Results 9,061-9,080 of 16,537 for speaker:Brian Lenihan Jnr

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: The extension of the deposit guarantee scheme to credit union savers on 20 September 2008 is an important development in safeguarding the interests of credit union savers because the €100,000 limit per depositor will cover the vast majority of accounts in credit unions. It therefore represents very significant progress in savings protection for credit unions. In this respect, the...

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: Deputy Bruton asked questions about legislation that is under preparation in my Department. One of the great difficulties is that there is not a unanimous view among the different credit unions in Ireland concerning how this matter should be approached. As Deputy Bruton correctly indicated, the League of Credit Unions has a particular view but there are other substantial credit unions...

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: The position was that no guarantee was in place and the reason the credit unions were included in the guarantee is that I did not want them to be put at a competitive disadvantage to other financial institutions at the time the €100,000 limit was announced. I consulted the League of Credit Unions before making that decision. Legislation being drawn up will have to embody the principle that...

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: I do not have a figure to hand but I will arrange for the details to be furnished to the Deputy. I believe it is of the order of €12 billion.

Pension Provisions. (6 Nov 2008)

Brian Lenihan Jnr: Discussions are under way with the trustees and administrators of the funded pension schemes of the five older universities and a number of non-commercial semi-State bodies with the aim of adopting a new approach to dealing with the liabilities of these schemes. The semi-State bodies involved are the IDA, SFADCo, FÁS, Bord Bia, the Irish Goods Council, the Arts Council, CERT and a number of...

Pension Provisions. (6 Nov 2008)

Brian Lenihan Jnr: I assure Deputy Bruton and the House that no agreement has been reached to take over the assets and liabilities in the question. The provisional character of the figures I provided is provisional and I clearly indicated that the figures will have to be revised. An agreement has not been finalised and we will have to be in possession of all the facts before any discussions about an agreement...

Pension Provisions. (6 Nov 2008)

Brian Lenihan Jnr: It is important to note, however, that the public bodies in question have, by and large, no substantial revenue raising capacity. Therefore, an issue would arise in any event as to whether the State bore ultimate responsibility for their pension liabilities. On the question of the taking in of assets and payment of liabilities, a decision that will have to be taken by the Government in the...

Pension Provisions. (6 Nov 2008)

Brian Lenihan Jnr: Yes, we will require legislation but we are not yet at that stage because we would first need an agreement with the relevant bodies and we have not yet reached that stage either. Furthermore, we need to be in possession of the full facts before we proceed to negotiate any such agreements.

Pension Provisions. (6 Nov 2008)

Brian Lenihan Jnr: No, the Deputy may not make that assumption from my reply. I stated that the ultimate destination of the funds had to be examined with care. The pension fund is one option, while the general Government balance is another.

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: The charge for the provision of the guarantee is based on an assessment of the additional funding costs arising for Government from the guarantee scheme. It is estimated that the total aggregate charge paid by the covered institutions over the next two years will amount to approximately €1 billion. The thinking behind the charging model is set out in some detail in the annexe to the...

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: Deputies on all sides of the House will have to be aware that the conditions in the international bond market are not unique to Ireland. We are not in a unique position in international markets — far from it. We are operating in a climate where several sovereign states have been unable to access international liquidity in any form whatsoever. We are also dealing in international markets...

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: The charge scheme is set out and is now being implemented in the contractual arrangements arrived at with the different institutions. Provision is contained within the scheme for the review of the charging mechanism, when appropriate.

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: I do not accept the international comparisons made by Deputy Burton. The reasons for the increase in the basis points referred to by the Deputy are not related to the guarantee given to the banking system by the Government, but to the general international difficulties, which I have already put on the record of this House——

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: ——and which are clearly visible to any person who examines the financial literature for any extended period. As regards the question about the protection of the taxpayer, the whole basis of the charging mechanism is to ensure the taxpayer is protected against any increase in the basis points, which are attributable to the giving of the guarantee.

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: I made it clear in replying to Deputy Kenny this morning that I anticipated that the Irish financial institutions would pass on the benefit of the interest rate decreased.

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: Again, in relation to that, it is not a scheme in which taxpayers' money was invested in or spent on the banking sector. It is a scheme in which the State gave a secondary guarantee and——

Financial Institutions Support Scheme. (6 Nov 2008)

Brian Lenihan Jnr: ——-under the legislation governing the scheme, a right of commercial interference in the banks is not given to the State. However, it is in the banks' commercial interests to pass on the benefit of the interest rate.

Decentralisation Programme. (6 Nov 2008)

Brian Lenihan Jnr: A total of €18.8 million has been spent on acquiring sites in respect of those projects which are being deferred pending a review in 2011. The locations in question are Birr, Cavan, Dungarvan, Edenderry, Thomastown, Thurles and Waterford. In addition, a site has been purchased at Knock, at a cost of €390,000. Approximately €4 million has been spent to date by the OPW on the costs of...

Decentralisation Programme. (6 Nov 2008)

Brian Lenihan Jnr: My response made it clear that staff in such locations will remain in place. Therefore, in so far as expenditure has been incurred, the staff placed in those locations will remain in place. However, it is correct to say the full extent of the decentralisation has been paused. That is the decision of the Government, because in prioritising capital expenditure ——

Decentralisation Programme. (6 Nov 2008)

Brian Lenihan Jnr: In prioritising capital expenditure this year, the Government faced a choice. It had to make a decision to pause decentralisation now or incur far greater expenditure.