Kieran O'Donnell (Limerick City, Fine Gael) | Oireachtas source

I am limited in terms of time. I understand what is being said but has the registrar examined the possibility of providing back-up services? The credit union movement is based on community. A person is able to go to the local credit union and deal with someone he or she knows. In my experience, most people want to repay their credit union loans. My worry is that credit unions will get bigger and the smaller credit union with its community ethos will disappear. Before we know it, credit unions will get bigger and bigger and end up being banks, which is not what they are supposed to be.

Instead of going to a credit union, carrying out an audit and indicating that its standards are not up to par, has the regulator examined the possibility of having an alternative process? The regulator is dealing with very decent people. Could the registry put back-office facilities in place? This has happened in Canada and other countries. If someone comes in with a proposal, the credit union could avail of back-up facilities provided by the registry through the league or otherwise. It would be assisted in putting in place the necessary due diligence and risk assessment.

We all want to get to the same point. I am concerned, however, that in getting to the point of having very sound credit unions, we will lose too many of them. They will be lost overboard from the credit union movement. I know from first-hand experience dealing with people that we owe a debt of gratitude to the credit union movement. My concern is that they are coming under enormous pressure. I know and accept that the registry has a job to do but what can we do to assist the credit union movement put these measures in place? Many of them would not be able to afford the level of regulation that could be required. At the same time, they are the ones providing the money, which means people do not have to resort to moneylenders and pay exorbitant rates of interest.

What action is the registry taking to help the credit union movement survive and how will this facilitate the implementation of the type of standards it wishes to see put in place? Rather than going in and saying credits unions are not meeting the mark, will the registry not ask them what it can do to help them meet that mark? Will Ms McKiernan address that matter?