Barry Ward (Dún Laoghaire, Fine Gael)
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522. To ask the Minister for Finance the position regarding any research carried out by his Department into the merits of developing an individual savings account scheme in Ireland, similar to what is available in the United Kingdom; and if he will make a statement on the matter. [45765/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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On 22 October 2024 ‘Funds Sector 2030: A Framework for Open, Resilient & Developing Markets’ was published. It was a wide-ranging review of the funds and asset management sector.

The terms of reference included review of the taxation regimes for funds, life assurance policies and other related investment products. As part of this aspect of the review, proposals made in relation to the development of an incentivised retail savings and investment product, like the ISA in the UK, were considered.

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 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 Savings and Investments Union 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.

The Programme for Government has committed to progress and publish an implementation plan for consideration in Budget 2026 taking into consideration the Funds Review recommendations to unlock retail investment and opportunities to grow this sector in Ireland. Detailed consideration is therefore being given to the best way to support a greater level of retail investment in capital markets. It is likely given the breadth of the Funds Sector 2030 review that the delivery of associated tax measures may take place over multiple Finance Bill cycles. This work will also take account of developments at an EU level in respect of the Savings and Investments Union. In particular, we look forward to the Commission's recommendations on savings and investment accounts, which are expected in the coming weeks.