Joan Burton (Dublin West, Labour)

I reiterate that the code of conduct on mortgage arrears has been agreed with all lenders and with everyone licensed to lend, whether in this country or in other countries in the European Union. However, the contract is between the mortgage holder or borrower and the financial institution. The relationship of the Department of Social Protection is not with the banks but with the individual in distress. These people in distress are being supported by my Department through the Money Advice and Budgeting Service to sort out their financial difficulties. This takes a lengthy period of time.

The development of the code of conduct on mortgage interest arrears, which was supported by all the parties in this House has been a very positive development and all of the lenders have signed up to it. Looking at the situation from a social point of view, the Department of Social Protection is paying more than €50 million this year to banks. Therefore, the Department is entitled to ensure that the banks engage. That is what this is about.

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