Failure to reform State pension age could cost up to €50bn

Seen and Heard: Quinlan bankruptcy case set for June; Hammerson stuck for Ilac tenants

The full impact of freezing the pension age could be even more severe than the €50 billion estimate. Photograph: iStock

The full impact of freezing the pension age could be even more severe than the €50 billion estimate. Photograph: iStock

 

The Government has been warned that freezing the State pension age at 66 will cost the exchequer up to €50 billion over the coming decades, according to a report in the Sunday Times.

The Department of Finance has said the pension age must be raised in line with longer life expectancy and that without reform the ageing population will put State finances on an “unsustainable trajectory”. The full impact of freezing the pension age could be even more severe than the €50 billion estimate because of a likely spike in borrowing costs triggered by a national debt of this magnitude, the department has told the Commission on Pensions.

Dolphin Trust scheme was offered via Davy platform

The German Property Trust scheme, which is the subject of fraud investigations following its collapse last year, was made available to investors through Davy’s trading platform, the Sunday Independent reported.

The €1 billion scheme, formerly known as Dolphin Trust, has affected more than 1,800 Irish investors. It collapsed last year after taking more than €1 billion from investors in the Republic, the UK, Asia and elsewhere since it was set up in 2008.

Regulator in touch with gardaí over Davy

The Central Bank has contacted An Garda Síochána in relation to its investigation into Davy, according to the Business Post.

The publication writes that the financial regulator has held discussions with the Garda National Economics Crime Bureau following the €4.13 million fine levied on the stockbroker for breaching market rules. The Central Bank’s director of financial conduct, Derville Rowland, had earlier this month said she intended to contact both the Garda and the Office of the Director of Corporate Enforcement (ODCE) on the matter.

Open Orphan weighs Immutex stake sale

Open Orphan is reportedly mulling spinning off its stake in vaccine developer Immutex via a Nasdaq listing, reports the Sunday Times.

The clinical trials company led by Cathal Friel has a 49 per cent stake in Imutex, which develops vaccines for influenza and mosquito-borne diseases. Speculation is rising that Open Orphan will look to cash in on the interest in vaccines arising from the coronavirus pandemic.

Quinlan bankruptcy case set for June

Property developer Derek Quinlan’s bankruptcy case in Britain will be heard in June, according to the Sunday Independent.

The petition was filed against Mr Quinlan in February 2019 by Edgeworth Capital in relation to a dispute over a debt owed on a Santander office complex in Spain. The complex was acquired by the Irish investor in a deal with former business partner Glenn Maud for €1.9 billion in 2018. Mr Maud was subsequently declared bankrupt in relation to the asset.

Hammerson stuck for tenants at Ilac centre

Property giant Hammerson has said it has been unable to find a suitable tenant for a space at the Ilac centre in Dublin despite an 18-month search, the Business Post reported.

The company said in a submission to Dublin City Council that the only potential tenant it had attracted was a leisure operator, which would be unable to rent the premises due to planning code restrictions. The vacant space was previously let to H&M, which left in January.