Committee looks for solutions after Presbyterian Mutual Society collapse

Session: 2007/2008

Date: 27 January 2008

Reference: ETI 6/08/09

The Enterprise, Trade & Investment Committee is looking at options to help those PMS members who have suffered financial losses.

In addition to examining the current regulatory system, the Committee is consulting with the Department of Enterprise, Trade and Investment and HM Treasury which is carrying out a review of the regulation of credit unions and industrial and provident societies in Northern Ireland.

Committee Chair, Mark Durkan, said, “While we questioned the regulatory framework in the background to this collapse, our focus was really on looking for ways in which PMS members can be helped. Members also raised the need to ensure that all other industrial and provident societies are sound now and protected in the future. The Department expressed confidence in the position of other societies.”

He added, “The Committee would like to register its concern at the plight of people who have been affected by the collapse of the PMS. We will make every effort to positively influence the situation. Most, if not all committee members, including myself, have constituents who have been affected, some very severely, by the PMS collapse and we know the impact this is having on them.”

Jennifer McCann, Deputy Chairperson added, “The Committee takes this issue very seriously. It is writing to the Treasury in Westminster to further highlight concerns and to look for a solution which affords PMS members the same protection as other savers and investors who have been protected in GB.”