Written answers

Tuesday, 14 June 2022

Department of Enterprise, Trade and Employment

Interest Rates

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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169. To ask the Minister for Enterprise, Trade and Employment the amount of interest that his Department has been charged by financial institutions since negative interest rates were introduced by year; and if he will make a statement on the matter. [29199/22]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The framework contract for banking services negotiated by the Office of Government Procurement specifically provides that all accounts linked to the Paymaster General cash pool are not subject to negative credit interest. Accordingly, as a client of the framework contract the Department's own bank accounts are, therefore, not subject to negative credit interest.

My Department is satisfied that as a client of the OGP framework contract for banking services provided, that it is achieving value for money on the cost of such services including in relation to matters such as the cost of maintaining credit balances.

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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170. To ask the Minister for Enterprise, Trade and Employment the State agencies, organisations or boards under the responsibility of his Department or that receive funding from his Department that have been charged negative interest by financial institutions since negative interest rates were introduced; the amount of interest that has been charged to each State agency, organisation or board in 2021 in each of the preceding years in which such charges were applied; and if he will make a statement on the matter. [29218/22]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The link to the following Schedule sets out details of the negative interest rate charges incurred by the Offices and Agencies receiving funding from or operating under the aegis of the Department since the introduction of such charges by their respective financial services providers up until 30th April 2022.

I wish to assure the Deputy that my Department and our Agencies are fully aware of the importance of achieving value for money in relation to the goods and services that we purchase including in relation to banking services such as the cost of maintaining positive credit balances.

My Department meets regularly with our Agencies, including in relation to operational matters and I have requested that their attention be drawn to the importance of ensuring that where possible they take the necessary steps to mitigate against the potential for incurring negative interest charges where such charges are imposed by their financial services provider.

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