Brian Cowen (Laois-Offaly, Fianna Fail)

In regard to home repossessions, our approach is based on helping people to manage the situation through the supports we already offer and ensuring they come to a sensible understanding with their financial institution on how to proceed. A code of conduct is in existence which we intend to put on a statutory basis in order to ensure there is proper behaviour and an understanding and empathy on the part of financial institutions towards people who through no fault of their own, because of changed circumstances, will require assistance in the short term and possibly means by which they can rearrange their finances over a longer period. There are many arrangements to which financial institutions can come in this respect.

Despite what is claimed in some press coverage, the level of owner-occupied homes being repossessed through the courts remains very low. I am aware of the comment made early last week by the Master of the High Court. While there is absolutely no room for complacency and we intend to monitor developments closely with the social partners, in the context of the hundreds of thousands of mortgages in existence it is important to point out that the level of repossessions in the State compared with other jurisdictions is very low. That reflects better economic circumstances, but it also reflects the implementation of the code of conduct. There is a need to include those financial companies not currently within the remit of the code and to place the code on a statutory basis. That will provide us with the means of ensuring that behaviour one would not regard as reasonable or decent in the circumstances does not become a prevalent response. It is in the interests of both institutions and borrowers to find another course of action that will allow people, over time, to resume repayment of their debts. As I said, we are working to ensure it is done properly and that the process is monitored closely.

In regard to the additional training and education supports that are in place, the document presented to the social partners outlines the many important additional resources that were provided in the supplementary budget. Deputy Gilmore is correct that not all of these training and education places are on an annualised basis, although some are, particularly in the training area. However, it gives an indication of the throughput and activity that is taking place, with 128,000 training places and 164,000 in the broad education area. The opportunity to take up these reskilling or further education opportunities will assist people in the current situation. In addition, the €100 million enterprise stabilisation fund is being drawn down and is working well.

As I stated, there are an additional 50,000 workers in part-time arrangements who use the short-term social welfare code. Other jurisdictions have taken measures because they do not have the type of flexible arrangements in their social welfare codes as we have here, particularly with regard to short-time working. The support we provide in our code for those who are out of work for two or three days per week is not necessarily available in other jurisdictions where some short-term help has been provided, for example, to water workers in some continental jurisdictions. These countries do not have the ability to use income support measures under the social welfare code as a means of compensating people for the loss of productivity and, ultimately, for the wages and remuneration they would have received had they remained in full-time employment.

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