Central Bank scrapping consumer protection division

[Brendan Burgess]

Central Bank decision to disband consumer protection unit fuels fears customers will be weakened

The Central Bank is disbanding its consumer protection division.

www.independent.ie

The Central Bank is disbanding its consumer protection division.
...
Now, the Central Bank has admitted it is abolishing its consumer protection directorate as a standalone entity. But it insists it is not downgrading its consumer protection activities and is instead redistributing the 169 consumer protection staff to other divisions.

This will see them moving to the likes of the banking and payments directorate and the insurance directorate, where they will continue to have responsibility for consumer protection, but will operate as part of an integrated team.

 

[Brendan Burgess]

Up until now Colm Kincaid was the Director of Consumer Protection.

From now, there will be no one at Director level with sole responsibility for Consumer Protection.

I presume someone in the Banking Division will be "Head of Consumer Protection".

It doesn't seem right.

When the Banking Division wanted the banks to sell their bad loans to vulture funds, I presume that the Director of Consumer Protection was warning against the consequences for consumers. OK, they didn't listen to him but at least someone outside the Banking Division was making that noise.

It would be much more difficult when something similar arises in future for the Head of Banking Consumer Protection to tell her boss that this is not in the interests of consumers.

 

[ClubMan]

Central Bank boss Gabriel Makhlouf will be called before Dáil committee to explain ‘high-handed’ move

Central Bank boss Gabriel Makhlouf will be called before Dáil committee to explain ‘high-handed’ move

Gabriel Makhlouf, Governor of the Central Bank of Ireland (CBI), is to be called before the Oireachtas Finance Committee to explain the bank’s “high-handed” decision to disband its consumer protection unit.

m.independent.ie

 

[Marsupial]

If this is the same "Consumer Protection Unit" that was fast asleep during the various investment scandals that have erupted during the past few years, then I shed no tears for its disappearance, as it seems to have been about as effective as a paper hat in a tropical downpour.

As Brendan Burgess observed, "they weren’t doing the job particularly well. They are reactive instead of proactive.”