Mr. Sean Hosford:

It is very important to factor in that all the stakeholders endorsed the recommendations of the commission. It was endorsed as a package. For example, all of the new requirements around governance, including the significant cost that came with it, was to be balanced by it being proportionate to the nature, scale and complexity of the business of each credit union.

The Deputy makes a very valid point regarding the distinction between the structure of banking and credit unions. The credit union is an integral part of the community. It is a self-fulfilling success. That is the reason why credit unions succeed. We need to be very careful not to dismantle that. We have to build on the strengths that are there and not try to mimic something else that has failed in the past. The ideology has not changed. We are simply seeking to modernise it. We are also seeking to be able to satisfy the needs of more people. The Deputy asked earlier about small loans, which is still a core element of the business, but much more can be done.

There were very good examples of credit union involvement in social enterprise. A credit union in Galway was mentioned last night. I am familiar with one in Galway that funded an enterprise centre which now provides significant employment. It has a major social and economic benefit. This is what credit unions can do.

The point in regard to the Central Bank is a question for the registrar. Our view is that the Central Bank is being over-zealous. It is taking risk management to the extent where it is risk prevention. We have built up skills around risk management in recent years and we believe that credit unions are in a position to do more for people.