Ruairi Quinn (Dublin South East, Labour)

It solves the problem in this way. One could then argue there is no legal problem because the developers who had loans with banks X, Y and Z still have the loans with those banks. The legal relationship between the borrower and the lender would not be changed in any way and could not be challenged. There is good property expertise in the banking system and it could evaluate the real and potential value of such loans. It could address the questions of which loans to form and the capacity to repay. Certain loans could then be isolated and put to one side.

The problem the Labour Party has with the NAMA proposal is in the detail rather than the concept. We all recognise there must be a transfer of the toxic debt out of the way to provide for the resumption of normal, healthy banking. On that matter the House, including Fine Gael, Fianna Fáil and Labour, is agreed.

How much will this cost? The NAMA proposal is not costed. If one paid one third of the book value of loans one would assume or would be obliged to transfer in some shape or form €30 billion. However one could get the entire shooting gallery for between €2 billion and €3 billion.

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