Emer Currie (Dublin West, Fine Gael)
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306. To ask the Minister for Finance if he will examine the potential to expand the remit of Ireland State savings to introduce new investment products for Irish savers, in line with the ambition of the EU Savings and Investment Union; and if he will make a statement on the matter. [32756/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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As you are aware, at EU level, the European Commission recently launched the SIU Strategy, which includes measures to advance the Capital Markets Union (CMU) project. The SIU (Savings and Investments Union) seeks to increase investment in the economy and promote EU companies’ competitiveness through various measures, such as supporting the development of national capital markets, revitalising the securitisation market, increasing retail investor participation in capital markets, and promoting SME investment.

Ireland is a strong supporter of the SIU initiative and is actively involved in its development, including measures specifically designed to promote more retail investment.

Ireland possesses a high savings deposit rate which reflects the success of our economy for our citizens in recent years. The central thrust of the Savings and Investments Union (SIU) project aims to help citizens to invest more in order to increase the amount of money they have in their retirement and to use the invested money to grow businesses bringing more growth to the economy.

At the national level, on 22 October 2024 ‘Funds Sector 2030: A Framework for Open, Resilient & Developing Markets’, also known as the Funds Review, was published. It is a wide-ranging review of the funds and asset management sector. The report made eight recommendations on the topic of retail investment, including recommendations to better align the tax on investment funds and life assurance products with that of direct equities by removing deemed disposal and aligning the rate of tax to 33%.

The report also noted that there may be merit in exploring an incentivised savings and investment account in due course and developments at EU level in the context of the SIU will have relevance in this regard. However, the report concluded that measures proposed for amending the existing taxation of investment funds and life assurance products should be prioritised as these address the most substantive issues raised as part of the review.

My officials are reviewing the Funds Review’s recommendations from the but the 2025 Programme for Government has a commitment to progressing and publishing an implementation plan, taking into consideration the recommendations to unlock retail investment and opportunities to grow this sector in Ireland.

In relation to State Savings, at present, there are no plans to expand their remit and I would refer the Deputy to my response to Dail Question No 307 (Ref: 32757/25) also for answer today for background on their current offering.