Michael Noonan (Limerick City, Fine Gael) | Oireachtas source

As I said earlier, the protocol is being developed between the bodies I named. It is to set out how the Central Bank proposes to engage with credit unions in any formal consultation process prior to the introduction of new regulations. The protocol may also provide for varying levels of consultation depending on the nature and complexity of the regulation being proposed. This will have the effect of increasing transparency and confidence in the regulation-making process. The protocol will also include the specific requirement that consultation does not impact on the statutory independence of the Central Bank in the regulation of credit unions. A draft protocol has already been circulated for comment. The Irish League of Credit Unions has made a submission on the basis of the protocol and that submission is currently being considered by the Central Bank. It is fit for purpose but I do not want to put it on a statutory basis by way of a statutory memorandum of understanding because that could inhibit the independence of the Central Bank to act readily, as the regulator.