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Minister for Finance must explain decision to allow Goodbody to dodge the banker bonus levy despite being bought by AIB - Pearse Doherty TD

2 March, 2021 - by Pearse Doherty TD

Sinn Féin spokesperson on Finance Pearse Doherty TD has criticised the Minister for Finance for allowing Goodbody Stockbrokers to dodge the bankers’ bonus levy despite being bought by AIB for €138 million.

Teachta Doherty said:

“Today AIB bought Goodbody Stockbrokers - a former subsidiary they sold at a knockdown price of €24 million in 2010 - for €138 million.

“Despite AIB buying 100 percent of Goodbody from its existing shareholders, Goodbody employees will be able to dodge the banker bonus levy that has been in place at the bailed-out banks since 2011.

“This is unacceptable, and is further evidence that this government is light on financial regulation and accountability.

“This levy is written into our tax law, and applies to any financial institution that was bailed out by the State during the financial crisis.

“Given the fact that taxpayers are yet to recover €10 billion of the €20.8 billion that they pumped into AIB, it is unacceptable that AIB, Goodbody and the government have sought to dodge this levy.

“The Minister for Finance must explain how this arrangement complies with the Taxes Consolidation Act, and why has he allowed a bank - in which he is a majority shareholder on behalf of the Irish people - to acquire a stockbrokers for €138 million without applying a bonus levy?

“AIB will own Goodbody Stockbrokers in its entirety. The levy on banker bonuses should apply to all parts of AIB.”

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