Pearse Doherty (Donegal, Sinn Fein)
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279. To ask the Minister for Finance if the closure of branches in Northern Ireland by banks (details supplied) was discussed with him; and if he will make a statement on the matter. [10445/17]

Pearse Doherty (Donegal, Sinn Fein)
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280. To ask the Minister for Finance if will ensure a bank (details supplied) engages fully with workers' representatives regarding its plans to close branches in Northern Ireland; and if he will make a statement on the matter. [10446/17]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 279 and 280 together.

As the Deputy is aware the relationship between the Minister for Finance and the banks in which the State is a shareholder are governed by Relationship Frameworks which can be found on my Department's website. In accordance with these Relationship Frameworks the Minister for Finance has no direct function in commercial decisions made by the banks and these decisions are the responsibility of the board and management of the relevant institution. Notwithstanding the State's shareholdings in the banks, I must ensure that the banks are run on a commercial, cost effective and independent basis to protect their value as an asset to the State.

The bank informed me that their banking operation in N.Irl First Trust Bank had completed a detailed 18-month strategic review and it was to undertake a necessary reshaping and investment programme designed to ensure a sustainable future for the bank and its customers, and addressing the considerable shift in customer behaviour and their changing needs. Since 2010 there has been almost a 40% decline in branch usage coupled with a 117% increase in mobile transactions over the past two years resulting in the decision to close a number of branches.

The transformation programme will involve the consolidation of First Trust Bank's branch network with the closure of 15 branches in 2017, as well as a significant £10m investment strategy for personal and business customers, including five new business centres across the province. The bank has also agreed a partnership with the Post Office that will enable customers to conduct their everyday banking transactions in any of the 500 Post Offices across Northern Ireland.

I have been further informed that the planned changes will be managed in line with the bank's regulatory commitments and in consultation with staff and their union representatives in the Financial Services Union. The bank's existing voluntary severance programme will be extended to impacted staff.