The two main regulatory levies imposed on credit unions to afford the institutions financial head room have been further reduced by the Minister for Finance Paschal Donohoe.
The Credit Institutions Resolution Fund and the Credit Union Stabilisation Levy were reduced last year due to the economic and financial uncertainty arising from the pandemic at the time.
The two levies were established in the wake of the financial crisis as buffers against future instability.
Minister of State, Sean Fleming confirmed the announcement that the Credit Institution Resolution Levy for 2022 will be reduced to 0.024914% of assets (approximately €5 million) and the Credit Union Stabilisation Levy for 2022 will be reduced to 0.0015033% of assets (approximately €300,000).
Collectively levies of €5.3 million will be collected for 2022, mirroring the amount collected in 2021.
"As Minister for State with responsibility for Financial Services, Credit Unions, and Insurance, my aim is to support the credit union sector in continuing to provide essential financial services to local communities," Minister Fleming said.
"We are maintaining the levies at the amounts charged in 2021 to balance our legal obligations to maintain and grow the funds with the challenges faced by credit unions."
