John Paul Phelan (Fine Gael)

I move amendment No. 1:

In page 5, between lines 20 and 21, to insert the following new subsection:

"(2) Within two years of the coming into operation of this Act, the Minister shall present to the Oireachtas a review of the operation of the Act which will inter alia, assess–

(a) the impact of the operation of the Act on the Credit Union Movement,

(b) the adequacy of the system for developing a strong pro-consumer financial environment,

and

(c) the quality of the reporting arrangements to provide the Oireachtas with timely information in regard to–

(i) protection of consumer savings,

(ii) transparency of information for the users of financial services,

(iii) competition among the providers of financial services, and

(iv) efficient redress for consumer grievances in relation to the provision of financial services.".

I welcome the Minister of State, Deputy Brian Lenihan, to the House for the debate on this important legislation. My amendment tries to deal with the most contentious element of the Bill, which is the idea of combining the consumer protection element with the existing responsibilities of the Central Bank for the financial services sector. The purpose of the amendment is to enshrine the consumer protection element, which many commentators have said is contradictory to the already aforementioned position of the Central Bank.

This amendment seeks a review, after two years of the operation of the Bill, on how it is working, the impact it is having for consumers and its impact on the credit unions – which have expressed concern about this legislation and the impact it may have on them – and on competition in the banking sector. I urge the Minister to consider the amendment. It tries to allay some of the fears of those people who have reservations about the proposed new authority and the seemingly diverse roles which it authority seeks to fill. I would be interested to hear the Minister's response.