Enda Kenny (Mayo, Fine Gael)

I propose to take Questions Nos. 5 to 7, inclusive, together.

The IFSC Clearing House Group, CHG, has met on six occasions in the past year and is due to meet next on 3 April. Its associated working groups in banking and treasury, insurance, funds, asset management and pension funds meet regularly, typically on a monthly or bi-monthly basis.

My Department has supported the international financial services industry in Ireland since the establishment of the IFSC in 1987 by providing a forum for the exchange of views and the co-ordination of effort through the mechanism of the IFSC Clearing House Group and the related working groups. During this period, the IFSC has grown to employ 33,000 people and to contribute more than €1billion annually through corporation tax and payroll taxes.

The Clearing House Group itself is chaired by the Secretary General of the Department of the Taoiseach and its membership includes public and private sector representatives. This includes the leading industry figures including both firms and industry associations. The chairs of each working group are also members of the group and facilitate communication between working groups and the Clearing House Group. There are also representatives from my Department, the Department of Finance, the Department of Jobs, Enterprise and Innovation, the Central Bank, IDA Ireland, Enterprise Ireland and the Revenue Commissioners.

The spread of membership of the group and the working groups enables discussion to take place in an open way which reflects a wide range of experience and expertise so that opportunities to develop sustainable business and employment in the various sectors of the international financial services industry can be achieved.

The groups are mandated to identify and consider issues of importance to the long-term development of the international financial services industry in Ireland. These issues include the strategic development of new business areas and opportunities, the progress of relevant legislation and it identifies, from time to time, the need for responsibility to be assigned for overseeing and reporting to the Government on any appropriate initiatives in this area.

The programme for Government states that the Government "supports the future development of the IFSC as a source of future employment growth, subject to appropriate regulation" and commits to the development of the financial services sector to maximise employment opportunities. The IFSC Clearing House Group shares my conviction that there is scope for development and employment growth on a significant scale. In 2011, the group developed a strategy framed on the basis of an objective to create more than 10,000 net new jobs, to protect existing employment and business, and to consolidate the sector as a key driver of the Irish economy over the next five years.

I launched the strategy for the International Financial Services Industry in Ireland 2011-2016 in July of last year. That strategy was developed on the basis of extensive analysis and consultation carried out across the full range of international financial services. It reflects market trends and the business opportunities to which they give rise, as well as the established strengths and capacities for development of the industry, its advisory and supporting networks, and in the broader labour force available in Ireland. It is a strategy which recognises and fully supports the critical importance of a credible, responsible and proportionate regulatory system whose own capacity and reputation provides, in itself, a source of competitive advantage for this jurisdiction attracting reputable, responsible and sustainable financial services activity. The strategy forms the basis for the agenda and discussion at the Clearing House Group and it is being monitored by the group for specific implementation measures across all of its working groups.

Among other opportunities for growth, the strategy commits to developing Ireland as a centre of excellence in green finance and carbon management through the Green IFSC initiative which is being co-ordinated by my Department through the Clearing House Group and in conjunction with industry.

The core concept of the Green IFSC involves positioning the IFSC to take advantage of growth in the global green economy and green finance sectors. It envisages a cluster of financial and support services for the domestic and international green tech, renewable energy and carbon sectors.

Other issues considered by the Clearing House Group over the past year include the marketing and messaging of the international financial services industry and recommendations made by the group and the working groups resulting in measures being included in the Finance Bill to enhance and support the competitive position of the international financial services sector here.

The mandate of the Clearing House Group in the coming years will be to drive and monitor the implementation of the strategy, and the achievement of its goal of creating 10,000 new jobs. Doing so will require action across the seven drivers identified in the strategy. These drivers are a transparent and competitive direct and indirect tax framework; a credible, responsible and proportionate regulatory regime; the development of new business lines; co-ordinated international engagement and marketing; integrated support for investment and growth; targeted development of appropriate skills; and sustained control of business costs.

A key aspect of the success of the IFSC and the Clearing House Group has been Ireland's responsiveness to trends and opportunities, built on an effective relationship between the public sector and industry. The Clearing House Group is an essential part of this relationship, and I believe it will play an important role in delivering the jobs target this Government has set.

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