32. Deputy William Aird asked the Tánaiste and Minister for Finance the actions being taken to improve competition in the retail banking sector following recent market consolidation; and the measures being considered to strengthen consumer protections in relation to fees, mortgage switching and digital only banking. [67447/26]

The Retail Banking Review, which was published in November 2022, considered competition in the market.

While there had been increased concentration in the market following the exits of Ulster Bank and KBC, the review found that sufficient competition would remain in the short to medium term, subject to continued strong regulatory oversight.

Since the publication of the review, new entrants into the market have included Avant Money, an Irish branch of Bankinter, and Monzo Bank, which was recently granted a full banking licence in Ireland.

In addition, recent changes to the Credit Union Act should help to allow that sector to play a greater role in the provision of retail banking products and services.

One very important Government commitment was to engage with the Central Bank of Ireland to review credit union lending limits. This work has been completed and significantly higher lending limits are now in place.

The amendment of these regulations reflects the competence and capability of credit unions to grow their respective loan books in a prudent manner, and to futureproof their offering to support homeowners and businesses. It will also allow credit unions to compete more effectively in the mortgage and business lending market.

Following a recommendation in the Retail Banking Review, the Competition and Consumer Protection Commission and the Central Bank of Ireland entered into a revised cooperation agreement in March 2025. This enhanced coordination allows for the sharing of perspectives, information, and experience on the orderly functioning of markets, consumer protection, and competition in the retail banking sector.

On foot of further recommendations in the Retail Banking Review, legislation was enacted last year to safeguard access to cash and help prevent financial exclusion, particularly for vulnerable consumers and those with limited digital access.

Criteria have now been set to ensure that, on a regional level, the provision of ATMs and cash service points ensures sufficient and effective access to cash. A cash service point is a designated, staffed location – typically a bank branch or post office.

In relation to fees, as Minister for Finance I do not have a role in the operations of any bank in the State.

Any decisions in this regard are ultimately the responsibility of the banks, which are run on a commercial and independent basis.

Retail banks operating in Ireland are subject to regulatory supervision by the Central Bank of Ireland. Under Section 149 of the Consumer Credit Act 1995, credit institutions must notify the Central Bank if they wish to

• Introduce any new customer charge for providing certain services; or

• Increase any existing customer charge for providing certain services.

The Central Bank advises that each notification received by the Central Bank is assessed in accordance with the specific criteria set out in Section 149 of the Consumer Credit Act 1995. The Central Bank may either approve (in full or at lower levels than requested) or reject a credit institution’s application under Section 149.

Credit institutions are free to impose any pricing differentials for the service up to the permitted maximum and are free to waive charges at their discretion for commercial or competitive reasons.

The Competition and Consumer Protection Commission operates a range of comparison tools including for mortgages, current accounts, lump sum deposits and regular savers on its website. The website is available at: www.ccpc.ie/consumers/money-tools/.

This can be used by consumers to find the financial product which best meets their needs. There are also other commercial comparison websites which can help consumers if they are thinking about switching.

The Central Bank of Ireland's Consumer Protection Code also contains enhanced rules for lenders to support consumers who are considering switching their mortgage.

The 2025 Consumer Sentiment Banking Survey, was published by my Department last October, and which helps to identify trends in consumer behaviour; including product choice, competition and innovation.

The 2025 Survey noted that 66% of customers in Ireland now have more than one financial provider. These include a number of digital-only banks that offer a range of financial products and services to consumers across urban and rural Ireland.

There is a robust consumer protection framework in place in Ireland for consumers of financial services. Regulated entities are subject to the rules and regulations within the regulatory framework that they are authorised – for example as a bank, payment institution or e-money institution.