Billy Kelleher (Cork North Central, Fianna Fail) | Oireachtas source

I welcome the opportunity to speak on the Bill. I know certain provisions proposed by the Minister are not contained in the Bill itself. From that perspective we are discussing a Bill that is published but clearly the Minister intends to introduce amendments at a later Stage.

I think the voucher industry is positive. It allows for people to provide gifts other than cash. It is part and parcel of what we do in everyday transactions and when giving presents to people. The most pertinent issues are the diminishing value of a gift voucher, the terms and conditions on the voucher and the expiry dates especially where they expire sooner than the purchaser or recipient would have anticipated.

Certain companies do everything in their power not to honour vouchers, using excuses such as the wrong name on a voucher vis-à-vispassport for airlines and so on. The overall general concept is good and should be encouraged. Very often small communities, towns and villages promote the concept of a regional or town voucher system to support and encourage local shopping. All these things are because of threats from electronic media advertising coupled with purchasing on the Internet itself.

I often become concerned when the Government steps into a marketplace, as it can be overzealous in regulation. We do not want to diminish the ability of companies to provide vouchers in a way that is meaningful and allows them to survive and continue to provide that service. Whatever is implemented must be in accordance with best practice but equally, must not be a burden on the companies to the point where they no longer exist.

Terms and conditions need to be to the fore in vouchers. When companies are selling their products, people need to be fully aware of the terms and conditions, which should not be in the small print at the bottom of the case, as is often the case. It is critical to address those points when regulating and in bringing forward this legislation.

The concept is good. It facilitates commerce by allowing people to give gifts through the voucher system. It can allow for small towns and villages or individual companies or communities to get together and also get involved in this activity. The downside can be when companies do not honour the spirit of a voucher system and try to undermine or diminish a person's ability to claim the full value of a voucher.

On the issue of the so-called maintenance fee, there is no doubt that when people buy gift vouchers, they expect the full face value to be redeemable at a future date. Over a period of time, the value of some vouchers diminishes in order to incentivise people to redeem them early. However, there should not be massive penalties of which people are unaware so that when they redeem their vouchers, they find that they have diminished in value quite substantially.

The Minister is proposing a consultative process through the Department but it is not clear what is envisaged in terms of regulating maintenance fees or diminishing values. I hope that whatever is done takes into account the sustainability of the gift voucher sector. The Minister must ensure that whatever she does, it not impact negatively on the ability of the sector to provide a service in a way that encourages people to participate in the purchase of vouchers as gifts.

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