Brian Hayes (Dublin South West, Fine Gael) | Oireachtas source

During Report Stage in Dáil Éireann and Second Stage in this House I indicated that I would table an amendment to clarify that it is only legislation that already applies to credit unions that would be covered by this definition. The amendment outlined provides the clarification sought. The point was raised by Senator Byrne and a number of other Senators on Second Stage in the House.

The amendment provides that the financial services legislation definition only relates to provisions applicable to credit unions acting under any authorisation from the Central Bank as provided for by law. Such authorisation may include acting as an investment intermediary under the Investment Intermediaries Act 1995. The amendment clarifies any misunderstanding that the definition somehow applies - inappropriately - a corpus of so-called banking legislation to credit unions. I again clarify to the House that this definition does not apply financial service provisions to credit unions anew, nor could it be used for that purpose. The perception, that the definition turns on to credit unions a range of new legislative provisions from the wider financial services area, is mistaken.

The point was made that we would table an amendment that would be clearer in terms of what credit unions can and cannot do. A number of Members indicated that credit unions frequently do other things, in particular in terms of intermediaries legislation, which is not clarified in other legislation in terms of a definition. We were asked by colleagues in the Dáil and in this House to bring forward a clearer definition of what exactly applies to credit unions under the section.

The amendment provides a better definition and greater clarity in that regard.