Banking sector meets Minister for Finance to set out proposals for Irish Savings & Investment Account highlighting simplicity and tax incentives as key to successful rollout
- BPFI and retail banks meet with Minister for Finance Simon Harris to present and discuss detailed proposals for SIA
- Consumer-centred design critical to successful SIA rollout
- Tax incentives based on annual contribution limit essential to drive take-up
- Phased tax reform needed to support long-term investment
- Analysis indicates up to €7 billion could be invested in the first year of the scheme
Wednesday 13th May 2026 – Simplicity and tax incentives will be key to the successful introduction of an Irish Savings & Investment Account (SIA), according to new proposals published today by Banking & Payments Federation Ireland (BPFI). The report, which sets out recommendations for the design and implementation of an SIA, was presented and discussed at a meeting between retail banks and the Minister for Finance Simon Harris and the Department of Finance today to help inform ongoing development of the scheme.
Commenting on today’s recommendations, Brian Hayes, Chief Executive, BPFI said: “We strongly welcome the Government’s commitment to introducing a Savings & Investment Account for Ireland. A key factor in the success of an Irish SIA will be a focus on consumer-centred design. At a basic level, it must be easy to open, understand and use and supported by a coordinated financial education and public awareness programme, led jointly by Government, regulators and industry. The scheme also needs to be accessible to everyone, regardless of how much they are in a position to save and should reflect the reality that most people will start investing with modest amounts and build confidence over time. While long term investing is the goal, flexibility needs to be built in, recognising that ordinary savers and investors may need access to their funds as and when needed for unexpected or planned life events.”
Compelling tax incentives critical to driving participation
He added: “Another key recommendation is that an Irish SIA should offer compelling tax incentives based on an annual contribution limit, that is simple for consumers to understand and strong enough to encourage participation. At the same time, the wider features of Ireland’s investment tax framework also need to be addressed. Specifically, BPFI is calling for a phased introduction of a more competitive capital gains tax and for the removal of the eight-year deemed disposal rule on ETFs, which adds complexity, disrupts compounding and undermines steady, long-term investment behaviour. If these broader issues are left unchanged, they will have a knock-on effect on the success of the SIA.”
Sufficient lead in time and early clarity on key elements needed for long-term success
Mr Hayes continued: “Banks and regulated investment providers have a central role to play in making an Irish SIA work in practice, from building and distributing the product, to helping customers understand both the risks and rewards of investing, particularly over the long term. BPFI and our members are calling on the government for sufficient lead in time and early clarity on key elements such as tax treatment, eligible assets and reporting obligations in order to build, test and deploy SIA offerings effectively. This will allow Government, regulators and industry to ensure the framework is robust, consumer‑focused and capable of delivering long‑term success.”
He concluded: “The potential scale of an Irish SIA is significant, with our analysis indicating that €2 billion to €7 billion could be invested in the first year alone if the scheme is designed in a simple, accessible and attractive way. Ultimately, we want to help achieve a practical, well‑governed product that works for Irish consumers. We look forward to working closely with the Minister, officials and all stakeholders to help deliver an SIA that builds trust, supports better long‑term outcomes for households, and contributes to Ireland’s economic resilience.”
Key recommendations proposed by BPFI include:
- Ease-of-use: An account that is easy to open, understand and use. This should include the ability to invest regularly and be accessible cross common customer channels.
- Tax incentive: Clear and attractive tax incentives based on an annual contribution threshold, so consumers can easily understand the benefit of long‑term investing.
- Mainstream investment options: Broad, retail‑appropriate investment options, without geographic restrictions or mandates that could constrain diversification. In practice, this means the account should comfortably accommodate core mainstream building blocks such as UCITS funds, listed securities (equities), cash, bonds, unit-linked insurance products and ETFs.
- Flexible access: Access to funds on request, recognising that while long-term investing is the goal, excessive restrictions can deter first‑time investors who may need funds for life events.
- Annual contribution limits: Prudent annual contribution limits that balances encouraging participation with wider financial system considerations.
- Financial education: A strong, coordinated financial education and public awareness programme, led jointly by Government, regulators and industry.
BPFI SIA recommendations report can be downloaded here.
ENDS/
Note: Banking & Payments Federation Ireland (BPFI) represents the banking, payments and fintech sector in Ireland. Together with its affiliates, the Federation of International Banks in Ireland, and the Fintech & Payments Association of Ireland, BPFI has over 120 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace.
For further information contact: Jillian Heffernan, Director of Communications or jillian.heffernan@bpfi.ie.
