Government welcomes VHI case resolution

on 14/09/2012 19:37:59

The Government has written to the European Commission welcoming the resolution of the EU State aid case on VHI.

In July, Ireland agreed proposals with the EU allowing for incorporation of VHI as a limited company, on a phased basis, by the end of 2013.

The move is aimed at ending concerns that, because of its legal structure, VHI enjoys an unlimited State guarantee and thus holds a commercial advantage over its rivals.

In a statement this evening, the Minister for Health said the agreement means VHI's business will be subject to the same statutory provisions which apply to all Irish companies.

Minister Reilly also reassured VHI customers that the planned change in corporate status will not affect the day-to-day operation of the company's business.