Report calls for new approach to payments

A report produced by the Information Society Commission (ISC) estimates that the Irish economy could benefit from a co-ordinated approach to payments infrastructure.

The study, prepared by Accenture, argues that a Government strategy to deliver a top-class payments system in Ireland would generate shared cost savings across banking, corporate, SMEs, and Government sectors of up to €420-per-annum - an approximate 0.3% lift to the GNP.

Ireland has the highest levels of cheque payments and cash usage in the EU.

Cheque payments represent 56% of cashless transactions, or 33% by volume compared to an EU average of 7% and 16% respectively.

Cash circulation outside of banks accounts for over one fifth of money supply here compared to the EU average of just over a tenth, or the UK figure of a twentieth.

The report says that an e-enabled payment infrastructure would strengthen the quality and sophistication of the micro-economic business environment and would boost national competitiveness objectives.

The ISC report calls on the Government to take a forward-looking view to the delivery of this kind of payments environment.