Mr. Gerry Cross:

Yes, but it is not for the Central Bank to determine what the right system for running this scheme is. If one looks across Europe, one finds all sorts of different schemes. Some countries go to 100% for all non-life or life. Some countries do 90%. Some do home and some do whole. There is a real variety and one of the things we are engaged in is work in Europe to get that harmonised a bit. For now, it is not.

As to whether one can stop the levy being passed on, European legislation prevents the Central Bank and the Government from interfering in that commercial decision of an insurance company. That is the difference. The scheme says it forms part of the cost base. I am not clear what more can be done.