savings-Taxes-Final-PL.pdf.

Finally, I should also say that it is not possible to accurately estimate the changes in investment behaviour or any estimation of yield from individuals opting for investment products over deposit accounts if there was a change in the rate of exit tax as decisions to invest in specific financial products are driven by a range of factors and not only taxation.

I am informed by Revenue that section 87B of the Taxes Consolidation Act 1997 (TCA) provides that gains arising from the release of loans, used to purchase land or property held as trading stock by individuals, are to be treated as the receipt of trading income and taxed accordingly. The amount of the debt released is to be treated as a receipt of the trade in the tax year in which the release is effected.

The purpose of the section is to ensure that individual land dealers/developers do not obtain the benefit of losses for tax purposes where no economic loss was incurred. Section 87B treats the amount of the loan written down as a trading receipt effectively clawing back any tax deduction that they may have received from a write down in the taxpayers books e.g. if land was acquired for €10m and the market value fell to €1m, the value of the closing stock of the land in the accounts of the developer would be €1m. The developer would have incurred a loss of €9m. However, where the acquisition was funded by borrowings and a debt of €9m was released by the lender, no economic loss was suffered by the developer. If the release of the debt was not treated as a trading receipt, a loss of €9m would be available for offset against other income even though no economic loss was actually incurred.

The legislation provides that, in a case involving a discharge from bankruptcy, or a discharge from debt under the Personal Insolvency Act 2012, the release of the debt is treated as having been effected on the date of discharge. Revenue has also confirmed that, in the case of bankruptcy, it will accept the date of final distribution as being the date of release where this falls after the date of discharge. As regards the date of release, it should be noted that the first occasion on which the amount of debt to be released can be fully quantified is the date of discharge or the date of the final distribution to creditors, if later than the date of discharge. It is only when amounts have been fully distributed to the creditors, that it is possible to know how much debt has been released and accordingly how much income is deemed to be received under section 87B TCA.

It should also be noted that in many instances no additional income tax liability should arise as a result of the application of section 87B TCA. A corresponding write-down in the cost of the trading stock should be available as a tax deduction where there is a debt release and therefore any taxable receipt arising as a result of the write down should be matched by the corresponding write down of the trading stock. If the taxpayer has previously written down his/her trading stock and has losses carried forward under section 382 TCA, this trading loss should be available to offset against the s87B income tax charge. It is only in those circumstances where taxpayers have already written down trading stock, taken the tax deduction and used the losses to shield other income from tax that any net charge to income tax can arise.

As the Deputy is aware, the Central Bank is independent in the performance of its duties in the supervision of regulated financial service providers and it is working to ensure the Tracker Mortgage Examination is completed as soon as possible. The Government fully supports the Central Bank in the performance of its duties and has asked the Central Bank to provide a progress report on the examination in December based on the timelines the Bank has set for each lender.

In addition, as Minister for Finance I have mandated the Central Bank under section 6A of the Central Bank Act 1942 to prepare a report on the following:

- the current culture and behaviour and the associated risks in the retail banks, and

- the actions that may be taken to ensure that banks prioritise customer interests in the future.

On receipt of this report, the Government will determine whether any additional legislative and regulatory changes are needed that would enhance accountability in the banks to ensure customer interests are prioritised.

It should also be noted that in line with the Central Bank’s mandate to ensure that the best interests of consumers are protected, the immediate focus of the Tracker Mortgage Examination is to ensure that lenders prioritise the identification of impacted customers, stop the harm, and then provide appropriate redress and compensation in line with the ‘Principles for Redress’ developed by the Central Bank.

The lender is to take appropriate steps to ensure that any harm potentially being caused to impacted customers is stopped at the earliest possible time after a potential relevant issue is identified, as follows:

1. The lender is to cease charging the incorrect rates of interest to potentially impacted cohorts of customer accounts and to apply correct rates of interest to those accounts after each cohort is identified and to inform the Central Bank in advance of doing so.

2. The Central Bank expects that lenders will not take steps in the legal process (including issuing demand letters) and will implement controls and/or measures to ensure that potentially impacted customers do not lose possession of their properties during the period from when the potential relevant issue is identified until the lender satisfies itself that potentially impacted accounts are not in fact impacted by the issue or redress and compensation occurs. Such controls and measures may include, but are not limited to, pausing legal activity and repossessions of properties and informing customers that wish to undertake assisted voluntary surrenders of their properties, of the possibility that they may be included in a redress scheme in the future.

3. Where the lender is satisfied that a potentially impacted account is not impacted by the potential relevant issue or any other relevant issue, it may cease to apply the said controls and measures to the account. The lender is to put appropriate systems in place regarding decisions to cease to apply such controls and measures. As part of this process, senior management is to approve any decision to cease to apply the controls and measures to an account in advance of the controls and measures being dis-applied.

4. Before the lender takes any steps against customers that it has not previously identified as being affected by the potential relevant issue that may result in such customers losing possession of their properties (for example by commencing or advancing legal proceedings to take possession of the properties), or before the lender facilitates such customers in the sale of their properties (for example by way of assisted voluntary sale), the lender is to satisfy itself that such customers are not affected by the potential relevant issue or any other relevant issue.

5. The lender to put appropriate systems in place regarding the process by which it satisfies itself in this regard. As part of the process, senior management need to be satisfied that such customers are not affected by the potential relevant issue or any other relevant issue.

Where there is doubt regarding whether or not the potentially impacted customers are in fact impacted by potentially relevant issues or any other issues, lenders should not take steps in the legal process (including issuing demand letters) until lenders are satisfied that it is fully in order to proceed.

I can inform the Deputy that my Department does not currently have any contracts with a company named 'Capita'.

In relation to the eighteen Bodies under the Aegis of my Department, I am informed that three have contracts with companies named CAPITA.

The National Asset Management Agency has two ongoing contracts with Capita Asset Service (Ireland) Ltd relating to loan administration. The National Treasury Management Agency has entered into six contracts with Capita IB Solutions (Ireland) Ltd relating to software and ancillary services, four of which are ongoing. The Financial Services Ombudsman Bureau has entered into one contract with Capita Business Services relating to internal auditing services.

Please see the table for further information. The Deputy should note that the year in which the contracts were concluded are the dates when the contract was signed.

*Actual cumulative payments to YE2016; future payments will depend on level of activity and annual fees will decline as NAMA’s portfolio reduces.

** The NTMA assigns staff to the National Asset Management Agency (NAMA) and the Strategic Banking Corporation of Ireland (SBCI), and also provides them with business and support services and systems. NAMA and the SBCI are recharged a portion of the NTMA fees where appropriate.

I have been advised that all of the aforementioned contracts were procured in line with national and European Union procurement guidelines.

The Home Renovation Incentive (HRI) provides a tax relief by way of an income tax credit on repair, renovation or improvement works on principal private residences and rental properties by tax compliant contractors. HRI came into operation on 25 October 2013, with rental properties being brought within it from 15 October 2014. The scheme is due to end on 31 December 2018.

Subject to compliance with the terms of the incentive, works to repair, renovate, or undertake improvement works to apartments, either owner occupied or rented, would appear to qualify for HRI. However, in the absence of specific details as to the particular circumstances involved, it is not possible to provide a definitive response to the Deputy’s question. I am advised by the Revenue Commissioners that if the Deputy wishes to provide more specific details of a particular property to them in relation to eligibility for HRI, they will arrange to have the matter looked into.

LPT operates on a self-assessment basis and it is a matter for the property owner in the first instance to calculate the tax due based on his or her assessment of the market value of the property. When making an assessment, issues such as defective construction would be one of the factors that a property owner should take into account in valuing their property.

The LPT legislation provides for an exemption from LPT for properties with 'significant pyritic damage'. The qualifying criteria in respect of this exemption were modified by the Finance (Local Property Tax) (Amendment) Act 2015. Details of the qualifying criteria are available on the Revenue website at https://www.revenue.ie/en/property/local-property-tax/exemptions/properties-certified-as-having-pyritic-damage.aspx

I have no plans for further reliefs and exemptions from LPT.

I propose to take Questions Nos. 224, 227 and 253 together.

The Tracker Mortgage Examination is the largest, most complex and significant supervisory review that the Central Bank has undertaken to date in the context of its consumer protection mandate, involving a review of more than two million mortgage accounts by lenders.

As per the most recent Central Bank’s status update of 17 October on the tracker mortgage examination (https://www.centralbank.ie/news/article/statement---tracker-mortgage-examination), circa 13,000 affected customers have been identified to date through the Examination, the majority of whom will receive their redress and compensation before the end of the year. Prior to the Examination, the Central Bank ensured a further 7,100 cases involving tracker mortgage issues were rectified and remedied.

The Central Bank also publishes data on the number of PDH and BTL mortgages, and on the arrears position of those mortgages (see latest data attached https://www.centralbank.ie/docs/default-source/statistics/data-and-analysis/credit-and-banking-statistics/mortgage-arrears/residential-mortgage-arrears-and-repossessions-statistics-june-2017.pdf?sfvrsn=7). This data series also provides information on the mortgages which are held by unregulated loan owners. However, the Central Bank advises that as the Tracker Examination is ongoing it is not in a position to provide granular data on the on the number of impacted tracker mortgage accounts in arrears or which have been transferred to unregulated loan owners.

However, it should be noted that the Tracker Framework requires lenders to review all mortgage accounts, including those that have been redeemed, sold or transferred to another entity by the lender, together with mortgage accounts where the customer has lost possession of the secured property for any reason (including by way of voluntary and involuntary sale). In the case of any loans that have been transferred or sold to another entity the Central Bank has taken the approach that the originator of those loans is responsible for their review and the payment of any redress and compensation required as set out by the Framework. The Framework also requires lenders to implement controls and/or measures to ensure that potentially impacted customers do not lose possession of their properties during the period from when the potential relevant issue is identified until the lender satisfies itself that potentially impacted accounts are not in fact impacted by the issue or redress and compensation occurs. Such controls and measures may include, but are not limited to, pausing legal activity and repossessions of properties and informing customers that wish to undertake assisted voluntary surrenders of their properties, of the possibility that they may be included in a redress scheme in the future.

Regarding the number of Court cases initiated against banks arising from the tracker issue, the Central Bank advises that it does not have data on this legal matter. However, it should also be noted that the Tracker Framework provides that redress and compensation is to be paid to impacted customers up front at the point of offer and compensation cannot be reduced by virtue of a customer lodging an appeal.

As the Deputy is aware, the Central Bank is independent in the performance of its duties in the supervision of regulated financial service providers and it is working to ensure the Tracker Mortgage Examination is completed as soon as possible. The Central Bank has advised that in line with its mandate to ensure that the best interests of consumers are protected, the immediate focus of the Tracker Mortgage Examination is to ensure that lenders prioritise the identification of impacted customers, stop the harm, and then provide appropriate redress and compensation in line with the ‘Principles for Redress’ developed by the Central Bank.

The lender is to take appropriate steps to ensure that any harm potentially being caused to impacted customers is stopped at the earliest possible time after a potential relevant issue is identified, as follows:

- The lender is to cease charging the incorrect rates of interest to potentially impacted cohorts of customer accounts and to apply correct rates of interest to those accounts after each cohort is identified and to inform the Central Bank in advance of doing so.

- The Central Bank expects that lenders will not take steps in the legal process (including issuing demand letters) and will implement controls and/or measures to ensure that potentially impacted customers do not lose possession of their properties during the period from when the potential relevant issue is identified until the lender satisfies itself that potentially impacted accounts are not in fact impacted by the issue or redress and compensation occurs. Such controls and measures may include, but are not limited to, pausing legal activity and repossessions of properties and informing customers that wish to undertake assisted voluntary surrenders of their properties, of the possibility that they may be included in a redress scheme in the future.

- Where the lender is satisfied that a potentially impacted account is not impacted by the potential relevant issue or any other relevant issue, it may cease to apply the said controls and measures to the account. The lender is to put appropriate systems in place regarding decisions to cease to apply such controls and measures. As part of this process, senior management is to approve any decision to cease to apply the controls and measures to an account in advance of the controls and measures being dis-applied.

- Before the lender takes any steps against customers that it has not previously identified as being affected by the potential relevant issue that may result in such customers losing possession of their properties (for example by commencing or advancing legal proceedings to take possession of the properties), or before the lender facilitates such customers in the sale of their properties (for example by way of assisted voluntary sale), the lender is to satisfy itself that such customers are not affected by the potential relevant issue or any other relevant issue. The lender is to put appropriate systems in place regarding the process by which it satisfies itself in this regard. As part of the process, senior management is to be satisfied that such customers are not affected by the potential relevant issue or any other relevant issue.

Where there is doubt regarding whether or not the potentially impacted customers are in fact impacted by potentially relevant issues or any other issues, lenders should not take steps in the legal process (including issuing demand letters) until lenders are satisfied that it is fully in order to proceed.

While I note the recent comments by Commission President Juncker, no formal proposal has been put forward for a change in the way tax policy decisions are taken at EU level.

Article 48(7) of the Lisbon Treaty provides a mechanism for the European Council to empower Council to act by Qualified Majority in certain areas, such as taxation, where unanimity is normally required. However the use of this mechanism requires a unanimous decision at European Council and the consent of the European Parliament. I have been quite clear that Ireland would not support any proposal that undermines the requirement that unanimity is needed for any tax legislation to be agreed at EU level.

In addition, Article 48(7) provides that any individual national Parliament can the block the use of this mechanism by the European Council.

The Central Bank has advised that Table A.18.1 from “Private Household Credit and Deposits” statistical series presents loans advanced to Irish resident private households for the purpose of house purchase by within-the-State offices of credit institutions. These loans are further disaggregated by the type of interest rate fixation and primary use of the property for which the loan was drawn-down. Table A.18.2 presents the outstanding amount of loans advanced to Irish resident private households for the purpose of house purchase by within-the-State offices of credit institutions that have been de-recognised from the balance sheet as loans through securitisation or other transfers but continue to be serviced by the originating credit institution. These loans are further disaggregated by the type of interest rate fixation and primary use of the property for which the loan was drawn-down.

Based on the latest quarterly release: https://www.centralbank.ie/statistics/data-and-analysis/credit-and-banking-statistics/private-household-credit-and-deposits, it can be seen that as at June 2017 for principal dwellings;

- SVR (including up to 1 year fixed) represented €36.510 billion or 42.70 per cent of outstanding values

- Tracker represented €36.71 billion or 42.93 per cent of outstanding values

- Fixed rates of over 1 year maturity represented €12.283 billion or 14.37 per cent of outstanding values.

For Buy-to-let purposes:

- SVR (including up to 1 year fixed) represented €5.665 billion or 30.59 per cent of outstanding values

- Tracker represented €12.63 billion or 68.20 per cent of outstanding values

- Fixed rates of over 1 year maturity represented €0.224 billion or 1.21 per cent of outstanding values.

For Holiday homes/second homes:

- SVR (including up to 1 year fixed) represented €0.273 billion or 33.41 per cent of outstanding values

- Tracker represented €0.509 billion or 62.30 per cent of outstanding values

- Fixed rates of over 1 year maturity represented €0.035 billion or 4.28 per cent of outstanding values.

I am informed by Revenue that employer-provided parking is not currently subject to benefit-in-kind taxation. I do not currently have any plans to change this. My officials are unaware of a committee such as the Deputy describes.

I wish to inform the Deputy that I have two Special Advisers who are on the Department of Public Expenditure and Reform's payroll. Both Special Advisers are compensated on the third point of the Principal Officer PPC Scale at a rate of €88,392. The Department of Finance and the Department of Public Expenditure and Reform will share the cost of these salaries.

Ms Deborah Sweeney was appointed as Special Adviser to the Minister for Public Expenditure and Reform on 6 September 2017 with effect from 15 June 2017, in accordance with SI Ref No. 399 of 2017.

Mr Stephen Lynam was appointed as Special Adviser to the Minister for Public Expenditure and Reform on 6 September 2017 with effect from 15 June 2017, also in accordance with SI Ref. No 399 of 2017.

The Government Order S180/20/10/0314K approving their re-appointment is dated 6 September 2017 and covered the period from 15 June 2017. Both Special Advisors are subject to the Official Secrets Act, 1963.

Both Ms Sweeney and Mr Lynam were Special Advisers to the Minister for Public Expenditure and Reform immediately prior to their re-appointment. The appointments were made in line with “Instructions to Personnel Officers - Ministerial Appointments for the 32nd Dáil” which include “Guidelines on staffing of Ministerial offices” issued by the Department of Public Expenditure and Reform.

The Department of Finance is currently preparing the Order to appoint Ms Sweeney and Mr Lynam as Special Advisers to me as Minister for Finance.

Minister of State D'Arcy does not currently have a Special Adviser appointed.

The European Central Bank (ECB) announced on October 26th the extension of its QE programme from December 2017 until September 2018 at the earliest, while at the same time announcing a reduction in the rate of monthly purchases from January 2018 to €30 billion, from €60 billion at present. The reinvestment of principal payments on maturing securities purchased under the programme will continue for "an extended period of time" after the end of net asset purchases, meaning the ECB will remain in the secondary sovereign bond market beyond September 2018.

Economic evidence generally points to QE as having had positive effects on the European economy, contributing to lowering sovereign debt yields and providing a small boost to bank lending, investment, real GDP, headline inflation, and medium-term inflationary expectations. The Irish economy has benefitted in particular via a reduction in sovereign borrowing costs, additional liquidity in the banking sector, and an improvement in economic activity in key export markets. The extension of the programme to September 2018 is expected to continue to contribute to these effects, supporting overall economic growth and inflationary expectations.

In my view, the ECB's decision to downsize the scale of its QE purchases, whilst also leaving open the possibility of an extension beyond the new end date, is a measured response that balances favourable short-run economic data flow and a generally positive outlook, against possible market disruption that may occur in the event of an abrupt wind-down. Downsizing is based on a view that the euro area economy no longer needs the same level of monetary stimulus, a view that is supported by recent outturns in the euro area which showed a solid growth rate of 0.6 percent quarter-on-quarter in Q3 2017, or 2.5 percent year-on-year. As such, any negative impacts of winding down are expected to be limited. My Department will continue to monitor developments, including with respect to growth and inflation in the euro area, and advise accordingly.

The extraordinarily accommodative monetary policy adopted by the ECB, and the associated decline in sovereign borrowing costs, clearly cannot last indefinitely. This heightens the need to implement prudent fiscal policies to keep sovereign borrowing costs low. In this regard, I would point out that while our debt-to-GDP ratio will continue falling in the coming years (on the basis of my Department's forecasts), this is solely due to rising GDP; in purely money terms, we will continue to increase public debt next year and in 2019. In these circumstances, it is crucial that prudent budgetary policies are implemented in order to minimise debt interest payments.

The Central Bank utilises a three-stage banking authorisation assessment process, the first two stages being part of a pre-application assessment, followed by submission of a formal application. It should be noted that it is the European Central Bank which determines whether a banking authorisation should be granted under section 9 of the Central Bank Act, 1971 (general banking authorisations). The Central Bank is the competent authority for Third Country Branches (a credit institution whose head office is located in a state or territory other than an EEA state and which holds an authorisation to carry on banking business in that state or territory from the authority that exercises in that state or territory functions corresponding to those of the Central Bank).

I am informed by the Central Bank that, at present, there are no applications for a banking license for retail banking services.

I propose to take Questions Nos. 233 and 242 together.

I am aware of the current position regarding the delays in processing Employment and Investment Incentive (EII) applications. Revenue has informed me that due to an increase in both the volume of the correspondence received and complexity of the issues involved in relation to applications for relief under EII, there has been an unavoidable increase in the time taken to respond to that correspondence.

Relief for investments under EII arises at the time that shares are subscribed for, meaning that applications for relief are made to Revenue after the date on which the shares are issued. As such, the backlog of applications does not prevent investors from making investments in respect of which relief can be claimed. Revenue, as an administrative measure, provides outline approval in advance of share issues to give a level of comfort to potential investors. It is not necessary to obtain outline approval in advance of share issues.

I am further advised by Revenue that a claim for relief is made by the individual when filing their annual tax return, which this year was due on 31 October 2017 for paper filers and 16 November 2017 for ROS filers. Where individuals invest directly in a company, the claim for relief must be made in respect of the year of assessment in which the investment is made. That claim may generally be made at any time up to two years after the investment. Under the pay and file system, preliminary tax for the 2017 year of assessment is due along with any final tax liability due in respect of the 2016 year of assessment. I am advised by Revenue that, in accordance with section 959AO(4)(c), when calculating the amount of preliminary tax due based on the prior year’s tax liability relief for EII investments should not be included. Therefore, currently there is no approaching deadline for investors.

The backlog in processing ‘EII Outline’ applications is 3 months, while the backlog on actual EII claims is about 2 months. Procedures have been put in place to reduce these backlogs, and additional resources have been assigned to process the backlog.

My decision not to increase the rate of excise duty applying to petrol and diesel in Budget 2018 ensures that the applicable rates have remained unchanged since 2012.  

To protect road transport operators from exposure to increases in the price of oil a fuel rebate scheme was introduce in July 2013. This scheme, known as the Diesel Rebate Scheme, provides a partial refund of excise duty on the basis of the retail price of fuel. Once a litre of diesel is above €1.23, qualifying road transport operators can apply for a refund of 1c per litre and this increases on a sliding scale up to 7.5c per litre if the price of fuel reaches €1.54 per litre.

My officials have investigated this matter and have found that Ulster Bank have not reduced service in their Ballyconnell branch. The opening hours have not changed. Ballyconnell customers, in addition to using the branch, can manage their personal and business accounts directly, anytime and anywhere using:

- Anytime internet banking

- Mobile phone banking

- Anytime Telephone banking

- ATMs

- Bankline

- An Post

Ulster Bank closed three branches in the Cavan/Monaghan constituency this year – Arva, Carrickmacross and Cootehill. However, they introduced six Community Banker roles, who are experienced staff that represent Ulster Bank in the community with a focus on providing support to customers. These roles focus on the geographical areas where branches have closed. Ulster Bank have also enhanced the existing transactional banking services they offer via An Post for Cootehill, Arva and Carrickmacross customers.

During September 2017, Ulster Bank launched a mobile banking ‘Bank on Wheels’ service in Cavan and Monaghan which operates 5 days a week and can accept deposits, cash withdrawals, bill payments, and all vehicles have on-board customer phone facilities for contacting central areas to enquire about products and services.

Notwithstanding the State’s 14% minority shareholding in Bank of Ireland, I, as Minister, have no direct function in commercial decisions taken by the bank including those which are part of the relationship between the bank and its customers. Decisions of this nature are matters for the board and management of the institution. The Minister has responsibility to ensure that the bank is run on a commercial, cost effective and independent basis to protect the value of the bank as an asset to the State. Accordingly, it would not be appropriate for me to intervene in actions taken by the BOI in matters of this nature.

A Relationship Framework has been specified which defines the nature of the relationship between the Minister and Bank of Ireland which can be found at the following link:

http://www.finance.gov.ie/what-we-do/banking-financial-services/shareholding-management-unit/bank-ireland/relationship-0

Notwithstanding this, officials in the Department of Finance have been provided with an update by Bank of Ireland relating to developments in its branch network with the bank commenting on its retention of a strong nationwide branch presence (c. 250 branches and 16 additional banking outlets), and in branches where staff move from behind the counter, the continued provision to customers of a comprehensive range of products and services, the ability to lodge and withdraw cash from easy to use self-service devices and access to online phone services. In addition, the bank has highlighted its commitment to supporting vulnerable and elderly customers in the use of digital and self-service options.

Finally, the matter raised by the Deputy was the subject of a Topical Issues debate during the summer and further details of the update supplied by Bank of Ireland was shared with the Dail at that time. The full debate can be found at the following link:

http://oireachtasdebates.oireachtas.ie/debates%20authoring/debateswebpack.nsf/takes/dail2017062900055?opendocument#FFF00500

The scope of the Central Bank Tracker Mortgage Examination covers all lenders which sold tracker mortgage accounts, including both for the family home and investment properties, up to the end of 2015:

- that originated on tracker interest rates;

- that had tracker interest rates applied at any stage during the term of the underlying mortgage agreements; and/or

- where the underlying mortgage agreements provided for contractual rights to or options for tracker interest rates at any stage during the term of the agreements.

All tracker mortgage accounts, including staff loans, that fall within this scope are covered by the Examination.  

However, subject to compliance with all relevant legal and regulatory requirements, a lender is not obliged to offer any particular mortgage product to a prospective borrower.   

The Central Bank issued details on the tracker mortgage Examination in March 2017 and October 2017 which are available at the following link: 

https://www.centralbank.ie/consumer-hub/tracker-mortgage-examination.

Where a customer is dissatisfied with their lender’s approach in relation to a tracker mortgage issue, the customer has to right to refer a complaint directly to the lender. Lenders have set up dedicated units to deal with complaints and queries in relation to tracker related matters. Details as to how a customer can complain directly to the lender are available on the lender's website.   The lender is required to handle all complaints in accordance with the requirements of the Consumer Protection Code. If the customer is not satisfied with the outcome of how their complaint has been dealt with, the customer has the right to make a complaint to the Financial Services Ombudsman who is the statutory competent authority to deal with individual customer complaints.

The Government acknowledges and appreciates the work undertaken both before and after the storms by a wide range of individuals including the emergency services, road and electricity crews and community and voluntary organisations. 

However, the rates at which Income Tax is charged, and the amounts subject to each rate are set out in section 15 of the Taxes Consolidation Act 1997. The legislation does not allow for an alternative tax treatment for income earned in particular circumstances such as, for example, income earned by individuals working to restore roads and electricity after the recent storms.

All individuals are subject to income tax at the standard rate (currently 20%) up to their standard rate cut off point, and at the marginal rate (currently 40%) above that point. The current standard rate cut off points in respect of different classes of individual are set out in the table below:

*where each spouse earns a minimum of €24,800.

I have no plans to introduce changes which would enable the income tax code to accommodate circumstances along the lines of those mentioned by the Deputy. 

There is a variety of factors which result in a disparity between mortgage interest rates in Ireland and other EU countries. Some of these include differences in national legal and housing systems, cultural preferences, the proximity of lenders to borrowers. More directly, credit and market conditions, mortgage default rates and the funding of mortgage credit will also be relevant factors.

There have, however, been some developments which seek to promote a more harmonised market for credit across the EU. In particular, the 2014 Mortgage Credit Directive, which has now been transposed into Irish law by the European Union (Consumer Mortgage Credit Agreements) Regulations 2016, seeks to develop a more harmonised, efficient and competitive internal market for the provision of residential mortgages to consumer borrowers and this should help to promote the closer integration of EU mortgage markets over time.

In terms of the national context, the issue of the level of variable mortgage rates is an important one for this Government and it is committed to reducing the cost of secured mortgage lending and promoting competition in the supply of mortgage finance. To that end, the Competition and Consumer Protection Commission (CCPC) has recently produced a report which sets out options for consideration to help improve the level of competition and general efficiency of the market. Additionally, the Central Bank has recently carried out research which showed the scope for borrowers to save money by switching mortgages. 

Following on from this, and building on the 2016 addendum to the Consumer Protection Code in relation to standard variable rate mortgage holders, last August the Central Bank  published a consultation paper proposing new measures which would enhance the framework of protections for variable rate mortgage holders and in particular to require lenders to, inter alia, better inform consumers about other available mortgage options that could save them money, to help them compare their existing mortgage to other mortgage options and to provide consumers with standardised switching information. A copy of the Consultation Paper is available on the Central Bank’s website and the consultation process was open for comment until 1 November 2017.

In overall terms, the Government is of the opinion that the development of a healthy banking system, which is one which delivers increased competition, which is in a position to provide finance to credit worthy customers and which is also resilient to economic and financial market shocks, is the best way to ensure that retail lending rates are driven down in a sustainable way for the market as a whole but without giving rise to potentially undesirable consequences for the provision of new mortgage lending. 

I am advised by Revenue that income arising from participation in a Community Employment Scheme is liable to income tax and that such income is, in fact, taxed under the PAYE system.

If the Deputy is aware of a situation whereby participants in a Community Employment Scheme are not paying income tax, he should provide relevant details to Revenue who will examine the matter.

The Programme for Partnership Government recognises the difficulties faced by community groups in relation to VAT rates on certain products such as defibrillators. This is an EU competency and the Government has committed to  work with our EU counterparts in seeking to reform this area.

Defibrillators, other than implantable defibrillators, are liable to VAT at the standard rate, which in Ireland is 23%. Parts or accessories are also liable to VAT at the standard rate. There is no provision under existing VAT law that would make it possible to apply a reduced rate or zero rate to the supply of such products. Under the EU VAT Directive, Member States may retain the zero rate on goods and services which were in place on 1 January 1991, but cannot extend the zero rate to new goods and services. As such a zero rate cannot be applied to defibrillators. Any changes to VAT rates outside of what is currently permitted by the EU VAT Directive must be negotiated at EU technical working groups and ultimately agreed by the EU Council of Finance Ministers.

As part of the Action Plan on the future of VAT published on 7 April 2016 which sets out the Commission’s pathway for modernising the VAT system, the EU Commission is due to publish a proposal on the reform of VAT rates later this month. Earlier in the year, preliminary details of the proposed changes were discussed as part of the EU Commission’s Group on the Future of VAT - a forum for consulting VAT experts from Member States on pre-legislative initiatives. Officials from the Department of Finance contributed to these discussions.  With regard to what activity should be subject to a reduced rate of VAT going forward, Ireland specifically recommended to the Commission to include defibrillators and other emergency-medical and rescue equipment. After the Commission proposal is published, technical and political discussions will commence at EU Council among all Member States and Ireland will take the opportunity to continue to recommend that Member States should be able to apply specialised VAT rating to defibrillators and other emergency-medical and rescue equipment.

In advance of any change that might be made at EU level to the VAT rating of defibrillators and other products that pose difficulty for community groups, I am happy to draw your attention to the Budget 2018 announcement of a VAT compensation refund scheme, which will compensate charities for the VAT they occur on their inputs, in recognition of the work undertaken by the charities sector. 

The scheme will take effect from 1 January 2018 but will be paid one year in arrears. That is, charities may make a claim in 2019 for VAT costs arising in 2018. Charities will be entitled to a proportion of VAT based on the level of non-public funding they receive. A capped fund of €5 million will be available to the scheme in 2019.

The Government is very committed to supporting community groups and we will continue to press for a reduction in the VAT rate on defibrillators at EU level.

I am advised by Revenue that the provisions relating to penalties for failing to make a correct tax return where one is required are set out in section 1077E of the Taxes Consolidation Act (TCA) 1997. This section provides that the applicable penalties may be mitigated in specific circumstances where the taxpayer makes a “qualifying disclosure”, that is a full disclosure of all information relating to a liability made before an inquiry into the liability is commenced by Revenue. This was not an amnesty, the full tax liability, statutory interest and penalties were payable.

However, section 56 of Finance Act 2016 introduced a new provision which excluded any tax defaults relating to offshore matters from the qualifying disclosure regime with effect from 1 May this year. As a result any tax defaults which have not yet been declared cannot avail of the mitigation in penalties. 

These changes were introduced as part of Ireland’s fight against offshore tax evasion, and following increased levels of international tax transparency and data exchange. Under international exchange of information agreements Revenue are now receiving information relating to Irish taxpayers from over 100 countries, and are working with other jurisdictions to maximise the use of this information. As a result of these developments Revenue have increased capabilities to identify offshore tax defaulters, and to carry out audits and investigations into outstanding liabilities.

Following the enactment of Finance Act 2016 those with outstanding offshore tax liabilities were given a window of opportunity to avail of reduced penalties under the qualifying disclosure regime before the 1 May deadline. As this deadline has now passed, persons with outstanding offshore tax defaults will not be able to avail of the reductions of penalties provided under the qualifying disclosure regime.  However, where a taxpayer has an offshore liability it is still in their interest to come forward to Revenue to regularise their affairs in order to avoid the risk of an investigation leading to a criminal prosecution, and to avail of the reduced penalties that are offered to taxpayers that fully cooperate with Revenue as set out the Code of Practice for Revenue Audit and other Compliance Interventions.

I am further advised that tax defaults, whether they relate to offshore or domestic liabilities, are subject to statutory interest under section 1080 TCA 1997.

Section 477C of the Taxes Consolidation Act 1997 provides for the Help to Buy (HTB) initiative. A  first-time purchaser is defined as "an individual who ... has not, either individually or jointly with any other person, previously purchased or previously built, directly or indirectly, on his or her own behalf a dwelling". 

One of the main policy aims of the Help to Buy initiative is to help encourage the building of additional new properties. By restricting this initiative solely to new dwellings and new self builds, it is anticipated that the resulting increase in demand for affordable new build homes should encourage the construction of an additional supply of such properties. The other main aim of the scheme is to make mortgages more accessible to first-time buyers, many of whom have difficulty securing the required deposit under the Central Bank macro-prudential rules. I believe that it would be inequitable to individuals that are resident in Ireland to allow those who had already purchased a property elsewhere to avail of the incentive putting them at a significant advantage to both genuine first-time buyers and indeed all other buyers. 

Regarding the Central Bank of Ireland mortgage lending rules, it should be noted that the Bank is independent in the formulation of macro prudential policies. 

I am advised by the Central Bank that for the purposes of the Central Bank mortgage rules, a first-time buyer is defined as a borrower to whom no housing loan has ever before been advanced. Where the borrower under a housing loan is more than one person and one or more of those persons has previously been advanced a housing loan, none of those persons is a first-time buyer for the purpose of the Bank’s mortgage lending rules despite their previously owning a property.

The Disabled Drivers and Disabled Passengers Scheme provides relief from VAT and Vehicle Registration Tax, an exemption from motor tax and a grant in respect of fuel expenditure, on the purchase of an adapted car for transport of a permanently and severely disabled person within the terms of the Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations 1994.

The scheme and qualifying criteria were designed specifically for those with severe physical disabilities and are, therefore, necessarily precise. To qualify for the scheme an applicant must be in possession of a primary medical certificate, which can be obtained if an applicant meets one of the following conditions:

- be wholly or almost wholly without the use of both legs;

- be wholly without the use of one leg and almost wholly without the use of the other leg such that the applicant is severely restricted as to movement of the lower limbs;

- be without both hands or without both arms;

- be without one or both legs;

- be wholly or almost wholly without the use of both hands or arms and wholly or almost wholly without the use of one leg;

- have the medical condition of dwarfism and have serious difficulties of movement of the lower limbs.

After six months an unsuccessful applicant can re-apply if there is a deterioration in their condition.

From time to time representations are received on behalf of individuals who feel they would benefit from the scheme but do not qualify under the criteria. While I have sympathy for these cases, given the scale and scope of the scheme, I have no plans to review the medical criteria eligibility at this time.

The Deputy will be aware that I announced in the Budget the introduction of a VAT compensation scheme for charities, which will compensate them for the VAT they incur on their services. The scheme will be introduced in respect of VAT incurred in 2018 but will be paid in arrears in 2019. Details of the proposed scheme are available on my Department’s website.

Legislation for this scheme is not included in the current Finance Bill as it will be made by Ministerial Order on the basis of Section 103 of the Value-Added Tax Consolidation Act 2010 (Ministerial Refund Orders). One of the reasons that the scheme will not pay out until 2019 is that it will take time for the Revenue Commissioners to establish the necessary IT and administrative systems. 

The VAT Refund Order establishing this scheme will be implemented over the course of 2018, taking into account all implications of the proposed change, including Revenue's practical implementation requirements. If it is deemed at any point that a change to primary legislation is required, this can be undertaken in Finance Bill 2018, but this will not delay the introduction of the scheme.

Setanta Insurance was placed into liquidation by the Malta Financial Services Authority on 30 April 2014. As it was a Maltese incorporated company, the liquidation is being carried out under Maltese law.

As the Deputy is aware, the Supreme Court delivered its judgment on 25 May 2017 and overturned the previous decisions of the High Court and the Court of Appeal that the Motor Insurers’ Bureau of Ireland (MIBI) was liable in respect of third party motor insurance claims made against the policyholders of Setanta Insurance. The consequence of this is that the Insurance Compensation Fund (ICF) has been deemed responsible for the payment of such third party claims.

As the judgment has been delivered, the process of making payments in accordance with the provisions of the Insurance Act, 1964, as amended, has commenced. Under the current legislation payments can only be made out of the ICF, with the approval of the High Court and only if it appears to the High Court that it is unlikely that the claim can be met otherwise than from the ICF. If satisfied, the High Court can order payments out of the ICF up to 65% (or €825,000, whichever is the lesser) due to relevant claimants. 

To date, there have been two applications to the High Court for the payment of compensation from the ICF in relation to Setanta Insurance. An Order was granted in the High Court in October 2016 in relation to first party claims at a cost to the ICF of €608,085.14. Subsequent to the Supreme Court judgment, an Order was granted in the High Court in July 2017 in relation to third party claims at a cost to the ICF of €6,479,336.85. Therefore, the total amount paid out of the ICF to date in relation to Setanta Insurance is €7,087,421.99.

The Liquidator has informed my Department that, as of 30 September 2017 - the latest information available -, there are 1,576 active claims, of which 573 claimants have been paid compensation from the ICF subject to the 65%/€825,000 limits. The process of settling claims is still ongoing and are subject in some cases to complex negotiations between all relevant parties. The Liquidator is currently working on settled claims and preparing them for inclusion in the next application to the High Court, expected to be made in February 2018.

Over and above the 65% ICF payment, it is expected that a proportion of the balance of money due to third party claimants will be met from the proceeds of the distribution of Setanta’s assets on completion of the liquidation process. An actuarial report, commissioned by the Liquidator, estimates the claims reserves at 30 June 2017 at between €105.9 million and €112.9 million. This is an increase from the first report in 2014, which estimated the claims reserves at between €87.7 million and €95.2 million.

A consequence of this is that based on this actuarial report, the liquidator now estimates that he will not be in a position to meet more than 22% of the claims out of the assets of the liquidation, rather than the not more than 30% of claims figure previously indicated.

In addition, the Deputy should note as previously indicated that there is a legal concern that any Government intervention could undermine the priority status of claimants in the liquidation. The Department of Finance has therefore sought legal advice on the impact on the State's ability to recover from the liquidated company if it were to compensate third party claimants. 

Once this legal issue is clarified, the Government will be in a better position to consider its overall position on the liquidation process.

I am advised that NAMA does not own properties. Rather its role is as a secured lender and the properties remain under the control of the debtor, or where enforcement has taken place, the appointed receiver/administrator. 

I am advised that the properties concerned are under the control of a receiver who has responsibility for their management and maintenance. In this regard, I am advised by NAMA that the receiver undertook completion works of new and unfinished units, using funding from NAMA, to ensure they could be occupied by residential tenants.

The Deputy will be aware that the receiver has a fiduciary duty to maximise the return for assets under their control. Furthermore, under Section 10 of the NAMA Act, NAMA is obliged to obtain, from its secured assets, the best achievable financial return for the State. I am advised that any future strategy in relation to the assets will therefore be decided with due regard to the statutory obligations of NAMA and the fiduciary obligations of the receiver.

The Deputy will also be aware that I, as Minister for Finance, have no role in respect of NAMA's commercial operations or decisions, and it would not therefore be appropriate for me to comment on individual assets or on the asset strategies that may be adopted.

I am advised by Revenue that, in the case of a self-build, the main criteria which apply under the Help to Buy scheme are:

- the claimant must be a first-time buyer,

- the residence must be built directly or indirectly by the first-time buyer,

- a loan must be taken out with a qualifying lender in respect of provision of the self-build, where the loan-to-value ratio is a minimum of 70%,

- the valuation approved by the qualifying lender must not exceed €500,000 unless the first tranche of the loan was drawn down between 19 July 2016 and 31 December 2016, in which case it must not exceed €600,000, and

- the residence must be occupied as the only residence of the first-time buyer for a minimum of 5 years.

For the purposes of valuing a self-build property under Help to Buy, I understand that Revenue follow the criteria used by the Central Bank under its macro-prudential mortgage rules. By way of clarification, these relate to the aggregate of the market value of the land and the estimated costs of construction rather than the market value of the home.

As the Deputy will be aware, the Fossil Fuel Divestment Bill 2016 is a Private Member's Bill which was introduced by Deputy Thomas Pringle in November 2016. It is not a Government Bill. However I can indicate to the Deputy where the Bill currently stands.

Following its passage through Second Stage on 19 January 2017, the Bill was referred to the Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach for pre-legislative scrutiny. Minister of State D’Arcy and the Ireland Strategic Investment Fund (ISIF) made separate appearances before that Committee on 27 June last.

As indicated by Deputy Pringle during Minister D’Arcy’s appearance before the Committee, he will work with the Government, during Committee Stage, to arrive at amendments which seek to address Government concerns regarding the unintended consequences which the Bill might have.

ISIF has been proactive in this space and following a review has recently written to me proposing an update to it investment strategy in terms of the exclusion of certain categories of investment.

Regarding the Private Member’s Bill I await the Committee's signalling as to when to move to Committee stage proper.

There are no State funds provided or required in relation to the creation of a Holding Company by AIB, as facilitated by an EGM (Extraordinary General Meeting) on Friday 3rd November.

AIB is required to establish a Holding Company structure under the BRRD (Bank Recovery and Resolution Directive) which established an EU framework for dealing with pre-resolution and resolution mechanisms, tools and rules applicable to banks. The BRRD is designed to provide the relevant authorities with a credible set of tools to intervene sufficiently early and quickly in an unsound or failing bank or its group to ensure the continuity of its critical financial and economic functions, and minimise the impact on the economy and financial system.

The implementation of this holding company structure enables AIB to meet its regulatory requirements. It also provides additional confidence that they have sufficient amounts of capital, and liabilities that are capable of absorbing losses, without recourse to public funds, in a manner that minimises the impact on financial stability.

The Deputy may wish to note that the Central Bank's document "Principles for Redress" in relation to the tracker mortgage examination provides, inter alia, that the credit rating of impacted customers is to be corrected as soon as possible by the lender and that copies of an updated credit rating are to be provided free of charge to impacted customers.

The Central Bank "Principles for Redress" document is available at the attached link: https://www.centralbank.ie/consumer-hub/tracker-mortgage-examination.

I propose to take Questions Nos. 255 and 268 together.

As the Deputy is aware, the Central Bank of Ireland has set out the Framework for Conducting the Tracker Mortgage Examination and the Principles for Redress. The Central Bank has indicated that appeals form an important part of the overall Examination process by ensuring independent and transparent processes to address complaints from customers about the level of redress and/or compensation offered to them. The Central Bank requires lenders to have such appeals processes in place in advance of making redress and compensation payments to impacted customers. The Central Bank has advised that three lenders have now established appeals processes for customers who have received redress and compensation offers as part of the Examination process. The Central Bank continues to engage with the remaining lenders regarding the setting up of their appeals processes. Redress and compensation are to be paid to impacted customers up front at the point of offer and cannot be reduced by virtue of a customer lodging an appeal. This ensures that a customer’s need to receive payment upfront is not a determining factor in deciding whether or not to appeal an offer from a lender. To assist customers in the consideration of the redress and compensation offers made to them, including whether to make an appeal in respect of the adequacy of the offers, an additional payment is provided to impacted customers at the point of offer to enable them to take professional advice.

Given the key role the appeals process will have in delivering fair outcomes for impacted customers, the Central Bank has also developed and issued guidance to lenders outlining its expectations in respect of the establishment and operation of their appeals processes. This guidance includes the expectation, mentioned above, that redress and compensation paid to customers at the point of offer cannot be reduced by virtue of those customers lodging an appeal. This ensures that a customer’s need to receive payment up front is not a determining factor in deciding whether or not to appeal an offer. Further information can be found within the Central Bank’s Guidelines for the Establishment and Operation of an Appeals Process to Deal with Appeals Arising from the Tracker Mortgage Examination, available on the Central Bank’s website.

However, the Central Bank has also advised that, generally speaking, it can only disclose supervisory and regulatory information in a summary or aggregate form so that individual firms cannot be identified. The Central Bank has further indicated that, due to the fact that only a minority of lenders are at appeals stage at this point, the disclosure of data in relation to appeals at this point could be attributed to individual firms.    

The Central Bank has advised that in accordance with the Tracker Examination Framework, the Central Bank expects that for all impacted customers, lenders’ redress and compensation offers will restore them to the position they would have been in had the detriment not occurred and that they are appropriately compensated for the detriment suffered.

The Central Bank expects the majority of the 13,000 impacted customers identified to date under the Examination will receive redress and compensation by year-end. The Bank has also advised that its decisions regarding the groups of customers identified as part of the Examination and disputed by some lenders to date will be issued to lenders by mid-December. As of end-September, €120m has been paid in redress and compensation to approximately 3,300 impacted borrowers. This is in addition to redress and compensation provided by permanent tsb plc (€36.8 million) and Springboard Mortgages Limited (€6.2 million) to customers pursuant to their Mortgage Redress Programme (MRP), which was required by the Central Bank and predated the industry wide Examination. Accordingly from July 2015 to end September 2017, the aggregate figure for redress and compensation to customers arising from the MRP and the Examination is €163 million.

In line with the Central Bank’s mandate to ensure that the best interests of consumers are protected, the Bank's immediate focus is to ensure that lenders prioritise the identification of impacted customers, stop the harm and then provide appropriate redress and compensation in line with the Principles for Redress. The purpose of redress is to return customers to the position they would have been in had the issue not occurred. Compensation should be reasonable and reflect the level of detriment suffered by customers.

The Central Bank Framework requires that lenders categorise impacted customers by reference to the type and level of detriment suffered. The types of detriment identified range from overcharging due to the application of incorrect interest rates up to loss of ownership of mortgaged properties.

The calculation of redress and compensation proposals for customers can be complex. The Central Bank has challenged all lenders with particular regard to their redress and compensation proposals for loss of ownership customers and as a result lenders have substantially improved their proposals.

Each lender's compensation package is tailored to the specific circumstances of its customer. Given the complexity of the issues identified by the Examination, the scale of detriment suffered is unique to each individual customer and the level of the redress and compensation payment will, therefore, be dependent on the circumstances of the individual case.

It should be noted that all redress and compensation payments are made to customers on an upfront basis.  Customers can accept the redress and compensation offered and still make an appeal to the appeals panels required to be established by lenders. Customers’ rights to make appeals to the FSO and through the courts are also preserved.

The recent October 2017 Central Bank update on the tracker mortgage examination (https://www.centralbank.ie/docs/default-source/consumer-hub-library/tracker-issues/update-on-tracker-examination.pdf?sfvrsn=5) indicates that to date lenders have reported that as a result of their failings, loss of ownership has occurred in respect of 23 private dwelling homes and 79 buy-to-let properties. However, the Bank's update also states that, as lenders’ analyses continue, this figure will rise. The Central Bank's "Principles for Redress" makes clear to lenders that the level of compensation provided for the harm inflicted on impacted borrowers must reflect the level of detriment involved.

I am informed by Revenue that for gift and inheritance tax purposes, the relationship between the person who provides the gift or inheritance (i.e. the disponer) and the person who receives the gift or inheritance (i.e. the beneficiary) determines the maximum amount known as the “Group threshold” below which gift or inheritance tax does not arise.

There are three separate Group thresholds based on the relationship of the beneficiary to the disponer. The Group A threshold (currently €310,000) applies, inter alia, where the beneficiary is a child (including adopted child, step-child and certain foster children) or minor child of a deceased child of the disponer.

I am further informed by Revenue that sections 90 to 102 of the Capital Acquisitions Tax Consolidation Act (CATCA) 2003 provide for business relief. The relief takes the form of a 90% reduction in the taxable value of gifted or inherited business property.

In order for business relief to apply, business assets that are the subject of the gift or inheritance must constitute what is defined as ‘relevant business property’. Included in the definition of relevant business property are unincorporated businesses, unquoted shares in certain family companies, and also assets used wholly or mainly for the purposes of a business carried on by a family company or a partnership, but not owned by the company or partnership. A business consisting wholly or mainly of dealing in land, shares, securities or currencies or making or holding investments does not qualify for business relief.

The relevant business property must also have been owned by the disponer for a minimum period prior to the gift or inheritance in order to qualify for business relief.  The minimum period for gifts is 5 years and the minimum period for inheritances is 2 years.

Business relief is clawed back if the relevant business property is sold or compulsorily acquired within 6 years of the date of the gift or inheritance or if the business ceases to be carried on within that 6 year period.  A claw-back of business relief will be avoided if the sold relevant business property is replaced within a year of the sale by other qualifying relevant business property.

The position as regards gift and inheritance tax is, therefore, that parents can transfer a family business with a market value of up to €3,100,000 to a child without any charge to gift or inheritance tax arising on the transfer, providing the parents, the child and the business assets each meet the conditions for business relief and providing the child has received no prior gifts or inheritances from his or her parents under the Group A threshold.

The European Union (Consumer Mortgage Credit Agreements) Regulations 2016 (which transpose the Mortgage Credit Directive into Irish law) imposes certain obligations on lenders in relation to assessment of the creditworthiness of consumer mortgage borrowers.  In particular, the Regulations provide that, before concluding a mortgage credit agreement, a lender must make a thorough assessment of the consumer’s creditworthiness.  The assessment must take appropriate account of factors relevant to verifying the prospect of the consumer being able to meet his or her obligations under the credit agreement.  The lender must ensure that the procedures and information on which the assessment is based are established, documented and maintained.  The Regulations also provide that a lender should only make credit available to a consumer where the result of the creditworthiness assessment indicates that the consumer’s obligations resulting from the credit agreement are likely to be met in the manner required under that agreement. 

The assessment of creditworthiness must be carried out on the basis of information on the consumer’s income and expenses and other financial and economic circumstances which is necessary, sufficient and proportionate.  The Central Bank of Ireland has indicated that, on 1 June 2015, the European Banking Authority (EBA) published its final Guidelines on creditworthiness assessment.  These Guidelines support the implementation of the Mortgage Credit Directive and are intended to ensure that consumers are protected consistently across the European Union when interacting with creditors. The Guidelines provide greater detail on how creditors should give effect to the relevant Mortgage Credit Directive provisions.  As a further support to the implementation of this Directive, the EBA has also published an Opinion on Good Practices for Mortgage Creditworthiness Assessments and Arrears and Foreclosure, including expected mortgage payment difficulties. 

The Guidelines state, under the heading ‘Verification of Consumer’s Income’, the following:

1.1  When verifying a consumer's prospect to meet his/her obligation under the credit agreement as referred to in Article 18 of the Mortgage Credit Directive, the creditor should make reasonable enquiries and take reasonable steps to verify the consumer's underlying income capacity, the consumer's income history and any variability over time.

1.2 In the case of consumers that are self-employed or have seasonal or other irregular income, the creditor should make reasonable enquiries and take reasonable steps to verify information that is related to the consumer's ability to meet his/her obligations under the credit agreement, including profit capacity and third-party verification documenting such income.

However, neither the Mortgage Credit Directive nor the associated EBA Guidelines make a specific reference to income in the form of social welfare entitlements or payments received. On that basis, there is no legal restriction on a lender taking social welfare entitlements or payments into account in their assessment of creditworthiness.  However, subject to these provisions and also subject to compliance with any other legal or regulatory provision governing the provision of services to consumers, it will ultimately be a matter for lenders to determine their own credit policies and to make their own individual credit and lending decisions.

The ability to sell loans to a third party is governed by the original contract between the lender and the customer and I do not have the data requested by the Deputy in respect of individual banks.

If a borrower has a difficulty with interpretation by a particular lender, I should point out that the Financial Services Ombudsman can investigate complaints from individual consumers about the actions of hire purchase firms and I would urge a customer who may have a complaint about such a firm to make a complaint to the FSO if the issue cannot be resolved with the firm concerned.    

I understand from the Central Bank that the impairment of any exposure on a Bank’s balance sheet is governed by the relevant accounting standard. The Central Bank of Ireland issued guidelines in 2013, entitled ‘The Central Bank of Ireland Impairment Provisioning and Disclosure Guidelines’ which cover regulatory expectations regarding the policies, procedures and disclosures which the State supported Covered Institutions should adopt for loans and receivables financial assets (and held to maturity financial assets, where applicable) that are subject to impairment review in accordance with the requirements of International Accounting Standard 39 Financial Instruments: Recognition and Measurement (“IAS 39”).

It is also important to highlight that the transfer of a loan from one entity to another does not change the terms of the contract or the borrower's rights and obligations under the original contract.

I propose to take Questions Nos. 261 to 263, inclusive, together.

Officials in the Department of Finance have received the following responses from the banks in relation to the Deputy’s questions:

AIB:

“Hire Purchase agreements have not been a feature of loan portfolios sold to date.

Due to the nature of the contract involved, assets financed in this manner remain the property of the Bank until such time as the agreement has been successfully completed. Hence the resolution of instances where the Bank cannot agree a repayment solution with the customer will typically involve the recovery and disposal of the asset.”

BOI:

“As a publicly listed company, Bank of Ireland makes all appropriate disclosures to the market in relation to all operational matters. All Annual and Interim Reports, and other market disclosures, are available at the following link:” https://investorrelations.bankofireland.com/.

PTSB:

The bank responded that no such transactions took place. For clarity, the bank did confirm that it did sell its PTSB Finance business in 2012, which included c. €21m of hire purchase loans (2,865 customers), to Consumer Auto Receivables Limited which was an SPV backed by Deutsche Bank.

There is no agreement on the precise meaning of the term “vulture funds” and it has come to have pejorative connotations.  I presume that the Deputy is referring to private equity funds.  The Deputy will be aware that international private equity funds invested much needed capital in our economy during a period of high risk and uncertainty. 

In this regard, the only sale of agreements during the period requested, relating to Ulster Bank Ireland DAC or a company associated with Ulster Bank Ireland DAC, was by Lombard Ireland Limited in 2012.  9,870 agreements with a gross value of approximately €216 million were sold to a third party. 

The requirements of  the Consumer Credit Act 1995 still applied to the agreements that were sold and approximately half of the agreements related to Hire Purchase Agreements. In 2016, Lombard Ireland Limited transferred all their remaining agreements to Ulster Bank Ireland DAC.

As the deputy is aware, the Credit Review Office is a government initiative that helps SMEs who have had an application for credit of up to €3 million declined or reduced by the main banks, and who feel that they have a viable business proposition. This is a strictly confidential process between the business, the Credit Review Office and the bank. Banks who are covered by the Credit Review process are AIB, BOI, Ulster Bank and PTSB.

The Credit Review process is available to borrowers (SMEs, farmers and sole traders) who have had their application for credit refused or reduced, or their existing credit facilities reduced or withdrawn, and feel that the bank’s decision is unjustified. The review process will operate after the borrower has unsuccessfully appealed through the bank’s own internal credit appeals process. If an internal appeal is unsuccessful, the Credit Review Office will undertake an independent and impartial re-evaluation of the bank’s decision.

In addition, the borrowers may appeal where there has been a constructive refusal as defined below:

- Where a decision on an application for a credit facility is not given by the participating institution within 15 working days (beginning from when the bank received all requested information), this shall be regarded as constructive refusal and the borrower may apply for review to the Credit Reviewer.

- Where a borrower considers that the terms or conditions attached to a credit facility or its price are so onerous as to amount to a constructive refusal, the borrower is entitled to apply for a review. The Credit Reviewer shall issue guidance on the reasonableness of terms, conditions and pricing.

Usually, the borrower will have had a credit request declined, and will then have had the decline decision reviewed internally by the bank, who have a separate appeals unit (different review team to the one that initially declined the credit) before a Credit Review begins.

The borrower can appeal to Credit Review Office any decision in relation to a new facility, or a restructuring of existing facilities – the restructuring may be proposed by either bank or borrower. The borrower may appeal a number of separate refusals. The borrower must request the appeal using a simple application form available on the website www.creditreview.ie.

A small fee is paid (between €100 and €250) as detailed in the Statutory Instrument S.I. No. 127 of 2010.

I have been informed by the Central Bank due to the confidentiality requirements imposed by domestic and EU legislation, which provides for confidentiality of information relating to ongoing supervision and limits disclosure to circumstances specifically provided for in Section 33AK of the Central Bank Act 1942, the Central Bank cannot comment on individual interactions with regulated entities or release supervisory information regarding any regulated entity.

Small and Medium-Sized Enterprises who are customers of lenders are protected under the SME Regulations, including the right to make a complaint.

On 18 December 2015, the Central Bank published  the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Lending to Small and Medium-Sized Enterprises) Regulations 2015 (the Regulations). A small number of technical amendments were made to the Regulations in June 2016, the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Lending to Small and Medium-Sized Enterprises) (Amendment) Regulations 2016 were published. These Regulations came into effect and apply to regulated entities, except credit unions, since 1 July 2016.  For credit unions the Regulations came into effect on 1 January 2017.  The Regulations replaced the existing Code of Conduct for Business Lending to Small and Medium Enterprises 2012.

The Regulations state that in good time before a borrower is bound by a credit facility agreement, the regulated entity shall provide the borrower with information in a durable medium including: “terms and conditions applying to the credit facility agreement together with the relevant fees, charges and interest rates which will apply to the credit facility agreement including an explanation of the basis for calculation of the interest charge”.

In addition, regulated entities must, at least once a year, provide a borrower with a statement which must, where applicable, include the interest rates charged.  Where the enterprise is a ‘micro and small enterprise’, a regulated entity must also inform a borrower of any change in the interest rate and the notice must inform the borrower -

(a) of the date of the change to the interest rate,

(b) of the payment amount after the entry into force of the new interest rate and, if the number or frequency of the payments changes, particulars of the changes,

(c) that the borrower should contact the regulated entity if he or she anticipates difficulties meeting the change in repayments, and

(d) where the change in interest rate arises as a result of a change in the interest margin on a credit facility, of the details of that change.

Where the enterprise is a medium-sized enterprise, the regulated entity must inform a borrower of -

(a) any change in the interest rate where the change in interest rate arises as a result of a change in the interest margin on a credit facility, and

(b) the details of that change.

The Regulations also set out requirements which must be complied with by regulated entities in relation to offering borrowers the option of a review meeting on an annual basis, to include a review of credit facility agreements.

If a consumer is concerned or unhappy with how they have been dealt with by a firm regulated by the Central Bank, there are clear processes in place in the Regulation for handling complaints.  The Central Bank encourages consumers who are dissatisfied with their experience of financial products or services to ensure that they communicate their complaint directly to their financial services provider. This ensures that their complaint receives the protections provided by the Regulations. 

As Minister for Finance, I am responsible for the development of the legal framework governing financial regulation.  Neither I nor the Central Bank of Ireland can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an assessment of the risks they are willing to accept.  This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval of the pricing or terms and conditions of insurance products.  Consequently, I am not in a position to review individual cases as to the pricing level or terms or conditions that they should apply in those cases. 

Nevertheless, my officials contacted Insurance Ireland in relation to the specific issues outlined in your question.  In particular, the instances of quotes increasing by over 50% in some cases was highlighted, given the context of an overall year-on-year reduction in average motor insurance costs for each of the last six months (i.e., from April to September), according to the latest available CSO statistics.     

Insurance Ireland responded as follows:

“The premium charged by an insurer is due to a large number of underwriting criteria which determine the nature of the risk and the resultant premium. One of these rating factors would be the age of the person; however, this is only one factor.  It would be recommended that the consumer should request a breakdown of the premium for clarification in the calculation of the premium”.

Some of the other rating factors used by insurers include the type and age of the vehicle, the driving experience, claims record and penalty points of the driver, the number of drivers, how the vehicle is used, and the location where it is normally stored, etc.  My understanding is that insurers do not all use the same combination of rating factors – in addition to which they also price in accordance with their own past claims experience – and as a result prices and availability of cover vary across the market.  

In this regard, the Deputy should note that the Competition and Consumer Protection Commission website has an informative section regarding the purchase of car insurance – see https://www.ccpc.ie/consumers/money/insurance/car-insurance/#1. One of the tips listed to help cut costs is to "shop around" and to "always get quotes from several insurance providers when you need to get or renew insurance".  A checklist for motor insurance shopping around is also provided.

Finally, in relation to the ongoing work regarding the cost of motor insurance generally my officials will continue to discuss these matters with Insurance Ireland.

As the Deputy will be aware, during the week commencing October 23rd I met with the CEOs of the largest five retail banks operating in Ireland, in order to spur quick and appropriate resolution to issues raised during the Central Bank's review into Tracker Mortgages. It was clear to me, following those meetings, that significant cultural issues and challenges in some of the retail banks still exist. Customer interests have not always been sufficiently protected or prioritised and this is unacceptable.  

I have therefore mandated the Central Bank under section 6A of the Central Bank Act to prepare a report for me on the current cultures and behaviours and the associated risks in the retail banks today and the actions that may be taken to ensure that banks prioritise customer interests in the future. 

On foot of this report, the Government will determine whether any additional legislative and regulatory changes are needed that would enhance accountability in the banks for ensuring customer interests are prioritised. I will await the recommendations of this report before determining how best to proceed.

As the Deputy will be aware, the State continues to have the ability to appoint directors to banks in which we have a large shareholding. My officials have been developing new procedures for any future appointments to bank boards, that will address the commitment in the Programme for Partnership Government to,  “Cease to appoint new Public Interest Directors to the banks, and reform the procedures for the appointment of bank directors by the State, with a view to increasing transparency in the process".

It is important to note that any new appointment procedure for bank directors needs to have due regard to the distinct differences which exist relative to appointments to State boards. These include the fact that the State is not the only shareholder in these banks, the strict requirements of the Single Supervisory Mechanism's Fitness and Probity regime and the requirement to have a broad set of expertise relevant to large regulated entities in an ever more complex regulatory environment.

I am advised by Revenue that the table sets out the estimated cost to the Exchequer of the Budget 2018 changes, on a full year basis, in the manner outlined by the Deputy.

These estimates are based on tax units. As the Deputy will be aware, jointly assessed couples are considered a single tax unit. Therefore the income of a tax unit consisting of a jointly assessed couple is the combined income of both individuals.

These estimates have been generated by reference to 2018 incomes, calculated on the basis of actual data for the year 2015, the latest year for which returns are available and adjusted for income, self-employment and employment trends in the interim.  They are provisional and may be revised.

The Health Service Executive owns the site in question on Ballea Road, Carrigaline, Co. Cork.

As I previously stated, The Public Service Management (Recruitment and Appointments) (Amendment) Act 2013 provides that I, as the Minister for Public Expenditure and Reform, can make regulations for a Public Service Sick Leave Scheme. These Regulations are contained in SI 124 of 2014 and SI 384 of 2015. The Regulations set out the terms for the granting of paid sick leave, including that Medical Certificates be provided.

PeoplePoint is the HR and Pensions Administration Shared Service Centre that carries out the administration functions related to HR and Pensions for the Civil Service, applying the Government’s HR and pension policies and procedures.

The role of PeoplePoint in the administration of sick leave is set out in the sick leave circular, Circular 12/2015 Arrangements for Paid Sick Leave. It states that PeoplePoint delivers the transactional elements of sick leave policy for those organisations within the HR Shared Service.

 Previous response was provided to PQ37774/17.

The motor mileage rates reimburse an officer only for the costs incurred in using their own cars for official business and are not deemed to be a source of emolument or profit. The rates are agreed with Staff Side Representatives and are determined by a methodology which takes account of the various costs associated with officers using their own cars on official business.

The factors taken into account in calculating the rates include items such as the cost of cars, motor insurance, maintenance, fuel, depreciation among others and also engine capacity (size). The rates are based on engine sizes in three bands: 0 – 1200 CC, 1201 – 1500 CC, and 1500 – 2000 CC. The agreed methodology for calculating the rates is based on a combination of figures issued by the Central Statistics Office and information from the motor industry.

All-electric vehicles are a relatively new and developing technology. The comprehensive information available for petrol/diesel driven cars is not yet available for electric vehicles and, as a consequence, it has not yet possible to devise a mileage rate for electric cars in the same manner as for petrol/diesel vehicles. The current policy of my Department is that civil servants using all electric vehicles may claim reimbursement at the lowest mileage rate (0 – 1200 CC).

Future reviews of the rates will be based on changes to these figures according to the Consumer Price Index. The current system as agreed with Staff Side Representatives will remain in place for three years at which stage it will be further reviewed in light of the conditions then applying to business needs and motoring technology.

When providing new accommodation or carrying out significant refurbishment works on buildings under its remit, the Office of Public Works addresses universal access requirements as part of the project design. This is captured within the overall project cost. Specific minor accessibility projects on existing State owned buildings are funded and addressed from within the OPW’s overall capital allocation.

The OPW has understood for some time that the carparking facilities at Clonmacnoise Visitor Centre are limited having regard to the volume of visitor traffic the site is experiencing and has been working in recent months to develop a solution to the issue. Proposals being examined will entail both changes to the system for managing visitors to the site and certain physical changes to the carparking arrangements. A professional study in relation to a proposed extension to the carpark is being undertaken currently to identify the feasibility of various options having regard to the fact that there are significant archaeological concerns which must be taken into account in relation to any programme of works at the site which involve ground disturbance and construction.

OneLearning, the new Learning and Development Centre for the Civil Service, is responsible for providing Civil Service Core Training.  As a newly established organisation OneLearning is in the process of developing appropriate training modules for all Civil Servants and making these available on an incremental basis.

 While specific suicide prevention training for civil service staff is not currently provided, relevant training is provided across training modules dealing with people management, building resilience and customer service.  Training content in these modules provides Civil Servants with:

- Awareness of the tools to build and strengthen personal resilience

- A professional approach in handling challenging customer service situations, and

- An understanding of the support available from HR Units in Civil Service organisations and the Civil Service Employee Assistance Service (CSEAS). 

 The CSEAS is the internal Employee Assistance Program for the Civil Service, it operates on a regional basis under central management in the Department of Public Expenditure and Reform and is an important shared service element of the human resource structure in the Irish Civil Service. It plays a key part in an ethos of promoting employee wellness and organisational effectiveness. The CSEAS provides a wide range of free and confidential supports to staff and management designed to assist employees to manage work and life difficulties.  This includes information for those in suicidal distress and those who have been affected by suicide.

 OneLearning will continue to work with CSEAS to ensure that the training developed for Civil Servants is relevant and provides awareness of the tools and supports available to those who may be experiencing  issues with their mental health.

There is no company undertaking an audit of the Departmental website.

The estimated cost of providing a defibrillator in each building used by my Department and the bodies under its aegis is €46,800.  This does not include the Office of Public Works who will provide this information to the Deputy separately.

With regard to my Department itself, I can confirm that each of the buildings that Departmental staff occupy already has a defibrillator.

The deferred reply under Standing Order 42A was forwarded to the Deputy.

My Department has had a number of meetings with the Strategic Communications Unit (SCU), as set out in the table below.  I attended one meeting with the SCU, which took place on 19 October.  The Director of the Unit briefed myself and the Secretary General and senior officials from my Department on the work of the Unit and the role it will play in improving effectiveness, efficiency and cross-Government cooperation to foster and develop a whole of Government approach to communications.

(OGCIO - Office of the Government Chief Information Officer, which is a Division of the Department of Public Expenditure and Reform)

The Department's website was last revamped at the end of 2013/start of 2014, and went live on the 12th of February 2014.  The cost of the redesign for this work amounted to €16,048.31.

As part of the Government's eGovernment Strategy 2017- 2020 the Office of the Government Chief Information Officer (OGCIO), within my Department, has been working on the development of a Digital Services Gateway - a single digital point where citizens can easily access information about Government services that are available to them.  This work, which began earlier this year, is ongoing and will involve the rationalisation of existing Government websites and online services over time.  This project will be managed and developed by resources within the civil service.

The Department's website was last revamped at the end of 2013/start of 2014, and went live on the 12th of February 2014. The cost of the redesign for this work amounted to €16,048.31.

I wish to advise the Deputy that there are 3 staff in the Department of Public Expenditure and Reform Press Office, which comprise a Press and Information Officer, an Executive Officer and a Clerical Officer.

Please see the table for reporting relationships in operation in the Press Office.

The Press Office reports to the Secretary General and works closely with the Minister's Press Spokesperson.

Since the establishment of my Department in July 2011, Learning and Development (L&D), including Continuing Professional Development (CPD), has been an important element of our organisational learning culture.  It supports, in particular, staff membership of professional bodies, attendance at seminars and conferences and the development of skills in conjunction with professional organisations.

Aligned with the strategic business needs of the Department, L&D requirements, including CPD, are informed by individual staff L&D plans under the auspices of the Performance Management Development System (ePMDS).  This is complemented, furthermore, by engagement with key stakeholders including the Management Board, senior management and divisional business planning meetings.  The diversity of courses undertaken reflects the broad range of functions undertaken by my Department.

Outlined below, in tabular format, is the relevant information requested by the Deputy.

The following table outlines the public relations companies or agencies the services of which my Department has used for information campaigns since 1 January 2017 to date in 2017:

Public Relations Company/Agency used for Information Campaigns in 2017

As the Deputy will be aware, all Government Departments and public bodies in receipt of public funding must comply, as appropriate, with the relevant requirements of the Public Spending Code. The Public Spending Code sets out the value for money rules and guidance for spending in all public bodies at all stages in the expenditure lifecycle – before, during and after spending. The Public Spending Code applies to both capital and current expenditure. The Code outlines what is required of public service managers at different points of the expenditure lifecycle and offers advice on how to fulfil those requirements.

In addition to the financial reporting requirements, principles and procedures established in legislation and set out in Public Financial Procedures, new and updated requirements for the management of grant funding provided from public money issued in the form of a Department of Public Expenditure and Reform Circular 13/2014 – Management and Accountability for Grants from Exchequer Funds.  This circular outlines the public financial management principles, procedures, and additional reporting requirements to be followed in the management of grant funding provided from public money. The fundamental principle is that there should be transparency and accountability in the management of public money, in line with economy, efficiency and effectiveness. The provisions of the circular apply to the movement of funds from a Vote to an outside body, and to any/all onward movements of that funding. The objective is to ensure that all Exchequer funds, regardless of the method of distribution, are accounted for and properly managed.  In this context, the Department has not issued separate procedures regarding the use of credit cards.

With regard to my own Department, no concerns have been brought to my attention regarding organisations funded by my Department. The Deputy will be aware that my Department funds a number of organisations through grants.  Most of these organisations are public bodies under my aegis or under the aegis of the Minister for Housing, Planning and Local Government.  The expenditure of these public bodies are examined by the relevant auditing authorities for each and the Department monitors the expenditure of each to ensure that these public bodies are spending moneys appropriately in line with the public policy objectives pertaining to each grant.  Where grants relate to EU Funded Programmes, expenditure is also subject to the eligibility checks associated with the relevant Programme.  Where the Department grants public moneys to not-for-profit organisations to carry out public interest work on behalf of the State, officials in my Department monitor expenditure to ensure that these organisations are carrying out the objectives of the grant.

Work on preparing for Brexit is underway across Government through a range of cross-Departmental coordination structures. These represent a frequent and active channel through which all relevant Departments are providing their research, analysis and overall policy input to the Government’s wider response to Brexit.

My Department is contributing to this cross-Departmental planning and preparation for Brexit and to deepening the Government’s analysis and understanding of the consequences of different scenarios.

The Department has specific responsibility for the EU-funded cross-border programmes, PEACE and INTERREG.  It has been working with the Managing Authority for the two North South programmes, the Special EU Programmes Body - one of the North South bodies established under the Good Friday Agreement - on the implications of Brexit for the programmes.  Research undertaken or commissioned by the SEUPB and the issue of publication of such research is a matter for discussion by my Department with the Northern Ireland Department of Finance, its joint Sponsor Department for the SEUPB.

In parallel, my Department is continuing its own assessment of the implications of Brexit for the continuation of this area of North South cooperation.

As the Deputy will be aware, the current mechanism for transfers of Clerical Officer and (former) Staff Officer grades is arranged in accordance with formal procedures, which were agreed with the Staff Side at General Council under the Conciliation and Arbitration Scheme for the Civil Service. Agreements were reached for Clerical Officers in 1978 and Staff Officers in 2001.

Also interdepartmental transfers between other grades in the Civil Service can be arranged on an informal head-to-head basis. Such transfers are arranged between the officers seeking to move and the relevant Personnel Units and require the agreement of both Personnel Officers.

These current schemes are operated by Departments/Offices and my Department has no involvement in how they operate.

You will also be aware that Civil Service Mobility is one of a number of arrangements to be put in place to fulfil the requirements of Action 15 of the Civil Service Renewal Plan which calls to ‘Expand career and mobility opportunities for staff across geographic, organisational and sectoral boundaries’.

Senior level mobility, under the Senior Public Service (SPS) Mobility Protocol, came into effect in 2012.  All vacancies at Assistant Secretary level in Government Departments and Offices must be considered as to their suitability for filling through mobility in the first instance. This process is overseen by the mobility subgroup of the SPS Management Committee, chaired by the Secretary General of my department.

A Principal Officer inter-departmental mobility programme was introduced in late 2015 to provide a flexible system of managed mobility at PO level. It has been agreed by the Civil Service Management Board that at least 1 in every 6 vacancies that arises at Principal Officer level within a Department/Office will be advertised under the Principal Officer mobility protocol.

A centralised Civil Service Mobility scheme is currently under development on a phased basis:

- Phase 1A will be for the general Civil Service grades of Clerical Officer and Executive Officer for mobility between zones (all zones) and within zones (excluding Zone 46 – Dublin). This phase will launch very soon.

- Phase 1B will be for the general Civil Service grades of Clerical Officer and Executive Officer for mobility within the zone of Dublin. Anticipated launch mid-2018.

- Phase 2 will be for the general Civil Service grades of HEO, AO and AP. Anticipated launch end-2018.

Phase 1A of the scheme will subsume the current transfer mechanisms for the grades of Clerical Officer and Executive Officer.

Under this scheme an applicant will be automatically refused mobility opportunities if he or she has:

1. not yet successfully completed their probation period;

2. less than 2 years’ service in the current grade and organisation and geographical location;

3. a PMDS rating of ‘Unsatisfactory’ for the previous year;

4. sick leave of more than 56 days or 25 instances in the previous rolling four-year period (pro-rated);

5. a Performance Improvement Plan process in place;

6. an ongoing formal investigation under the Disciplinary Code which may lead to disciplinary action; and/or

7. an open disciplinary process in place.

An Interdepartmental Working Group, chaired by my Department was established in 2016 to examine the issues arising from prevailing retirement ages for workers in both the public and private sectors, in the context of the current age of entitlement to the State Pension and the scheduled increases to the State Pension age in 2021 and 2028.

The Group, whose Report was agreed by Government in August 2016, considered policy around retirement age in both the public and private sectors, examining implications arising from retirement ages now and in the future. The Group identified a set of framework principles to underpin policy in the area and made a number of recommendations assigned to Government Departments and Employer bodies for follow-up in that regard.  A copy of the Report is available online at http://www.per.gov.ie/en/report-of-the-interdepartmental-group-on-fuller-working-lives.

In respect of the public service, and on foot of one of the recommendations of the aforementioned Report, my Department, with Public Service employers, was tasked with reviewing the current statutory and operational considerations giving rise to barriers to extended participation in the public service workforce up to and including the current age of entitlement to the Contributory State Pension.  In the context of the review, which is well advanced, meetings were held with employers from all public service sectors, including the civil service, local authority and health sectors, supplemented by further interactions and discussions with the employers.

Future policy in this area will be considered by Government based on proposals which I intend bringing to Government shortly based on the outcome of the review.

Any change in the compulsory retirement ages for public servants would require primary legislation.

As you are aware, the new Sick Leave Scheme was introduced following the enactment of the Public Service Management (Recruitment and Appointments) (Amendment) Act 2013 [http://www.irishstatutebook.ie/eli/2013/act/47/enacted/en/html] by the Oireachtas to reduce the very high and unsustainable cost of sick leave in the public service.

Under the scheme, sick leave is paid at full pay for three months (i.e. 92 days) and at half pay for three months (i.e. 91 days) annually, subject to an overall limit of 6 months’ (i.e. 183 days) paid sick leave (at either full or half pay) in any four year period. Effectively the new Scheme halved the maximum entitlement to paid sick leave previously available, other than in the case of serious illness or injury.

In a situation where sick leave was taken prior to the introduction of the new Scheme it is taken into account in the following way:

Where an individual is out on sick leave their record over the previous four years is examined to determine if they have access to paid sick leave. This process is known as the ‘look back’ and is set out in the Public Service Management (Sick Leave) Regulations 2014 (S.I. No. 124 of 2014) [http://www.irishstatutebook.ie/eli/2014/si/124/made/en/print]. Where they do have access to paid sick leave, their record over the last twelve months is examined to determine whether they can receive sick pay at the full or half rate of pay.  Or where an individual has exhausted access to full or half pay they may have access to a further form payment called Temporary Rehabilitation Remuneration (TRR).

This look back over an individual’s sick leave record is not a new concept.  It was in place in relation to the calculation of sick leave pay in the old sick leave scheme and has continued under the current scheme. Any sick leave that occurred before the introduction of the new Scheme is taken into account in calculating access to paid sick leave.

The rationale for this was to ensure that the situation did not arise where every public servant’s sick leave record would be wiped clean on day one of the new Scheme. This would mean that individuals would have access to even greater levels of paid sick leave than they had before the new scheme was introduced.  Public servants with a high rate of absenteeism would go back to having access to the full allowance of paid sick leave. This issue was considered and supported by the Labour Court in its Recommendation on sick pay in the public service (LCR20335 July 2012) on the basis that this approach would be substantially cost-increasing.

While I cannot comment on individual cases or circumstances, the following sets out the position in relation to the Public Service Sick Leave Scheme and provisions for serious illness. The Critical Illness Protocol (CIP) is the basis for access to extended sick leave which provides substantial additional protection to employees experiencing critical illnesses or serious injury.

Where an employee is given access to the critical illness provisions the Scheme provides for:

- Up to 365 days' paid sick leave in a four year period (comprising 183 days or 6 months on full pay in a one year period, followed by 182 days, a further 6 months, on half pay).  This is the same as the access that existed under the previous sick leave schemes in place across much of the public service.

- Under a protective year provision, an employee who has taken sick leave because of a critical illness or injury will continue to have access to the extended sick pay limits for 12 months following the first day of the critical illness.

- An extended period of temporary rehabilitation remuneration (TRR) of up to 730 days (2 years) may be paid where it is a direct continuation of an illness under the CIP and

- A further period of sick leave is required to rehabilitate from the critical illness/injury;

- An occupational health physician certifies that there is a reasonable prospect of the employee returning to work and giving regular and effective service; and

- The decision to award the additional period of TRR is reviewed every 6 months.

An application under the CIP must be made by the Public Servant or on their behalf.  The application is then assessed under certain criteria. These are set out in the CIP, available on the website of the Department of Public Expenditure and Reform http://hr.per.gov.ie/sick-leave/. These are:

- The employee should be under the current or recent care of a consultant;

- The treating doctor’s medical reports must be furnished;

- The case must be referred by the employer to its Occupational Health Service who will advise whether, in their opinion, the following criteria are met:

- The employee is medically unfit to return to his/her current duties or (where practicable) modified duties in the same pay grade;

- The nature of this medical condition has at least one of the following characteristics;

1. Acute life threatening physical illness

2. Chronic progressive illness, with well-established potential to reduce life expectancy

3. Major physical trauma ordinarily requiring corrective acute operative surgical treatment

4. In-patient hospital care of two consecutive weeks or greater

Where an employee does not meet the medical criteria outlined above, management may still make a decision, in consultation with the Occupational Physician, to award extended sick pay in exceptional circumstances.

There are also provisions for the appeal of either the decision of the occupational health physician or that of management.

While I have outlined the general provisions of the Sick Leave Scheme that relate to critical illnesses, it is the severity of the employee's condition that is relevant in determining their access to paid sick leave.

The following table outlines the contracts my Department or bodies under the aegis of my Department have with the company (details supplied) or its subsidiaries:

The Deputy may wish to be aware that Capita are on a number of Office of Government Procurement Frameworks, as listed below.  It is a matter for individual Departments to consider drawing down on these frameworks.

- Multi Supplier Framework Agreement for the provision of External ICT Technical Support Services;

- OGP Managed Business Process Support Services Framework Agreement; and

- Multi Supplier Framework for the Provision of Storage Area Networks (SAN), Network Attached Storage (NAS), Servers, Converged Infrastructure, Associated Equipment and Service.

I propose to take Questions Nos. 292 and 293 together.

Substantive conservation works have been underway at Ballymalis Castle for some time. The work, which principally involves the conservation of the Castle walls and also addresses some structural issues, is projected to continue until at least 2019 and possibly beyond. To date, repair & conservation of the Northern and Western walls have been advanced and the work will proceed to address the East and South Walls as resources permit and once the necessary Consent under National Monuments legislation has been obtained from the Department of Culture, Heritage and the Gaeltacht. The work will include the reinstatement of the viewing platform at the site.

The St. Mary’s Abbey site was previously operated as a seasonal visitor site, with Guide services provided during a limited summer season. Owing to limited resources, this approach was altered in 2014 and access was instead provided on request only.

The site was closed to the public in 2016 when the OPW commenced a programme of works there. Pending completion of the works, the site will remain closed until at least mid 2018.

The Office of Public Works has recently engaged with Dublin City Council in relation to this site in relation to their strategy for the Inner City and intend to consult with them in relation to how it might be presented to the public in the future.

I wish to inform the Deputy that there are currently two Special Advisers employed in the Department of Public Expenditure and Reform.

Ms Deborah Sweeney was appointed as Special Adviser to the Minister for Public Expenditure and Reform with effect from 15 June 2017 on 6 September 2017, in accordance with SI Ref No. 399 of 2017.

Mr Stephen Lynam was appointed as Special Adviser to the Minister for Public Expenditure and Reform with effect from 15 June 2017 on 6 September 2017, in accordance with SI Ref. No 399 of 2017.

The government order S180/20/10/0314K approving their re-appointment is dated 6 September 2017 and covered the period from 15 June 2017. Both Special Advisers are subject to the Official Secrets Act, 1963.

Both Special Advisers are compensated on the third point of the Principal Officer PPC Scale at a rate of €88,392.

Both Ms Sweeney and Mr Lynam were Special Advisers to the Minister for Public Expenditure and Reform immediately prior to their re-appointment and their roles and responsibilities would have not had any significant change. The appointments were made in line with “Instructions to Personnel Officers - Ministerial Appointments for the 32nd Dáil” which include “Guidelines on staffing of Ministerial offices” issued by my Department.

Following the resignation of the former Taoiseach, Minister Paschal Donohoe was also deemed to have resigned but carried out his duties until the new Taoiseach was appointed, i.e. 14 June 2017. Paschal Donohoe T.D. was re-appointed as Minister for Public Expenditure and Reform with effect from 15 June 2017.

As the Special Advisers were re-appointed to their positions, they remained on the payroll between the appointment effective date of 15 June 2017 and the order date of 6 September 2017.

Patrick O’Donovan TD and Michael D'Arcy TD were appointed Ministers of State at the Departments of Finance and Public Expenditure and Reform on 20 June 2017. The Ministers of State at my Department do not currently have Special Advisers appointed.

Office of Public Works

In accordance with the Government Order, S.I. No. 607 of 2016, Mr. Eugene Deering was appointed Special Adviser to Sean Canney, former Minister of State for the Office of Public Works and Flood Relief, with effect from 15 November, 2016.  The Order was dated 13 December, 2016 and covered the period from 15 November, 2016. Mr. Deering was placed on an annual salary of €65,000 from 15 November, 2017 and was subject to the Official Secrets Act, 1963.

Following the resignation of Minister Canney on 3 June, 2017, Mr. Deering’s contract ended.  The new Minister of State for the Office of Public Works and Flood Relief, Kevin “Boxer” Moran, appointed with effect from 3 June, 2017, required Mr. Deering to be his Special Adviser.  Mr. Deering remained on the payroll from 3 June, 2017, with the approval of the Department of Public Expenditure and Reform, pending the making of a Government Order.

Following the resignation of the former Taoiseach, Minister Kevin “Boxer” Moran was deemed to have resigned but carried out his duties until the new Taoiseach was appointed, i.e. 14 June, 2017.

Kevin “Boxer” Moran, T.D., was re-appointed as Minister of State for the Office of Public Works and Flood Relief with effect from 20 June, 2017.  Mr. Deering was not paid for the period 15 June, 2017 to 19 June, 2017 (both dates inclusive) and was issued with a new contract effective from 20 June, 2017. A Government Order S.I. No. 416 of 2017 appointed Mr. Deering as Special Adviser to Kevin “Boxer” Moran, with effect from 20 June, 2017.  The Order was signed on 6 September, 2017.

On Monday the 18th of September the Public Services Committee of the Irish Congress of Trade Unions endorsed the terms of the recently negotiated extension to the Lansdowne Road Agreement on pay and reform in the public service.

This Public Service Stability Agreement will run from 2018 to 2020 by which point pay will be fully restored to all public servants earning up to €70,000, which is equal to almost 90 per cent of public servants. Benefits to different income groups are progressive and weighted towards the lower paid with pay increases ranging from 7.4 per cent to 6.2 per cent over three years.

This Agreement achieves the right balance between addressing the legitimate expectations of public service workers for increases in their pay and ensuring that the Government continues to exercise a prudent approach to the overall management of our public finances while securing industrial peace to support the ongoing delivery of our public services.

The improvements in pay provided for in this Agreement mark another important step in the gradual normalisation of our collective bargaining approach to pay arrangements in the public service through the process of unwinding the FEMPI legal framework on pay that has been in place for the last number of years.

A copy of the Agreement can be found on the Department's website: http://www.per.gov.ie/wp-content/uploads/LRA-extension.pdf.

The Commissioners of Public Works granted permission to the RPA (Rail Procurement Agency) for the installation of a venting shaft in one section of the disused toilet block situated on the perimeter of St. Stephen’s Green Park, adjacent to the Luas track.

OPW also agreed to an arrangement with the current TII (Transport Infrastructure Ireland), previously the RPA and their Agent (Luas Operator) to the use of the remaining section of the building, the toilets, for their Luas drivers. They are also responsible for the maintenance of same.

I would like to refer the Deputy to Parliamentary Question No. 156, 43759/17, answered on 17 October 2017.

The Office of Public Works (OPW) is not currently conducting open recruitment to the craft position of Stonemason. There are no current plans for future recruitment to that position. Notices of open recruitment to craft positions in the OPW are advertised on www.opw.ie and in the relevant local newspapers.

The Department of Public Expenditure and Reform is responsible for setting the overall allocations (capital and current) across Departments and for monitoring monthly expenditure at a Departmental level.  The Department of Public Expenditure and Reform does not currently monitor capital expenditure by county or NUTS 3 region.  Arising from the review of the Capital Plan and IMF Public Investment Management Assessment my Department will be examining reporting arrangements for public capital investment in the context of the development and implementation of the forthcoming 10-year plan.

As indicated in the replies to earlier Question No. 362, 25530/17, on 30th May last, Maynooth Castle is not at this stage considered to offer a significant potential for tourism generation, which is the primary focus of the Fáilte Ireland – funded Tourism Investment Programme 2016 – 2021, and it is not being considered as an early candidate site for development in this regard.

The Mid Term Capital Review process has not offered any significant change to this position.

The tree referred to by the Deputy is in a channel, which is maintained by the Office of Public Works (OPW) under the 1945 Arterial Drainage Act.

Following a site visit, arrangements are being made to facilitate the removal of the tree.

My Department has a valuable role to play in ensuring that children and young people's awareness of their right to bodily integrity is reinforced at every level of the education system.  Respect for other people and a zero tolerance of any form of abuse whether physical, emotional or sexual is a core principle of how our educators teach and how children and young people learn and interact with each other.

However, sexual abuse and violence is a crime and funding research into crime is not a core aspect of my Department's business.

My Department is strongly supportive of the promotion of positive mental health awareness in schools. The Department adopts a holistic and integrated approach to supporting the work of schools in promoting positive mental health and to supporting those with a broad range of problems, behavioural emotional and social.

The processes span the curriculum in schools, whole-school ethos, quality of teaching, learning and assessment, student support and pastoral care and the provision of professional development for teachers. It also involves other supports such as educational psychological services and guidance and counselling services, and the interface with other agencies, both nationally and locally. Schools also engage in a wide range of sport and cultural co-curricular activities which provide an important opportunity for students to experience success and personal growth. One of the objectives of initial teacher education and CPD programmes is to provide teachers with an understanding of child development and wellbeing.

Wellbeing Guidelines for Post-Primary (2013) and Primary Schools (2015) have been developed by my Department in collaboration with the Department of Health and the Health Service Executive. The guidelines are informed by consultation with key Education and Health partners and by the findings of research. They provide practical guidance to schools on how they can promote mental health and wellbeing in an integrated school-wide way and they also provide evidence-based advice on how to support young people who may be at risk of suicidal behaviour.

My Department in collaboration with the National Office for Suicide Prevention (NOSP) has recently commenced a pilot programme of training in SafeTALK (suicide awareness skills) on a voluntary basis for teachers.  The Learning from this pilot phase will help determine the appropriate training needs for teachers at primary and post primary level.

NOSP provides training courses in Safe Talk, ASIST and ASIST Tune Up which can be accessed by any professionals including third level staff.

As the Deputy is aware, the 2-teacher school in question submitted an application to my Department for funding to construct a General Purpose (GP) Room and for prefab replacement.

The application was considered in the context of the very significant challenges facing my Department in prioritising available capital funding for essential mainstream classrooms to meet the demand for extra school places and in cases where additional teachers have been appointed.  An additional teacher has not been appointed to the school concerned.  In the circumstances, my Department advised the school that it is not in a position to provide funding for a GP Room.

With regard to prefab replacement, over the lifetime of my Department's Capital Programme, it is my intention to replace all purchased temporary accommodation with permanent accommodation, where the need is established. To enable this development, my Department will be carrying out an assessment of the number of prefabs being used in all schools, including the school to which the Deputy refers, to deliver the curriculum. This will also determine whether or not individual prefabs need to be replaced in the context of the long-term accommodation needs of each individual school. When completed, this assessment will quantify the number of prefabs to be replaced.  The school authority has also been advised accordingly.

I can confirm to the Deputy that a project to provide a new 24 classroom building for the school to which he refers is in train.  The project has been devolved to the Grangegorman Development Agency (GDA) for delivery.

The project is at stage 2 (a) of the architectural planning process, which is the detailed design stage.  My Department understands from the GDA that the stage 2 (a) submission will be submitted to my Department for examination and approval later this year.

My Department promotes the quality of teaching and learning through the provision of quality teacher training programmes and continuing professional development and support for principals and teachers in a range of pedagogical, curricular and educational areas. This is done through initial teacher education programmes, education centres and support services for teachers at primary and post-primary level.

Under the provisions of the Education Act 1998, the board of management is the body charged with the direct governance of a school. Schools are required to take all reasonable precautions to provide training for teachers to ensure the safety and welfare of their pupils.

In recognition of the responsibility which the Education Act has imposed on Boards of Management and the increasingly complex environment in which they must operate, my Department funds a scheme for the provision of training and development for boards of management to assist them in the discharge of their duties. The training is delivered by the school management bodies and Health & Safety is one of the areas covered. 

I wish to inform the Deputy that the administration of medicines in primary schools is the subject of an agreement between the INTO and a school management body. The organisation of training in the administration of medicines is a matter for a Board of Management and my Department has no plans for future training programmes in this area.

Springboard+ which incorporates the ICT skills conversion programme is a specific initiative which provides free part-time and full-time courses aimed at addressing the current skills needs of employers and supporting jobseekers to return to employment.

To be eligible for a place on a Springboard+ course a person must be one of the following:

- Unemployed, actively seeking employment, and be in receipt of one of the qualifying Social Protection allowances (as listed on www.springboardcourses.ie), or

- Signing for credits, or

- Previously self-employed, or

- A Homemaker – a person that has been out of the work environment for at least one year due to childcare or other caring obligations and has a previous history of  employment but may require upskilling, reskilling or cross-skilling to transition back to the workforce, or

- In employment, including those in self-employment who wish to upskill, reskill or cross-skill in Biopharma/Med Tech or ICT sectors and  those in employment, or self-employment in the ICT sector who wish to upskill from  a level 7 to a level 8 qualification.  

 A key change implemented as part of the process for 2017 was to expand the eligibility to those already in employment. This includes the ‘underemployed’. A person who may feel underemployed relative to their education qualifications / career experience can upskill or reskill in the ICT sector or the advanced manufacturing sector through Springboard+. Given that ICT and Manufacturing represent circa 70% of all places of the 2017 Springboard+ offering there are substantial opportunities for the underemployed to update their skills via Springboard+. 

There are 208 free higher education courses as part of Springboard+ 2017. All of these course have been approved on the basis that they specifically meet an identified skills need in the labour market. As a result the courses cover key growth sectors of the economy such as ICT, financial services, advanced manufacturing, hospitality and entrepreneurship.

Full details on specific Springboard+ courses are available on the Springboard+ website at www.springboardcourses.ie.

I have made inquiries in the matter and can inform him that the child, the subject of the Deputy’s question, has in the past month been the subject of discussions between school authorities and the assigned NEPS psychologist.  Following on from these discussions I understand that a support plan is being instituted by the school in relation to his particular needs which will be subject to review in due course. Should the parents of the child have specific concerns in this regard I would advise that they raise them, in the first instance, with the Principal of the school concerned, with a view to his/her raising these concerns with the NEPS psychologist.

I might inform you that my Department’s National Educational Psychological Service (NEPS) provides guidelines and resource materials for schools to enable them to deal with certain traumatic events which can adversely affect pupils and school staff. The guidelines "Responding to Critical Incidents: Guidelines for Schools" refer to preventive approaches that schools can adopt in creating a safe and supportive environment. It also outlines how schools can plan for and respond to crises.

 The publication provides practical step-by-step guidelines for teachers and principals on how to respond when a tragedy occurs. It offers support to schools at a potentially overwhelming time.

The guidelines focus upon alerting schools to planning processes, structures and actions which will better allow them to cope with a traumatic incidents such as suicide or suspected suicide, murder, accidental death including road traffic accidents and drowning, and death through illness of members of the school community. In relation to suicide, advice is also given on prevention and positive mental health stratagems and approaches.

NEPS psychologists will also, at the specific invitation of school authorities, attend at the schools immediately following such incidents to offer direct advice and assistance to school staff.

The overall emphasis is to produce a calming and reassuring response to the student body, to lessen understandable anxiety to return the schools to normality as soon as possible and to heighten vigilance among staff, parents and where appropriate students to situations where individual pupils are at risk.  Such individuals may be subject to referral to outside clinical services along the pathways advised to the school within this process.

While art therapy may form an appropriate part of a multi-disciplinary response by services, this would be in a clinical context rather than as a school-based response.

I propose to take Questions Nos.311 and 359 together. As the Deputies may be aware, the school referred to opened in September 2014 under the patronage divesting process.  Under this process, a divested school could be opened where a school building became, or was due to become available as a result of an amalgamation or closure of an existing school. 

In this case, pending the school's permanent accommodation becoming available, the school has been operating in temporary accommodation.  The school building to be vacated for this school's permanent accommodation is still occupied by the amalgamated school for which an extension project is currently at architectural planning stage.

In the interim, my Department will continue to review the school's accommodation needs in line with enrolment trends.