The proposed EU Savings & Investment Union will empower consumers with more choice and flexibility to achieve their financial goals, according to the chair of Financial Services Ireland.
Declan Bolger, who is also CEO of Irish Life, said the breadth and capability of Ireland’s financial services industry means firms in this country have the potential to be central players in realising the benefits of the SIU.
The initiative is designed to create integrated capital markets and banking systems within the EU, with a view to offering consumers more opportunities to invest their savings in a way that will deliver better returns. At the same time, the enhanced capital markets system aims to unlock more capital that can be accessed by firms and invested productively.
Mr Bolger said introducing meaningful tax incentives for consumers who invest in capital markets will help achieve better outcomes, both for consumers themselves and for the European economy, by increasing uptake for the SIU.
“The track record we have built, the breadth and capability of the firms located here, the unmatched relationships we have with key stakeholders across the US, EU, and UK – all of these things mean Ireland can be at the centre of this project,” Mr Bolger said, while speaking at FSI’s annual lunch.
“But for the Commission to achieve the full potential that exists, we need to ensure we are doing everything we can to drive uptake from consumers. Government support, including consumer tax incentives, would help increase the attractiveness of the SIU to households, giving them further encouragement to put their savings to work in the SIU. We have seen that consumer tax incentives have worked in similar situations in Sweden and Denmark and would encourage similar measures in this instance.”
FSI is the Ibec group that represents the financial services sector in Ireland and is continuing to advocate for an SIU that is optimal from the point of view of the Irish economy, and maximises the opportunity on offer for firms located here.
