Willie Penrose (Longford-Westmeath, Labour)
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Question 98: To ask the Minister for Social Protection his plans to make a charge on financial institutions and or utility companies to subsidise the work undertaken by the money advice and budgeting service in respect of mutual customers and clients. [40037/10]

Éamon Ó Cuív (Galway West, Fianna Fail)
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The Money Advice and Budgeting Service (MABS) is a free, independent and confidential service which assists people who are over-indebted and need help and advice in coping with debt problems. MABS promotes the importance of people coping with debt difficulties taking early action with their creditors and approaching MABS for help and guidance. This can be the first positive step for people in addressing debt difficulties. Often people will have multiple creditors and MABS money advisers will assist clients in working out budgets and negotiating on behalf of all creditors, including financial institutions and sub-prime lenders, to secure better terms for the client in managing the repayment of their debt.

In addition to face-to-face meetings with a money adviser, MABS operates a National Telephone Helpline, available from 9am to 8pm Monday to Friday. As 90% of clients presenting to MABS are assisted through the telephone helpline, which provides assisted self-help to ensure clients take steps to assess and address their situation, it would not be appropriate to place a financial charge on financial institutions and or utility companies in these instances.

In addition, MABS companies around the country are involved in many local education and information initiatives. This close involvement of MABS staff in education activity ensures that community education remains at the heart of the money advice process; promoting effective household budget management and empowering individuals to help themselves.

I do not propose to introduce measures whereby financial institutions and or utility companies subsidise the work of MABS as this would compromise the independence of MABS services, would not be appropriate where people use assisted self-help services, and would be extremely difficult to do given that most people have multiple creditors.