Customers of financial service providers who leave the Irish market will still be able to bring complaints about them to the Financial Services and Pensions Ombudsman (FSPO), under planned legislation approved by the Cabinet.
The proposed Financial Services and Pensions Ombudsman (Amendment) Bill comes as Ulster Bank and KBC Bank Ireland continue their phased withdrawals from the Republic of Ireland.
"This is an important Bill that, once enacted, will provide enhanced legal clarity for the statutory operation of the FSPO," said Minister for Finance, Michael McGrath, who brough the proposals to Cabinet.
"It will also provide strong reassurance for customers about their ability to access the FSPO, given recent bank exits from the Irish market."
The bill would also introduce targeted amendments that arise following a Supreme Court decision in the Zalewski case regarding the Workplace Relations Commission (WRC) and its quasi-judicial role.
The court found that the exercise of powers by Adjudication Officers at the WRC amounted to the administration of justice under Article 34 of the Constitution.
However, the administration of justice is normally preserved for the courts system.
But the Supreme Court found that the administration of justice as carried out by the WRC is allowed within the meaning of Article 37 of the Constitution as it is limited.
The proposed amendments, if accepted, would enable the FSPO to continue to carry out its statutory functions in line with the Constitution, the Department of Finance said.
