Dan Neville (Limerick, Fine Gael)
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68. To ask the Minister for Finance his views on a matter (details supplied) regarding the CP88 Consultation on Regulations Paper issued by the Central Bank of Ireland; and if he will make a statement on the matter. [12375/15]

Michael Noonan (Limerick City, Fine Gael)
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The Registrar of Credit Unions at the Central Bank is the independent regulator for credit unions.  Within her independent regulatory discretion, the Registrar acts to support the prudential soundness of individual credit unions, to maintain sector stability and to protect the savings of credit union members.

My role as Minister for Finance is to ensure that the legal framework for credit unions is appropriate for the effective operation and supervision of credit unions.

On 27 November 2014, the Central Bank issued consultation paper CP88 entitled 'Consultation on Regulations for Credit Unions on commencement of the remaining sections of the Credit Union and Co-operation with Overseas Regulators Act 2012'. The Central Bank provided a 3 month consultation process to provide an opportunity for stakeholders to set out their views across a range of issues, with a closing date for submissions on 27 February 2015. In June 2015, following analysis of submissions received, the Central Bank will publish a feedback statement summarising information submitted, the Central Bank's response and the final regulations for credit unions. All submissions received will be published on the Central Bank's website.

The Central Bank propose a transition period of six months between publication of the feedback statement and final regulations to commencement of the regulations. This is to facilitate credit unions in making any changes to systems, controls, policies and procedures that may be necessary for any new or amended requirements. The new regulations, which will come into effect from 31 December 2015, will be informed by feedback received on CP88.

The provision of regulation making powers to the Central Bank on commencement of the remaining sections of the 2012 Act means that in the future, the Central Bank will be in a position to review and amend the regulations as appropriate on a timely basis following consultation with the credit union sector. I have been informed by the Central Bank that where credit unions set out a clear path on how they wish to develop their business model, the Central Bank will consider any amendments to the regulations that may be appropriate.

The safety of members' savings and the security of the credit union sector as a whole are priorities for this Government and while the Government recognises the important role of credit unions as a volunteer co-operative movement in this country, it is vital that measures implemented will ensure a viable credit union sector into the future.