Alan Shatter (Dublin South, Fine Gael) | Oireachtas source

The amendment would reduce the period of commencement of a review of the operation of a personal insolvency arrangement under the legislation from five years to one year. This would be the statutory requirement for a review. I have examined the issue of the length and scope of a review period and had hoped to be in a position to bring forward an amendment on the matter today. However, I intend to introduce an amendment in the Seanad providing for a review after three years. That would apply to all the new insolvency processes under the Bill. I assure the Deputy that whereas the statutory review will be after three years, it is my intention to keep the legislation under continuing review. As I have said, I will look at how the legislation is operating after the first year and if amendments are required, we will not be delayed in any way by a statutory review.

The statutory review will probably be a look back at how the legislation operated over a period of years. The original idea was that it would be five years, but I believe reducing it to three years is appropriate. It will provide an opportunity for us to get past teething issues that might arise under the legislation and to see how it works in practice. A formal statutory review after one year would not necessarily give us that information. Indeed, after one year we might find, on the basis that it will take people a little while to become familiar with the legislation, that there could be many arrangements under discussion that have not been finalised. The formal statutory review would be too early after a one year period. Three years is reasonable. I assure the House that I and the Government will keep a watchful eye on how this legislation works. If it becomes apparent that some aspect of it is creating a difficulty or could be modified in a constructive, fair and balanced manner to ensure the legislation works as intended, there is no question of waiting three or five years to take the appropriate action.

In that context, perhaps the Deputy will consider withdrawing the amendment.

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