Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I welcome Deputy Boyd Barrett's acknowledgement that we are trying to address the concerns expressed on Second Stage by adopting a belt and braces approach. Without getting into an ideological debate on banking, a considerable number of people would like to take out mortgages to purchase their own homes. Home ownership is important for people in this country and many people want to get on the property ladder and to put a roof over their heads. We need a functional mortgage market. I do not think too much State intervention in terms of reducing the appetite for competition is ultimately good for the consumer. The Government's goal in this debate is to ensure that consumers are protected regardless of who owns the loan book and that they are not discriminated against or put at a disadvantage in accessing supports put in place by the State and the Central Bank simply because the loan book is owned by A, B or C. The bottom line for those of my constituents whom I have encountered is that they do not want to be put at a disadvantage depending on who owns their loans. As I think is recognised by all, this Bill is trying to achieve that goal.

One of the benefits of the amendment is that a regulated credit servicing firm cannot use as a defence the claim that it breached a regulation on the instruction of an owner. It will not be possible for the firm to argue that the owner told it to break the rules. The regulations will apply and there will be no escaping from that reality. The Central Bank views this in the context of breaches of the code by the credit servicing firm. Evidence of a contravention would be apparent in the treatment of the borrower, which gives the Central Bank an avenue to pursue the credit servicing fund and the otherwise unregulated owner. It is a belt and braces approach that removes the defence that the firm was instructed by an unregulated entity. The amendment also provides access to the Financial Services Ombudsman in pursuing a claim of contravention. We discussed this with the Central Bank and it is satisfied that it can fulfil its obligations under the amendment.