Micheál Carrigy (Fine Gael) | Oireachtas source

I welcome the Minister. I concur with Senator Ahearn and thank the Minister for his leadership in his Department over the past 12 months. I believe that we urgently need to convene a forum and an open, transparent, public debate on the future of banking and financial services in Ireland.

We spoke about a number of significant announcements by banks in recent months to close branches and leave some communities without banking services. Ulster Bank is to gradually withdraw from the market here in the coming years. Bank of Ireland's intention is to close 88 branches from September, including Granard, County Longford, as well as four branches in Westmeath, including Athlone Institute of Technology, Castlepollard, Kinnegad and Moate. Permanent TSB has also announced the withdrawal of cash desk services at 44 of its branches as they will be fully automated. This decision is a hammer blow to staff, customers and communities. At this stage, we do not know what long-term effect these closures will have on households, farmers or even SMEs.

I concur with Senator McGahon's comments. I know of people who were approved recently for loans under the SBCI's scheme but their banks would not entertain it. One of the large commercial banks is not entertaining any commercial loans at all. That needs to be addressed. These announcements strengthen the argument for an urgent debate that needs to happen. It has to include everybody, from stakeholders, including the banks, customers, staff, management, trade unions, business and employers' groups, and community interests. It should not be left up to the banks and financial institutions alone to decide this. I have spoken before about how these closures affect footfall in our smaller towns and communities. We need to ensure that we keep people on the high streets of our towns and villages for their continued survival.

I have also said before how we need to look at An Post or the credit unions as a viable alternative. They have untapped potential to do more and to make a further significant contribution across many areas of public, business and community life in Ireland. I believe that An Post can emerge as a central hub for a wide variety of valuable community services but to fulfil that vision, we must not only put the services in place but must financially support the network. The launch of the An Post Money brand has brought all its financial services under one brand, better allowing it to compete strongly in the financial services field. The biggest opportunity for An Post in future is in the provision of an extended suite of banking services. I believe we need to realise the importance of our communities and to put people at the centre of that. We did it before with ACC and ICC but it was never more needed than it is today. The opportunity is there to establish a people's bank through An Post and the credit union movement, and to put people back at the centre of our financial policy.

I wish highlight the locations of many banks that are closing. Many are located in strategic locations throughout the country. There is an opportunity to develop them into community facilities that would benefit the towns, whether for remote working, relocating the post offices or community scheme offices. A fine example is Edgeworthstown, County Longford, where, after the closure of the bank a number of years ago, the local development organisation met Councillor Paul Ross and me to discuss the possibility of its purchase by the local authority. We were successful in that regard and work has recently started on the developing of the co:worx hub, with spaces already booked out. The cash machine is back in its original hole in the wall to service the town and an extension is being built to provide courses in conjunction with the new technological university in the midlands, based in Athlone IT, all overseen by an excellent voluntary committee in conjunction with the local authority.

There are positives to be gained from the closure of the banks, which is a negative. I thank the Minister for his time. I concur with Senator Ahearn and thank the Minister for his leadership over the last 12 months, which have been difficult for our economy.