Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I will move to the issue of strategic default, as it was raised time and again by bank representatives when they came before us. One representative estimated that of the arrears book, approximately 20% is made up of strategic defaulters.

They choose, for whatever reason, not to pay their mortgage despite having a capacity to do so. Professor Honohan has remained silent on this issue and I am critical of him for that. He has allowed all of those who are in mortgage arrears to have that cloud hanging over them, that one in five or more are deliberately not paying their mortgage despite having the money to do so. I have proposed that the Central Bank should go into the banks and independently verify whether that is the case. It would add to the debate and improve our knowledge. All it requires is the Central Bank to examine a sample of mortgage files in arrears and to give us a report as to whether the claims by the banks stand up or are bogus. We must have that information.