Professor Patrick Honohan:

The Government injected capital into the banks. There are various Acts, including the guarantee legislation, that gave the Government various powers to acquire information and seek compliance with certain standards. However, as far as I understand it — I am sure I am right — there was no specific intention to attach that as a subsidy or write-down of particular loans. It was, instead, a reserve amount to meet losses that might be unavoidable. I am not describing my policy but just stating what the Government put in place.