Stephen Donnelly (Wicklow, Independent)
Link to this: Individually | In context | Oireachtas source

There is an unusual situation at present because many customers are unable to move. The market is not working at the moment. People are stuck in negative equity. They cannot move because they have tracker mortgages. All sorts of new reasons are preventing people from moving. Distressed borrowers and distressed businesses are stuck with banks they cannot get away from. In a healthy banking market, they would be able to move and take their business elsewhere. The same banks are able to increase charges unilaterally. We all know that is putting businesses out of operation and causing huge distress. I would be in favour of looking at the legislation to make sure Mr. Sheridan and his team have the tools they need. I am not convinced that we have provided those tools.

I wish to reflect briefly on an aspect of this matter before asking a question about the code of conduct on mortgage arrears. We must establish whether the charging structure or environment is reasonable and appropriate. Obviously, there is no right answer. It is a judgment call. It would be incredibly useful to know where we stand by comparison with the rest of the OECD countries. If we are in the bottom quarter in terms of charges to businesses and citizens, that is great, reasonable and appropriate. If we are in the top 10% or 15% along with the UK, that is neither reasonable nor appropriate. I wonder if it might be possible to get some kind of comparative analysis. I would be astounded if it has not already been done. Perhaps an official from the Central Bank can send something on to us. I would be much more comforted by the Central Bank's judgment call if I could see that we are in the mid-range of OECD countries in this regard. Is that possible? It is obvious that the code of conduct on mortgage arrears is a huge issue. I am very concerned about the proposed changes. Is Mr. Sheridan involved in that process?