Paul Kehoe (Wexford, Fine Gael)

I welcome the opportunity to speak on this important report the Government commissioned some time ago. As Members are aware, a large number of people are in serious trouble because of mortgage arrears. The Government cannot help everybody who is in trouble but something will have to be done to help the people who are hard pressed. I am sure Members opposite and throughout the House are very much aware of the many people who approach us asking for representations to be made to banks, building societies and other lending institutions to see if something can be done to help them with their mortgage arrears. When one looks at their personal circumstances and the size of mortgage they got in years gone by, it is clear that there was no way it could last. Some people received 100% mortgages and are now in serious financial trouble with repayments. The Government is very much aware of what has happened.

This was a cause of the property bubble, where properties were selling for huge amounts of money and people were put under severe pressure to get on the ladder to own their own homes. Last week in my constituency some unfinished houses in ghost estates were demolished. It is very difficult to comprehend some very fine houses being knocked down and people being unable to repay their mortgages. Many of these were properties that were marketed as dream places to live four or five years ago. It has left many scars for individuals throughout the country.

To prevent further nightmares the Taoiseach has outlined on numerous occasions that the most important thing is that people be allowed to remain in their homes. The Government is very committed to helping families keep their homes. I have witnessed some families' personal situations, including people who have lost their jobs. The most important thing for them is to keep their houses and pay their mortgages. It is important that they are dealt with on a case-by-case basis. I am very aware of people expecting that the Government will come to their aid. Some people who can afford to pay have stopped their mortgage repayments because they believe the Government will come to their aid and relieve them of their financial difficulties. However, not everybody can be helped - the country cannot afford to help everyone. It would cost millions of euros to bail everybody out. The Government is looking at the matter with a view to being in a position to help families to remain in their home and to doing it in a fair and equitable way.

The Keane report made many proposals and everyone in the House has been willing to debate them. There are proposals such as blanket debt forgiveness and mortgage-to-rent. Whatever the proposal, the Government will consider it. That is why we gave everybody in the House the opportunity to give their views on what can be done to help people. I assure Members opposite and hard-pressed mortgage holders, who are unable to meet their repayments, that the Government is willing to tackle this.

I have referred some of my constituents to different organisations. I compliment MABS on the trojan work it is carrying out in helping get people with mortgage arrears on the road to recovery. There is no easy solution to this problem. At the end of the day it is down to money and as everybody is aware money and financial aid is very scarce for the Government. It is only possible to spread so far what is available, and helping everybody will be very difficult. The Government is taking this report seriously and will try to help as many mortgage holders as possible. There cannot be and I would not be in favour of blanket debt forgiveness; it would be wrong for the Government to go down that road.

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