Joan Burton (Dublin West, Labour)
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Question 183: To ask the Minister for Finance his views on the recent statement by the Financial Ombudsman calling for a change in the law allowing that office to name financial institutions which it has found against; his plans to introduce such legislation; and if he will make a statement on the matter. [25664/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The Financial Services Ombudsman has requested the power to name institutions where it is in the public interest to do so. I am now reviewing the issue. My officials have sought legal advice to help inform the deliberations to formulate a clear policy position. This is a complex issue which requires detailed examination prior to bringing forward legislation. For example, the criteria for publishing would have to be identified in the legislation. Any amendment to the current legislation would need to be validated, justified and applied in an objective and reasonable manner to all financial services providers. I will reflect on the options and consider possible legislative solutions in the context of the second Central Bank Reform Bill later this year.

Joan Burton (Dublin West, Labour)
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Question 184: To ask the Minister for Finance his plans to change the law allowing the levies imposed by the Financial Ombudsman to be imposed in proportion to the number of proven complaints against each institution as is the case in the UK in an effort to encourage banks and other financial institutions to improve conduct of business and customer complaints handling procedures; and if he will make a statement on the matter. [25665/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The Financial Services Ombudsman Council determines, by regulation, the levies and charges payable by each financial service provider. The regulations do not take effect until I consent to their making. The regulations prescribe the amount of the levies and the charges that are to apply to specified classes of financial service providers. All such providers contribute towards the funding of the Financial Services Ombudsman and of the Council. Now that the office is 5 years in existence I am advised that the Ombudsman and the Council are to review the method for determining the levies and charges and their manner of collection.

I am advised that a legislative change is not required should the Ombudsman and the Council wish to amend the methodology of determining the levies and the manner of collection.

Joan Burton (Dublin West, Labour)
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Question 185: To ask the Minister for Finance if his attention has been drawn to the fact that in most jurisdictions the costs of financial regulation are paid 100% by the financial industry; his plans to amend the existing legislation requiring the financial services industry to pay 100% of the costs of regulation in the proposed Central Bank Commission compared to just 50% at present; and if he will make a statement on the matter. [25666/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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Primary legislation would not be necessary to achieve 100% industry funding of financial regulation and the Central Bank Reform Bill 2010 does not contain any specific proposals in this regard. However, I have asked officials in my Department to undertake a process of consultation with the Central Bank and Financial Services Regulatory Authority and representatives of the financial services industry with a view to examining how we might move towards 100% funding of the regulation of financial services by the industry. The Governor of the Central Bank, in a statement to the financial services industry in December 2009, also signalled his expectation of an increasing degree of industry funding for financial regulation.

Under the provisions of the Central Bank Act 1942 (Section 33J) Regulations 2009 a supplementary levy was imposed on credit institutions covered by the Credit Institutions (Financial Support) Scheme 2008 which is designed to recoup 100% of the costs of the more intensive level of supervision necessary to ensure compliance by relevant credit institutions with the provisions of the Scheme.