Bernard Durkan (Kildare North, Fine Gael)

Having listened to the previous reply, this one will add further grist to the Minister's mill. The case I wish to outline turns the response we have heard completely on its head. In this case one of the partners is out of the family home due to circumstances beyond the other person's control. Mortgage arrears have arisen to the extent of approximately €6,000. The monthly mortgage payment is approximately €1,400, depending on the interest rate. The person's total income is in the region of €1,500 per month and the mortgage is 95% of that. How does one expect a family to survive with two children in those circumstances?

I advised the person to apply for family income supplement, FIS, as she had applied for the one-parent family allowance previously. She was granted FIS. A helpful letter around that time from the superintendent community welfare officer said: "It would be advisable for Ms So and So to speak with her partner with a view to his surrendering his interest in the family home, in which case the Department would be able to assist fully with the interest element of the mortgage repayment." It transpires that if the husband's interest in the family home was surrendered that would solve the problem.

What amused me most is that it will take time to do that. One does not know what will be the eventual outcome of the family home circumstances. To go through the court proceedings and all entailed in that will incur further expenses both on the part of the State and on the poor unfortunate person. The sad part is that having been awarded FIS, the woman received a letter from the community welfare officer saying the combination of FIS and the €27 per week she earns from employment, which has been taken into account in a means test, means she no longer qualifies for any assistance with her mortgage. I do not think community welfare officers are fully aware of the rules and regulations in the application of the system. It is happening all the time and the Minister of State knows this well.

I totally disagree with the Minister of State's statement on new sub-prime mortgages. They are still sub-prime mortgages because all that will happen is that over-priced houses will be off-loaded to unfortunate people who are totally incapable of paying for them and who will have negative equity in the next six months, let alone two years. I say this having dealt with housing loans for years. I deal with a large volume every year and I am sure every other Member does the same. It is only by doing so that one gains experience.

In heaven's name, will somebody evaluate this case according to the person's income and recognise that she has approximately €150 per month on which to live after paying the mortgage and that there are recurring household expenses over which she has no control? Making a decision on entitlements on the basis of looking at a chart is not desirable. The Minster of State should remember that community welfare officers can exercise discretion. They operate according to guidelines, not rigid statutory rules.

Will the Minister of State send some kind of message, by pigeon or some other method, down the line to staff who deal with these cases to explain that these are very difficult times and that people need to be treated with respect and concern, given that they may face increases in mortgage arrears and ultimately may be on the roadside without a house? The local authority or HSE will have full responsibility. These bodies can walk away from the matter and say they have no responsibility but if they walk away, we had better recognise that we are flying in the face of all the precedents and established practices of the past 40 years. For God's sake, will the Minister of State tell somebody to wake up and deal with these circumstances immediately and not wait for six months or a year?

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