Mr. Richie Boucher:

I should note that the Deputy also cited our fixed rates. We can buy fixed rate money and we offer fixed rate mortgages. We are still surprised at the lack of take-up of fixed rate money in the market. We note that the Government has made a decision to try to fix rates over a period. We try to offer attractive fixed rates. We would encourage customers to consider fixed rates. A fixed rate gives a customer certainty and control of his or her finances in so far as that is possible. We provide attractive and competitive fixed rates.

As the Deputy stated, we operate in a competitive market. We review our rates on an ongoing basis. We also bear in mind our responsibilities to all of our stakeholders - our depositors, our shareholders and the taxpayers whom we have repaid. The strategies of other banks are something we keep an eye on, but we have learned not to follow them slavishly. We consider other banks, the sustainability of their propositions and their ability to attract capital to fund themselves and meet all of their commitments to their stakeholders.