Sean Barrett (Independent) | Oireachtas source

I move amendment No. 7:

In page 4, between lines 27 and 28, to insert the following:“(3) The Minister shall submit to the Oireachtas an annual estimates of savings due to the operation of this amendment.”.

I welcome the Minister of State. It is always a pleasure when he comes to the House. The object of the exercise in transferring the jurisdiction for these procedures of examinership from the High Court to the Circuit Court was to save money. Senator White covered it for the main Opposition party on the previous occasion when she estimated cost savings of about 30%. It would be most interesting if the Minister of State had an estimate himself because that is the object of the exercise, which we support. It was also an objective of the troika which pointed out that we have a problem of excess legal costs in Ireland. Some supporters of the troika think that it left a bit early in not having ensured the legal reforms we hear the Minister for Justice and Equality, Deputy Shatter, wants to bring in.

The purpose of my amendment is to ensure the Oireachtas gets an estimate of the savings because we have a problem of high legal costs. Wearing his other hat, I know the Minister of State promotes innovation and small businesses.

One of the obstacles in this regard, as pointed out by the National Competitiveness Council, is the high level of legal costs. Amendments Nos. 1 to 6, which I support, are an attempt to address this issue. To keep people on their toes, it might be a good idea to set an annual estimate of savings to be achieved.

Another concern is that the savings from the personal injuries system which was established some time ago are being gradually eroded and that legal costs are a major factor in inflating insurance costs in respect of road transport and so on. The Minister of State might re-examine this issue before Report Stage. It would be good to know the Government's estimate of the savings upfront. This is something that needs to be continually monitored lest we drift back into the old high cost mode, which is the purpose of the Minister of State's amendment of this section of the Bill, which we support. My suggestion is that an estimate be made now of the savings to be made and that we ensure they are achieved. In attempting to return the economy to where it was in 2008 we need to tackle the problem of sheltered sector services. Legal costs are at the core of what is being done under this Bill. If we quantify the savings we will know if they are increasing, which I hope they will do yearly, or if the legal profession is clawing back the ground that might be lost through the transfer of cases from the High Court to the Circuit Court. Perhaps the Circuit Court proceedings will cost more than proceedings in the High Court, in which case what the Minister proposes to achieve would be undone. I do not believe savings will be achieved without policing by the Department with the support of the Oireachtas.