Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

I thank our guests for being with us today. I will start with the defective blocks issue. I met the BPFI last May and we spoke of the need for engagement with the redress focus groups. I understand BPFI as a representative body and the banks have met a number of occasions, I believe four times, a very professional organisation representing affected homeowners. Mr. Hayes mentioned that he has gone to the Minister in relation to a funding proposal. My colleague and I had the opportunity to be briefed on that last week and we appreciate that. Has he had any engagement with the Minister or the Department at this point in time? Have there been any indications? He also mentioned the oversight committee, which is agreed in principle. I would like to clarify that homeowner representatives will be part of that oversight committee. When does Mr. Hayes envisage that happening?

My third point is a question directly for the banks. All three of the banks that are here before us are party to the proposal that is going forward. It is one part of the jigsaw but that is all it is. This is necessary as a result of the way the Department is dealing with the grants. There is a major problem in these affected counties because the Government has not provided 100% redress. As Mr. Crowley said exactly, this is a disaster. It is a human disaster and is a disaster for people's homes. Many of the homeowners are not going to be in a position to rebuild their homes. There are people who are of pension age and do not have access to the additional capital to fill the gap that is there. We are looking at a product at the minute that deals with the initial stages. There has to be a product that deals with the latter stages and the gap in funding. What is the appetite of each of the individual banks to support homeowners with regard to the gap funding that is required? My ambition is to get the Government to do 100% but we have to deal with the here and now as people are demolishing and trying to rebuild their homes.

We have had a person before this committee who is a constituent of mine. She talked about how she had to beg and borrow to help rebuild her home. Many of the witnesses may have met her. She is a member of one of the groups. She talked about having to borrow from a credit union at a high interest rate of 8%. The cost of that is huge when borrowing large sums of money. Credit unions are brilliant but 8% for a €50,000 loan is not an appropriate financing arrangement. She has had to borrow from parents and others and is still wondering where the gap will be found. The banks need to step up more in relation to this. What is the appetite to go further than the proposal we currently have with regard to gap funding?