Credit union sector warning

The proposed legislation aimed at overhauling Ireland’s credit union sector threatens to “drive up” the operating costs of individual unions, the movement’s main umbrella body warned yesterday.

Addressing the joint Oireachtas finance committee, Kieron Brennan, chief executive of the Irish League of Credit Unions (ILCU), said changes were needed to draft proposals to the Credit Union Bill 2012.

“Operating in difficult economic circumstances is no easy feat, and now the draft proposals in the draft general scheme threaten to drive up the operation costs of credit unions even further. Many credit unions are particularly concerned about the prospective costs facing members arising from the restructuring board, the stabilisation fund and the resolution fund.”