The Director of Consumer Affairs, Ms Carmel Foley has welcomed the Competition Authority¿s announcement that it is to conduct a study into the banking sector.
Ms Foley said she was particularly pleased that the Authority had undertaken to examine a number of issues of concern to her office and which were outside her regulatory remit. These include the level of competition in the sector and the profitability and margins enjoyed by Irish banks.
She said she was looking forward to the publication of the Competition Authority's terms of reference for the study and expressed her hope that the study, together with the establishment of a new regulatory authority for the financial services sector, would bring about a more "consumer orientated" banking system.
The Competition Authority yesterday confirmed it was to conduct a study into banking and that it was examining the case for studies into a number of other areas.
"In deciding what sectors to study, the authority takes account of the importance of the sector for the economy, indicators of the level of competition, the existence of public or private barriers to entry, and the public interest generally."
The study is likely to take more than a year to complete and to involve the engagement of a private consultancy firm.