Martin Daly (Roscommon-Galway, Fianna Fail)
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33. To ask the Minister for Finance the way he plans to expand the role of Ireland’s credit union sector in the housing market. [5015/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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I thank the Deputy for his question.

The credit union sector is an important contributor to the housing market in the area of house lending and investment in social and affordable housing via the Credit Union Approved Housing Body (AHB) Fund. This is in addition to the provision of personal loans to fund home improvements and retrofit schemes.

Credit union house lending has increased significantly, with 52% year on year growth from September 2023 to September 2024. This growth demonstrates the ability of credit unions to provide house lending/ mortgage products and the level of demand from its members.

I expect that credit union house lending will continue to grow significantly in the coming years. This growth could be accelerated by:

1. The provisions of the Credit Union (Amendment) Act 2023, which now permits credit unions to refer, participate or syndicate house loans, thereby increasing access to products for its members.
2. The proposed changes published by the Central Bank under Consultation Paper 159 - Consultation on Proposed Changes to the Credit Union Lending Regulations. The proposed amendments will enable credit unions to provide more house lending to its members.
3. A mortgage Credit Union Service Organisation (CUSO) has been established with a sizeable proportion of the sector committing funding to the project. In 2025, the mortgage CUSO will launch standardised house lending or mortgage products on behalf of the credit union sector.