Michael Colreavy (Sligo-North Leitrim, Sinn Fein) | Oireachtas source

Last night I described the difficulties associated with trying to establish a credit union in a rural area with a low population. While I welcomed the broad thrust of the proposed legislation that is before the House, I set out five concerns that Sinn Féin has with regard to it. I would like to mention a sixth concern, which is very important. In areas of low population, the setting of strict term limits on directors and the prohibition on being a member of the board while being a member of the board's oversight committee will present difficult if not insurmountable challenges for credit unions. As I said last night, if such a high level of voluntary commitment did not exist, there would be no need for regulation because there would be no credit unions.

I would like to make three suggestions that would improve the functioning and performance of the credit union sector immediately. The Bill should support the sharing of services among credit unions to permit access to a wider range of services by members throughout the country. The Bill should allow credit unions to offer electronic payment accounts, as this would support the Government's efforts to maximise social inclusion. The Bill should enable credit unions to provide funding to Government-backed or Government-guaranteed schemes and projects, where those schemes and projects would have a social benefit.

If we were to make nine amendments to this legislation to cater for the six concerns and three proposals I have outlined, we would ensure it does not damage the worthy institutions - the credit unions - it sets out to protect. I hope the Minister can accept my suggestions and incorporate them in the Bill.

See this speech in context