Results 14,481-14,500 of 32,961 for speaker:Paschal Donohoe

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: No, I did not; nor am I required to seek its input. I consulted my officials and looked at the recommendation that was made to me from the Central Bank.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: No. I am glad to have the opportunity to clear that matter up. What the Tánaiste was referring to was the changes I am looking to make in respect of the interest rate cap for lending from the credit union movement. When the issue was raised with him, he assumed it was a reference to the interest rate change while in fact the Deputy who was raising the issue with him was referring to...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: The treatment of for-profit financial institutions and the credit unions is different as a result of these changes. Our banks, correctly, will have to cover the full 100% cost. For credit unions, at the highest point the cost will move up to 50%. It will be a matter for the Minister for Finance of the day to decide when this period comes to an end and to decide the appropriate threshold...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I am seeking to place the change in the funding levy in the context of what will be happening to other levies that the credit union movement is due to pay. My key point on the industry funding levy is that I believe I have given recognition of the particular needs of the credit union movement by ensuring that it pays 50% of the cost as opposed to all of it. That is a proportionate...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: Our analysis indicates that for next year there will be a reduction in the total levies that the credit union movement will be paying.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: It will. However, when we move into 2021 the stabilisation levy will be open for review.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: That depends on the outcome of the review of the stabilisation levy.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I reiterate the key point. We have approached this by putting in place a 50% recovery rate. This means that credit unions are treated strikingly differently, as should be the case, from the other bodies to which Deputy Burton has referred. This is precisely in recognition of the point the Deputy made about the capital or funding needs that credit unions have and the nature of the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I agree. This is why I am not sitting in front of the committee with a proposal for a 100% industry funding of the levy. I agree with the Deputy’s point. All Deputies share his view that this sector is uniquely different to other parts of the broad financial sector in our economy. That is why we have a target of the credit unions being levied at half the rate of some of the sectors...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: The Deputy knows I cannot because this is guided by recommendations made by the Central Bank. It is a fair horizon within which to plan one’s affairs. The credit union movement will now know where it stands across 2021 and 2022. This is after the significant work done to flag that this change was due.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: That is completely different. There is a significant difference between the charity sector and any sector involved in the lending of money. That is the reason the regulatory needs we have for organisations involved in providing billions of euro worth of credit into our economy every year are completely different to the needs we have to regulate the charity sector. The Deputy made the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I do not have that information.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: That is wrong.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: That bit is correct, after the Deputy qualified the line.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I take a very different view from the Deputy on the matter. He said I was refusing to give him a guarantee. He knows that is because I cannot do so. That is the difference.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: He knows I cannot do that.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: No. He knows it is the role of the Central Bank-----

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: -----under the legislation that I referred to earlier on-----

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: -----to make a decision on the appropriate rate and I accepted its recommendation.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Credit Union Sector: Discussion (2 Jul 2019)

Paschal Donohoe: I ask the Deputy to allow me to finish. He was well able to make his point; I will make mine in response. He is asking me to give a guarantee as to what I or a future Minister for Finance might do in a few years, while not acknowledging that the rate of industry funding in place now is significantly lower than that for the banks the Deputy just quoted to me. He should be giving me...