Louise O'Reilly (Dublin Fingal, Sinn Fein) | Oireachtas source

I move amendment No. 1:

In page 4, line 13, to delete “6 years” and substitute “7 years”.

This is a technical amendment that resembles one I submitted as part of the Covid-19-related Credit Guarantee (Amendment) Act. It is designed to lengthen the timeframe in which a guarantee given pursuant to this agreement will increase from six years from the date of the agreement to seven.

In 2013, the Department commissioned a review of the temporary partial credit guarantee scheme, which was carried out by First Choice Financial Services and AJS Financial Advice Limited. They were appointed by the Department to specifically review the scheme. The review focused on giving the scheme the best possible chance of success. In the recommendations submitted, the steering committee, appointed by the then Department of Jobs, Enterprise and Innovation, stated that the three-year term was too short because most loans are for a minimum of five to seven years. It made a key recommendation to extend the term of the guarantee to seven years. This was to allow for guarantees to be extended and thereby loans also. This Bill seeks to set the terms for this scheme at six years. I have submitted this amendment in part to understand why one of the key recommendations of the report commissioned by the Department has still not been taken on board.

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