Finian McGrath (Dublin North Central, Independent)
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Question 148: To ask the Minister for Finance if he will review a matter (details supplied) [9183/12]

Michael Noonan (Limerick City, Fine Gael)
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Subject to the provisions of the Central Bank Code of Conduct on Mortgage Arrears and the wider legal framework, the banks in Ireland, including those in which the State has a significant shareholding, are independent commercial entities and decisions on the handling of their loans, including mortgages, are, in the first instance, a commercial matter for the individual institutions. However, the Government is acutely aware of the increasing financial stress that some households are facing arising from difficulty in meeting their mortgage commitments. The Government, therefore, has established a Steering Group to oversee and drive the implementation of the recommendations contained in the report of the Inter-Departmental Working Group on Mortgage Arrears across Government. The Inter-Departmental Group concluded that those people who can meet their mortgage obligations should do so but that appropriate measures need to be developed to assist those mortgage holders who are experiencing real difficulty in meeting their repayments. Significant progress has already been achieved in implementing the Group's recommendations. For example, the Minister for Justice, Equality and Defence has published a draft Personal Insolvency Bill to provide a framework for the resolution of unsustainable personal debt, including mortgage debt, in a non judicial framework. In addition, the Central Bank, as regulator, has required mortgage lenders to develop strategies and implementation plans to deal with their individual mortgage arrears situations. The Central Bank is currently reviewing these strategies and examining the plans of lenders to offer appropriate longer term solutions, such as those recommended in the Inter-Departmental Mortgage Arrears Working Group report and other options that banks may develop themselves, for their customers who may have unsustainable mortgages. The Central Bank will continue to engage with lenders on the further development and implementation of these plans.