Kieran O'Donnell (Limerick East, Fine Gael)

A Fine Gael Party amendment proposes that an impact assessment be carried out on the proposed levies, including relevant comparisons of cost effectiveness in its operations with comparator countries. The banks need to be made fully aware that the game has changed. We must not allow all costs to be passed on to end consumers and the cost of regulation should be borne by banks.

Deputy McCormack referred to the regulatory burden on credit unions. It is highly unlikely the House will discuss the issue of credit unions or the Minister's amendment No. 53, although it may be debated in greater detail in the Seanad. The Fine Gael Party has tabled an amendment which provides that the measures provided for under amendment No. 53 would not come into effect until the order for commencement has been approved by both Houses of the Oireachtas. In addition, it provides that the Minister, at the same time as making such an order, would publish a report on the impact of this part on credit unions in Ireland generally.

Deputy Burton's amendment is a fair one. A proper impact assessment of levies should be done to determine the end charge to the customers of the various institutions. The impact on the credit union movement of changes in section 35 should also be assessed. Credit unions do fantastic work in every parish, village and town. In my constituency of Limerick city they provide invaluable help to people on the ground.

The banking and credit union sectors must become robust, fair, transparent and accountable. People must have confidence in these institutions. We cannot allow a buccaneering attitude to prevail in the banking sector. Regulation in the past amounted to little more than the Financial Regulator telephoning a bank to ask if everything was in order. Unfortunately, various things happened in terms of the regulator, inter-director loan transactions-----

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