Joe Flaherty (Fianna Fail) | Oireachtas source

I concur and welcome the pupils from St Peter's. I am sure they were enthralled by that riveting discussion on pensions, but it is very important and, in 40 years’ time, they will reflect on it and say we made very wise decisions here.

I welcome the Minister of State, Deputy Troy, my constituency colleague, to the Chamber and wish him well in his role. I know he is very passionate about this sector, and he is determined to get this legislation finalised as soon as possible.

This is a very important Bill for many reasons but, crucially, it strengthens the protections for financial consumers in Ireland by introducing amendments to the legislation that underpins the Financial Services and Pensions Ombudsman, or, as it more commonly known, FSPO, in order that it can continue to carry out its statutory functions in line with the Constitution. The need to introduce these targeted amendments, as the Minister of State alluded to, resulted from a Supreme Court decision in the Zalewski case regarding the WRC and its quasi- judicial role. In addition, the Bill clarifies that the customers of financial services providers who have left the Irish market will continue to be able to access the existing services and consumer protections afforded by the aforementioned FSPO.

This is an important Bill that will, when enacted, provide enhanced legal clarity for the statutory operation of the FSPO. It will also provide strong reassurance for customers about their ability to access the services of the FSPO, given recent bank exits from the Irish market. The Bill, once enacted, will also ensure the Financial Services and Pensions Ombudsman can continue its important work in helping consumers and small businesses resolve complaints against financial services providers and pension providers. This is extremely important given the exit from the market of a number of financial services providers. These targeted amendments will better equip the FSPO to withstand any potential challenge to its operations, and the improved legal clarity will reinforce the statutory basis of the FSPO, a key element of the consumer protection framework in Ireland.

The Bill, additionally, amends the Financial Services and Pensions Ombudsman Act 2017, which underpins the operations of the FSPO.The Bill when enacted will introduce several amendments directly arising from the Zalewski case and, as alluded to by the Minister of State, will set out mediations that can be conducted in private. It will also provide that the ombudsman is equipped to take a decision on whether to hold oral hearings in public or clarify processes around oath taking in oral hearings.

The Bill sets out a limited number of further amendments to the 2017 Act. The purpose of these amendments is to clarify the ombudsman's ability to investigate firms that may no longer be regulated, make provision regarding the calculation of expenses incurred by the ombudsman in the performance of his or her functions, address cross-referencing errors that have been identified and clarify the respective remits of the FSPO and the credit reviewer. It will also clarify the process for appointing an acting ombudsman in the event of the absence of the ombudsman and provide that the Minister for Finance may make regulations requiring financial services providers or certain classes thereof and pension providers to establish internal dispute resolution, IDR, procedures for dealing with complaints and to publish their internal IDR procedures.

This is very important legislation. We are very aware of the challenges we will face in the coming years. Many would say we have a potential pensions timebomb coming. It is very important that we make people aware of pensions and that the State take significant action to address this. The country has a changing demographic. Foremost as a State, we need to be able to provide for older people. We need to give assurance to them as they grow old that there is certainty and that there will always be the warm embrace of the State to look after them into their old age. This is very important legislation. As I said at the outset, I commend the Minister of State on his work on the Bill to date. I look forward to its successful passage.