Mr. Matt Carthy:

The Senator has asked two good questions, for which I thank him. The issue of the interest rates imposed on Irish mortgage-holders needs to be addressed. I would argue that the best way of doing so would be to put in place, through either the ECB or legislation, mechanisms to stop what is effectively a cartel being operated by our own banks. Our banks are screwing the very people who bailed them out, to put it very bluntly. I would be wary of an EU mortgage scheme because - to refer to the next question, on insurance - we saw what happened with Setanta Insurance, for example, a company based in one member state and regulated at that level but operating in another state in respect of financial transactions. If there is a crisis or any anomaly, it is the end user who ends up suffering. Therefore, we should address the high interest rates being charged by our banks by putting in place provisions to prevent them from doing so.

I have many dealings with the farming community, as members may know. Anyone who drives a car knows that insurance costs are going through the roof. I have always advocated that the State have a State insurance company in order to be able to provide services that are not available in the private market and to offer an additional choice to consumers as a way of dealing with these issues and with some of the blatant discrimination on the part of insurance companies towards certain businesses and sectors.