Mattie McGrath (Tipperary South, Independent)

I am concerned about this pussyfooting around the banks. During the last Government's term, the Minister and I were members of the committee dealing with social protection. She was then a strong advocate for people in mortgage arrears and in receipt of social welfare generally. She was also very much opposed to the bank guarantee, so she is in a better position than most to know that the banks are not playing fair with anybody in this country. They lied to the last Government and have lied to the current Government. It is not fair to expect this from people in mortgage arrears because they are under enough pressure to keep themselves sane, and I do not say that lightly. They are trying to keep themselves together as a family unit with some degree of dignity. It is wrong to expect them to be used as pawns.

A code of conduct for the banks is like the rain outside today - it will be gone in an hour or two, and that is all the banks care about. They have no respect for the law, not to mind codes of conduct. This legislation is really pussyfooting around the banks and the Minister knows that better than anybody. She is in a position to know that the banks do not have respect for borrowers, the Government or anybody else. All they want to do is get back in business and cut their losses.

The Government brought in legislation to stop banks menacing people more than once a week, but there are ways around it because banks operate clandestinely. The public do not deal with the same person more than once since managers are moved on, so customers are on their own. The Bill before us should be as protective as possible of those in mortgage arrears who are most needy. If big businesses owe banks a lot of money, the banks will deal with them because they have no choice. While the sums involved are big to individual mortgage holders, they are only pawns in a game, as Deputy Boyd Barrett has said. It is not fair.

Codes of conduct are absolutely useless in dealing with the banking system. The public and the business sector are patently aware that codes of conduct, directions or ministerial speeches mean nothing, unless there is legislation to tie this down and oblige banks to act. The public cannot understand why no banker has yet been arraigned. We have had soundings from various Labour Ministers who are disappointed with the delays but what is going on is unthinkable. Ordinary mortgage holders and their families are suffering. In addition, they are bewildered by what the Minister said in opposition about the last Government and what is happening now. They feel they have no hope.

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