Joe O'Reilly (Fine Gael)

The Quinn Group and Quinn Insurance are of enormous significance to County Cavan. There are 600 good jobs at Quinn Direct which contribute in so many ways to the economy of the county. There are 1,200 jobs in the Quinn operation outside the business in County Cavan. There are 5,500 people working in the Quinn operation in Ireland and 7,000 internationally. This means the Quinn Group is the largest employer in the country, outside of the public sector. It is an enormous business and of systemic importance to the economy. The Quinn family and the Quinn Group are held in the highest regard in County Cavan and have made a very significant contribution to the cultural, social and economic life of the county.

There are 1.3 million policyholders with Quinn Insurance. We must, therefore, maintain competition in the insurance industry. We cannot allow one player to have a monopoly. Every conceivable step must be made to ensure competition in the industry.

No one questions the need for robust regulation. Any student of recent events in the country would hardly question that there is such a need. However, it is a pity the Financial Regulator was not able to solve the problems in-house through negotiation, observation and working with the firm. Is the Minister of State confident that enough was done in that respect? In so far as the separation of powers allows him to do so, he should make judicious inquiries in this respect and do everything conceivable to avoid an over-reaction.

We could be moving from light touch regulation to over-regulation. I am not saying that is the case, but it is something to be avoided. The situation needs to be monitored. Senator Donohoe asked why it would be necessary for the regulator to proceed with action if the shortfall - and we must bear in mind it is only a paper shortfall - of €450 million were put in place to fulfil regulations. We appreciate the regulator's position in insisting on that. Nobody is questioning that, but it seems strange that the regulator would still see the need for action. I would like to hear the Minister of State's response to that point.

I also wish to refer to a couple of matters of which I know anecdotally. Consumers have great confidence in Quinn Insurance locally. They have a good experience in terms of how claims are dealt with, and the courtesy of the staff involved. As a local representative for that area, I have heard nothing bad at that level. I am of the view that the Quinn operation will survive, and I hope it does. It is axiomatic and necessary for our community that it does survive, but I believe it will do so because it is fundamentally in good health.

The Minister should keep a watching brief and do everything he possibly can within his remit to ensure Quinn Direct survives in good health and that normal business confidence is restored. It will take time to do that. Without equivocation, I have no problem in concurring with the sentiments of my colleague from Cavan, Senator Wilson, that jobs are critical to our community. Our Border area has suffered much from emigration over the years and we could not possibly accept any more job losses.