Mr. Oliver Gilvarry:

To clarify, the Department supports the Central Bank on the Pillar 2 requirements. We view this as the overall package. As I stated, there are issues, for example, the small and medium enterprise, SME, supporting factor allows for a capital weighting or less capital to be applied to SME loans above €1.5 million. Currently, under CRD IV, an exemption applies to loans of less than that amount. These are important issues in the overall package. We support the Central Bank on the Pillar 2 issue in respect of macro-prudential tools. As Mr. Cross outlined, the European Commission is carrying out a review but it has removed this flexibility from the directive and regulation. We are very much in support of the Central Bank in asking the Commission to show us what its framework looks like before it starts removing this flexibility.