Neale Richmond (Dublin Rathdown, Fine Gael)
Link to this: Individually | In context | Oireachtas source

70. To ask the Minister for Finance the progress made in implementing the Finance Action Plan 2021 which has four priority areas sustainable finance, diversity, regionalisation and digital finance. [44879/21]

Paschal Donohoe (Dublin Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The Ireland for FinanceAction Plan for 2021 was launched on 11February to coincide with the hosting of the European Financial Forum, an event which showcases Ireland’s international financial services (IFS) environment to an international audience, and highlights the Irish Government’s commitment to the development of the international financial services.

The 2021 Action Plan has four priority areas; sustainable finance, diversity, regionalisation, and digital finance. It contains 16 new measures to build on the resilience shown by the IFS sector throughout the Covid-19 pandemic.

Ireland for Financeutilises a whole-of-government approach which is supported through ongoing collaboration between public and private stakeholders.

Progress on implementing the action measures is reported to my colleague, Sean Fleming TD the Minister of State for Financial Services, Credit Unions and Insurance, on a quarterly basis and considered at the quarterly meetings of both the Ireland for FinanceHigh Level Implementation Committee and the Ireland for FinanceJoint Committee.

Digital Finance

The new Fintech Steering Group in the Department of Finance has been established and work is underway. The group is making an active and significant contribution to the development of EU policies and proposed laws (as set out in the EU Digital Finance Package) to foster innovation in fintech while protecting consumers against risks. It is also coordinating policies on fintech across the Department and various sub-sectors of financial services in addition to engaging with other State bodies, industry stakeholders and interested firms as issues arise.

This group is complemented by an industry Fintech Foresight Group which is considering separate work-streams in relation to Digital Assets, Sandboxes, Open Banking, and ESG (Environment, Social, Governance). The Fintech Foresight Group has met with the Grand Canal Innovation District (GCID) team a number of times this year to discuss opportunities for collaboration.

Insurance Ireland have developed a comprehensive InsurTech Strategy and have set up the InsTech.ie hub to bring this strategy forward. A launch event for these initiatives was held on 21 July 2021 and the founding members are putting a business plan in place to roll the hub out further.

Technology ICT Skillnet have developed the MSc. In FinTech Innovation in partnership with Munster Technological University Kerry and Letterkenny Institute of Technology. 24 participants have completed the first year of the course which commenced in 2020 and the next intake of the programme is due to start in Q4 2021.

Aviation Skillnet has developed the ‘Certificate in Data Analytics’ as part of its Aviation Finance Leaders programme with UCD Professional Academy and this is due to commence on 30 September 2021.

Diversity

Financial Services Ireland (FSI) and the Banking & Payments Federation of Ireland (BPFI) in association with an Industry Review Group (60 firms and organisations) and a Stakeholder Advisory group (diversity best-practice professionals in the industry) have developed Ireland’s Women in Finance Charter, a guide to accompany the Charter and an industry reporting template. FSI/BPFI have completed phase one of this objective. Work is ongoing in relation to governance and reporting and the launch date for Ireland’s Women in Finance Charter is now likely to be by year-end.

The 100 Women in Finance NextGen Dublin Committee continue to host quarterly education and peer events. Events held so far in 2021 include “The Art of Resilience: An Essential Skill for Lockdown and Beyond”, “Technology Disruption and the Next Generation of Finance Leaders”, and “An Introduction to Private Equity in an Irish Context”. An event focussed on ESG will be held as part of Climate Finance Week 2021 in October.

The 30% Club Ireland Financial Services Group are promoting financial services careers as part of their “Career Less Ordinary” campaign to increase gender diversity in the sector. The ‘Career Less Ordinary’ campaign includes a promotional video, together with a collection of job profiles that describe a range of roles that go beyond those typically associated with the industry. These feature case studies of those who progressed their careers in the sector and look at the educational choices that helped get them there. A formal launch with Minister of State Fleming was held in September and the initiative will be promoted through Careers Portal and social media.

Regionalisation

Promoting investment into regional locations is one of the five core pillars of IDA’s new strategy, Driving Recovery and Sustainable Growth, which was launched in 2021. So far, IDA Ireland has had significant success in attracting investment into the regional locations, with over 48% of IDA’s job approvals located in the regions in the year-to-date.

Significant announcements in the regions in IDA’s portfolio include investor services group IQ-EQ creating 45 jobs in Shannon, alternative investment manager Alter Domus creating 100 jobs in Cork, and State Street’s decision to create 400 new jobs as part their new specialist team providing technology infrastructure and cybersecurity services from Kilkenny.

Enterprise Ireland’s regional office network (including through the regional enterprise groups) is engaged with stakeholders such as business innovation centres, accelerators and innovation hubs in regional locations as well as with regionally based groups focussed on financial services such as the Cork Financial Services Forum.

Enterprise Ireland have launched a “Start in Ireland” portal aimed at supporting entrepreneurs (including fintech firms) at different stages of development with information for potential, new and existing start-ups. Regionally based start-ups have the option to limit search results to immediate geographical locations by county or region to find out information on events, programmes, co-working spaces, accelerators or incubators, competitions, and funding opportunities.

Ireland’s NDRC (National Digital Research Centre) Accelerator is now centred in Dogpatch Labs in Dublin but critically the accelerator is also spread over three regional locations at Galway’s Portershed, Cork City’s Republic Of Work and Killorglin’s RDI Hub Kerry.

Sustainable Finance

The Department of Finance has worked with the European Commission and the other EU Member States on agreeing science-based standards for climate change adaptation and mitigation under the Taxonomy for sustainable activities. The EU Sustainable Finance Disclosures Regulation has been implemented in Irish law. My officials have started negotiations on the Commission’s proposal for a European Green Bond standard – a label that corporates and sovereigns could voluntarily use to demonstrate the credentials of their products. Finally, my officials have engaged in the development of the European Commission’s renewed Sustainable Finance Strategy, and also facilitated consultation on this new Strategy.

The Institute of Banking has developed a portfolio of training programmes in sustainable finance. The Institute of Banking advises that it is planning to publish details on a portfolio of sustainable finance programmes for the financial services sector after the National Sustainable Finance Roadmap has been published, which is expected later this year. The development of the skills matrix is being addressed in the context of the roadmap, where the Institute of Banking chairs the Skills Working Group.

The hosting of the Sustainable Finance Day Summit 2021 was postponed due to Covid. The topic will be covered during the series of events for Climate Finance Week Ireland, which will run from 11 to 15 October.

Progress in other areas

Due to the prioritisation of the Remote Work Strategy and its implementation, the commencement of the study by the Expert Group on Future Skills Needs (EGFSN) to assess the potential additional skills demands in international financial services has been delayed. The scope will be finalised in the coming weeks and consultants will be contracted to undertake the report commencing in Q4 2021 with an expected completion date of Q2 2022.

IFS Skillnet has developed its Leadership in a Regulated World course with 39 participants completing the in-company version of the programme to date. This programme will be made available again in 2022.

The CFA Society Ireland continue to promote uptake of their ‘Certificate in ESG Investing’ course which has seen 230 candidates register for or complete the certificate so far this year.

In Q1, the Central Bank published a Consultation Paper entitled: “Enhancing our Engagement with Stakeholders” which set out four key proposals. The consultation period closed on 11 May and the Central Bank is currently reviewing the responses received and is developing a feedback statement.

Industry and public sector stakeholders continue to promote Ireland as a location for international financial services through the hosting of events such as the European Financial Forum, Blockchain Ireland week, and the forthcoming Climate Finance Week Ireland in October.

Governance of Progress

The minutes of the quarterly meetings of the two committees that monitor progress are published on the Department of Finance website shortly after they are approved at the subsequent meeting. The minutes of the March 2021 meeting of the High Level Implementation Committee are available at and the minutes of the March 2021 meeting of the Joint Committee are available at . The minutes of the meetings for the second quarter will be published once they are approved at the next meetings at the end of September.

An annual progress report for Action Plan 2021 will be published in 2022.