Richard Bruton (Dublin North Central, Fine Gael)

Where is the evidence that it is of systemic importance that would now justify injecting an additional €36 billion to add to the €4 billion we have already contributed? The appalling unwinding of Anglo Irish Bank has been revealed again today by the new figures. We now hear there is €36 billion of toxic developer loans, which is 25% more than we were led to believe just a few months ago. The quality of those loans is now being written down by 50%, which is 66% worse than we were led to believe a few months ago. The State's injection, which up to a week ago we were told would total €10 billion, will now be €22 billion for the required recapitalisation. That is 120% more than we were led to believe. Anglo Irish Bank will absorb 70% of the recapitalised money the Minister is investing to try to get our banks going. What will that produce? Will it deliver any lending? Will that 70% of the recapitalisation get credit flowing? Will it put someone back to work or help with a person's mortgage? It will not. That is the reality. The money has gone into a black hole.

Rapid deterioration is evident. The Minister has admitted that the details on Anglo Irish Bank get worse every day. Despite that rapid deterioration the policy remains the same. There is no budging in the Government's policy, which is that the taxpayer should be the first over the hill to rescue the bank, not those who invested in it. That is the essence of the policy. I cannot understand why the policy is not changing as the evidence emerges on what an abnormal bank Anglo Irish Bank was, to the extent that it is jeopardising our future as a nation. I heard spokespersons on behalf of the Government say this morning that Anglo Irish Bank is systemically important to the country. It is no more systemically important to this country-----

See this speech in context