Michael McGrath (Cork South Central, Fianna Fail)
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116. To ask the Minister for Finance the amount and purpose of public funding that has been required to date by the credit union sector; the amount collected from credit unions by way of the levy; and if he will make a statement on the matter. [23877/16]

Michael Noonan (Limerick City, Fine Gael)
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The Credit Institutions Resolution Fund (the Fund) was established under Section 10(1) of the Central Bank and Credit Institutions (Resolution) Act 2011 (2011 Act).

In December 2011 the Minister contributed €250m to the Fund. 

The 2011 Act sets out the purpose of the Fund as follows:

The purpose of the Fund is to provide a source of funding for the resolution of financial instability in, or an imminent serious threat to the financial stability of an authorised credit institution, and in particular-

1. To reimburse the Minister for any provision of a financial incentive pursuant to section 46;

2. To provide funds for any payment required pursuant to section 37(1), 42(5), 48 or 98;

3. With written consent of the Minister, to provide capital for a bridge-bank; and

4. To meet the Bank's expenses in discharging its functions under this Act.

To date approximately €30m has been used to support resolution actions in the credit union sector. To date levies collected from credit unions amount to €23.2m.

Separately, the Credit Union Fund was established under Section 57 of the Credit Union and Co-operation with Overseas Regulators Act 2012 (2012 Act).  The purpose of the Fund is primarily to provide a source of funding for the restructuring of credit unions under the Credit Union Restructuring Board (ReBo). The Minister for Finance contributed €250 million to the Credit Union Fund. To date approximately €10.98m has been drawn from the Credit Union Fund and levies collected to date amount to approximately €2.82m.