Brian Cowen (Laois-Offaly, Fianna Fail)

In regard to specific issues that arise regarding the banking situation, they will be dealt with on the basis that whatever debts are due and owing will have to be paid. Mr. Appleby and others are looking at the corporate enforcement side of this. The fact is that anything that is transferred does not exclude the liability people owe to financial institutions in respect of any debts they have. That remains the case.

A further issue has arisen today in regard to repossessions. The idea has been put about that when the six or 12 months is up, depending on the financial institution in question, people will suddenly be subject to legal proceedings and with possible involuntary repossession of their homes imminent. That is not what is envisaged. A code of conduct has been agreed and the announcement today offers a further improvement on the situation. People who engage and come to an arrangement with lenders on a six-monthly review basis can continue to maintain their position and keep their home. That is something to which we all subscribe and expect in the context of a fair and equitable approach until the situation improves for those people. It is important to point out that where there are arrears, arrangements are in place and the advice is for people to engage with their lenders and the Money Advice and Budgeting Service. In regard to the previous matter, as I have said, the liability continues to be owed.

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