IFSRA appoints Logue as credit unions regulator

The Irish Financial Services Regulatory Authority (IFSRA) has appointed Mr Brendan Logue as the regulator of credit unions.

Mr Logue, the head of the financial services division of IDA Ireland since 1990, is the first person to be appointed to the position, which was created as part of the move to a single financial regulator. The appointment becomes effective from September 22nd.

In his new role as regulator, Mr Logue said he would be concentrating on issues concerning governance, transparency, good value and fair play for the members of the 450 credit unions.

The Irish League of Credit Unions (ILCU) initially opposed the inclusion of credit unions under IFSRA's remit. Before the establishment of IFSRA in May, the main regulator of the credit union system was the registrar of friendly societies.

"I don't see why the credit union movement has any reason to resist this change," Mr Logue told The Irish Times.

He said the movement was facing important challenges, adding that credit unions would evolve along with society as investment practices change and consumers increasingly expect to interact with financial institutions in sophisticated ways.

An unsuccessful attempt by ILCU to implement a technology system linking credit unions, which cost €34 million, must now be left behind, Mr Logue said. "However, it is also the case that some form of technological integration is needed."

It would not be up to the regulator to dictate to the credit union movement how to do this, he said, but "policies that would enable it to talk to itself" were necessary, he added.

Mr Liam O'Reilly, chief executive of IFSRA, said it fully recognised the importance of the voluntary nature of credit unions.