Róisín Shortall (Dublin North West, Independent)
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114. To ask the Minister for Finance further to Parliamentary Question No. 86 of 18 June 2015, the regulatory protections in place to ensure that cost-cutting measures introduced by a bank (details supplied) do not lead to significant technological difficulties, as occurred at other banks in recent years. [27043/15]

Michael Noonan (Limerick City, Fine Gael)
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It is the responsibility of the Central Bank of Ireland (CBI) to ensure that regulatory protections are in place to cover the risk identified in the Deputy's question.  I have been informed by the CBI that under the Consumer Protection Code 2012 (CPC 2012) a regulated entity must ensure that in all its dealings with customers and within the context of its authorisation ensure that any outsourced activity complies with the requirements of this Code (General Principle 2.10 CPC 2012).

Under the Code, an "outsourced activity" is where a regulated entity employs another person (other than a natural person who is an employee of the regulated entity under a contract of service) to carry out an activity on its behalf.

The effect of this provision is that any company operating under an outsourcing arrangement from a regulated firm, must act in accordance with the rules of the Consumer Protection Code. This requirement also applies to the CCMA.

Where regulated entities are providing payment services and/or issuing electronic money the European Communities (Payment Services) Regulations 2009, S.I. 383 of 2009 (the Regulations) may apply. The Regulations provide for the authorisation and execution of payment services. Specifically, Section 30 of the Regulations relate to the outsourcing of functions.