Darragh O'Brien (Fianna Fail) | Oireachtas source

I wish to comment on amendment No. 42. The change is welcome and it was also a concern of the credit union movement. How will the Department monitor these changes? Most of the regulation is welcome and the Irish League of Credit Unions has done a good job of engaging with the Government and the Department on issues about which it is concerned. The league understands the day-to-day management of its institutions.

I am grateful that the change we called for on Second Stage has been made and that there is general consensus on it. As regards the review of how this will work, however, I do not know if the Department or the Central Bank has information on the existing directors of credit union boards concerning what the impact of this measure will be. I note the Minister of State is bringing forward another amendment that would allow for this to be set aside in exceptional circumstances. Many of the people who have served in credit unions for a long number of years have brought invaluable experience and expertise to this area. I would be greatly concerned, however, that we would lose much of that experience. What fail-safe mechanism does the Minister of State's Department and the Central Bank have in place to ensure that does not happen?

There have been issues with a small minority of credit unions, but that is a credit to the whole movement when one considers that the majority of banks got into difficulty. The vast majority of credit unions have operated extremely well in difficult times, so we should not use a sledge-hammer to crack a nut in this regard. While welcoming the changes the Government has made, I am still concerned that in a few years much of the experience and expertise will be lost. Will we see numerous credit unions applying for exemptions or exceptions with the Central Bank and, if so, will they become the rule? Does the Minister of State plan to review how this is working? What information does the Cental Bank have to hand at this stage on the make-up of credit union boards?