Oireachtas Joint and Select Committees

Wednesday, 30 June 2021

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach

General Banking Matters: AIB

Photo of Pearse DohertyPearse Doherty (Donegal, Sinn Fein)
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I will not belabour the point, but I would love to know whether AIB has medium-term targets for risk-weighted assets.

I wish to ask some final questions on the tracker mortgage examination. AIB had to make an additional provision of €300 million following the preliminary decision by the Financial Services and Pensions Ombudsman relating to approximately 5,900 tracker customers who were wronged by AIB. It is frustrating for us on the committee because we have asked these questions and made the point that the bank had ill-treated these customers. In 2017, AIB paid this cohort of customers €1,615 each for its "service failure", as it called it. After going through the internal appeals process and all the rest, the customers had to go to the Financial Services and Pensions Ombudsman and win their case. As late as this year, though, the situation is still ongoing and AIB has had to make a provision of €300 million. Will Dr. Hunt update the committee on the progress made in compensating this cohort of 5,900 customers and the average amount of compensation that is being paid out of them? Regarding the €70 million that has been set aside for a potential fine, is Dr. Hunt still satisfied with that level of provisioning? Has the Garda been in contact with AIB over the tracker mortgage examination? Will Dr. Hunt give us the headline numbers of how many accounts have been impacted, how many properties were repossessed-----