Dáil Éireann Debate, Tuesday - 19 May 2026
447. Deputy Barry Heneghan asked the Minister for Enterprise, Tourism and Employment the protections currently available to consumers who pay substantial deposits to contractors, including home retrofit and double glazing companies, where the company subsequently ceases trading, enters insolvency or fails to carry out the contracted works; whether he believes existing protections are adequate; and if he will make a statement on the matter. [37414/26]
View answer448. Deputy Barry Heneghan asked the Minister for Enterprise, Tourism and Employment whether he will examine the introduction of a mandatory insurance, escrow or bond protection system for deposits paid by consumers to contractors and retrofit providers in order to protect homeowners from significant financial losses where companies collapse or fail to complete works; and if he will make a statement on the matter. [37415/26]
View answer449. Deputy Barry Heneghan asked the Minister for Enterprise, Tourism and Employment whether his Department has examined the number of complaints or reported cases involving consumers losing deposits following the closure or insolvency of home improvement or retrofit companies; the actions being taken to strengthen consumer protections in this area; and if he will make a statement on the matter. [37418/26]
View answerI propose to take Questions Nos. 447, 448 and 449 together.
When a consumer pays a deposit to a contractor, including in the home retrofit or double glazing sectors, this forms part of a legally binding contract. Under consumer law, traders are required to provide services with due skill and care and in line with what has been agreed. Where a trader fails to deliver the agreed service, consumers may be entitled to remedies, including a refund.
There are a number of practical safeguards available to consumers. Where payment is made by credit or debit card, consumers may be able to recover monies through the chargeback process where services are not delivered or a trader has ceased trading. In addition, the Small Claims procedure provides an accessible route for pursuing lower-value claims.
However, where a company ceases trading or enters insolvency, consumers who have paid deposits are treated as unsecured creditors under company law. This means that recovery of funds can be difficult in such circumstances. Nonetheless, consumers are advised to contact the liquidator in any situation where they are owed money by a trader who has become insolvent.
Officials in my Department have engaged with the Competition and Consumer Protection Commission (CCPC), the independent statutory body responsible for enforcing competition and consumer law under the remit of my Department.
The CCPC plays an important role in enforcing consumer protection law and promoting compliance by traders, as well as providing information to consumers on their rights and the options available to them. It does not, however, have a role in resolving individual claims or compensating consumers.
In relation to the introduction of measures mentioned by the Deputy, my Department will continue to keep this matter under review, including in the context of ongoing engagement with relevant stakeholders.
