Louise O'Reilly (Dublin Fingal, Sinn Fein)
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4. To ask the Minister for Enterprise, Trade and Employment if section 137 of The Companies Act 2014 will be amended to allow for directors in Northern Ireland to establish and register a company with the Companies Registration Office without having to lodge a non-resident directors bond revenue bond; and if he will make a statement on the matter. [32992/22]

Robert Troy (Longford-Westmeath, Fianna Fail)
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At the outset, I should clarify that there is no restriction under company law on residents of Northern Ireland either establishing or being directors of Irish registered companies. There is a requirement, as per Section 137 of the Companies Act 2014, that a company on the register of companies must have at least one EEA resident director. As an alternative, a company can either put a bond in place pursuant to Section 137(2) of the Companies Act 2014, or obtain a certificate, in accordance with Section 140, from the Registrar of Companies certifying that the company has a real and continuous link with one or more economic activities that are being carried on in the State.

As a consequence of the UK leaving the European Union, and the ending of the transition period on 31st December 2020, with effect from 1st January 2021, UK (including Northern Ireland) resident directors of companies registered in Ireland are not considered resident in the EEA for the purposes of Section 137. Companies that previously relied on having a UK (including Northern Ireland) resident director to meet the requirements of Section 137 are required to either appoint an EEA resident director or else pursue one of the alternative options. 

I understand that the number of companies previously relying on UK resident directors to fulfil the EEA resident requirement is not readily available. However, I have been informed by the Companies Registration Office that in the region of 3,000 bonds have been received since 1 January 2021 in relation to the EEA residency requirement. In addition, 979 certificates have been issued. In the circumstances, there are no plans to amend Section 137 to alter the requirements relating to EEA resident directors.