Pat Breen (Clare, Fine Gael)
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Question 65: To ask the Minister for Defence the proportion of the costs required in providing protection for cash-in-transit protection that is paid for from the Defence budget; the proportion paid for by those offered the protection for the cash in transit; if in view of the Exchequer figures the proportion charged for the provision of this service is adequate and should be increased; if discussions have taken place regarding a possible increase; and if he will make a statement on the matter. [9863/09]

Willie O'Dea (Limerick East, Fianna Fail)
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From 1995 to 2004, an annual contribution of €2.86m was paid by the banks in respect of Army escorts. The contribution from the banks was designed to part-cover the total costs to the State of providing cash escorts.

On 11 May 2005, I signed a formal agreement with the Irish Bankers Federation, which provides that the banks pay the total actual costs incurred by the Defence Forces in the provision of cash escorts. Costs include pay, security duty allowance, subsistence allowance, transport costs and aerial surveillance. The agreement is for a 5-year period and is due for review in 2010.

The banks are charged for their proportion of the total escorts provided. This amounts to approx. 78% of the total number of cash escorts each year. The remainder relates to post office escorts and these are not subject to charge as they come under State expenditure.

Costs in respect of each 12-month period to the end-December are paid the following year on or before the 1st June. This time frame is required to allow for the compilation of returns from the brigades and allocation of costs following the year-end.

A total of €7,349,291 was received from the banks in June 2008 in respect of the year ended 31 December 2007.The amount due from the banks for the year ending 31 December 2008 is currently being compiled by my Department.