European Commission calls on IRELAND to ensure compliance with EU rules on the freedom to provide services

Irish law requires frequent renewals of authorisations (“licences”) for providers of such services established in Ireland. Moreover, the cross-border provision of property services on a temporary basis without establishment in Ireland is only permitted if the Member State of establishment regulates property services in the same manner as Ireland — namely by requiring an authorisation and a client protection scheme. According to the Commission, the frequent renewal of authorisations imposed by Ireland on established service providers is unjustified and disproportionate. The Commission also considers the required authorisation and client protection scheme in the Member State of establishment unjustified and disproportionate. It prevents providers of property services from providing these services in Ireland if they are established in a Member State where no such schemes exist. The Commission is therefore sending a letter of formal notice to Ireland, which now has two months to respond and address the shortcomings raised by the Commission. In the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion.