Tom Barry (Cork East, Fine Gael) | Oireachtas source

This is the soft landing, Deputies. This is the soft landing that Fianna Fáil promised. This soft landing is damned hard. The Deputies might like to argue about funding for five or six months but this is the landing their party promised would be soft. If the Deputies do not understand it they should go back and look at a particular apartment block in Cabinteely in Dublin 22, where in 2007 and 2008, people were discussing how it would continue go up in value. Such notions were being fed by talk from the previous Government. I was not going to engage in a slagging match, but if the Deputies across wish to, we can certainly do that. However, it will do nothing for the mortgage holders who are in distress. If the Deputies wish to throw slander across the House that is fine but it will do nothing, apart from making them feel happy.

There is also a problem with regard to core and non-core debt. We should not forget that many businesses in Ireland have a debt anchor based on property. Mistakes were made. Businesses with good cashflow bought into the property boom. The banks are continuing to provide existing credit facilities to them, for which they are grateful. However, businesses need to expand to survive and that is why their non-core debt anchors must be addressed, especially in the context of jobs. The issue of equity must be considered.

I agree that the targets must be met and also that there is no one solution for everybody. I acknowledge the Personal Insolvency Act although I would hate to see situations getting to that point. We should try our best for those people who genuinely make an effort to engage. Engaging is what it is all about now. It is not about judging people but about trying to improve their situation. However, if people do not engage, that is a different matter. Furthermore, if people are not paying mortgages on second homes, such properties will have to go.

In conclusion, there is no short term solution for what is a long term problem. Mortgage arrears will remain a problem for some time but constructive engagement is the only way forward.

See this speech in context