Contract notice: Financial consultancy services Tender, Ireland - 25351558

Procurement Summary

Country : Ireland

Summary : Contract notice: Financial consultancy services

Deadline : 07 Sep 2018

Other Information

Notice Type : Tender

TOT Ref.No.: 25351558

Document Ref. No. : 327225-2018

Competition : ICB

Financier : Self Financed

Purchaser Ownership : -

Tender Value : Refer Document

Purchaser's Detail

Purchaser : DEPARTMENT OF FINANCE
Office Name: Department of Finance
Address: Government Buildings
Town: Dublin
Postal Code: Merrion Street
Contact Point: Paul Caball

Phone: +353 16045008
Ireland
Email :paul.caball@finance.gov.ie
URL :www.finance.gov.ie

Tender Details

Object of the contract
Financial consultancy services

Description: Contract notice: Financial consultancy services

Authority Type: Ministry or any other national or federal authority
Contact Nature: Services
Procedure: Open procedure
Document: Contract notice
Regulation: European Union, with participation by GPA countries
Award criteria: The most economic tender
CPV code: 66171000, 79412000, 66171000, 79412000
CPV Description: Financial consultancy services.

Financial management consultancy services.

Request for Tender for a Review of Government Bank Remuneration Policy

Reference Number : 10/2018

The provision of advice and assistance to the Department of Finance in conducting a review of the Government's current restrictions in relation to remuneration in AIB, BOI and Ptsb. During the financial crisis the State provided 64 000 000 000 GBP in financial support in various forms to the banking system. In return, banks supported by the State agreed to a range of measures including restrictions in relation to remuneration.

The provision of advice and assistance to the Department of Finance in conducting a review of the Government's current restrictions in relation to remuneration in AIB, BOI and Ptsb. During the financial crisis the State provided 64 000 000 000 GBP in financial support in various forms to the banking system. In return, banks supported by the State agreed to a range of measures including restrictions in relation to remuneration.

As well as the much publicised 500 000 GBP total compensation limit (excl. pension) and the prohibition on all bonuses (cash and shares), there are also a range of other restrictions in the Letter that limit the banks' freedom of action without the Minister's formal consent.

These restrictions not only apply to staff, executives and directors but they also cover "service providers" to the banks where they derive their custom predominantly or exclusively from the banks. The restrictions also apply to all staff of the banks regardless of the country in which they work and as such the bank cannot use variable pay as a retention mechanism in the UK, US and Europe even in business lines where this would be the norm in those markets.

Since then a new banking regulatory framework has been put in place across the EU, the economy has returned to near full employment, the relevant banks are profitable again. The State remains the largest shareholder in AIB, BOI and Ptsb but following the successful IPO of AIB in June 2017 all three banks are also now have listings on the main market of the Dublin and London stock exchanges.

In light of the above and the more intense competition for talent evident in the economy as a whole, the Department of Finance considers it appropriate to conduct a further review of the existing remuneration policy to determine if the current restrictions are still fit for purpose.

Minimum Turnover


Internet address (URL): www.finance.gov.ie

Documents

 Tender Notice