Enda Kenny (Mayo, Fine Gael)

I am not sure what Deputy Ross is saying we should do. Is he suggesting the Government should suddenly announce a further recapitalisation of the banks? That seems to be what he is suggesting. There is no such evidence of the need for that here. I take the comments of the two top officials very seriously. They are serious individuals and the Government is serious in hearing the message they have given us. That is why the range of initiatives introduced by the Government, to be followed through by the banks in respect of each case, is of the utmost importance. There is nothing more important to a family under stress because of mounting mortgage arrears. It is a requirement to understand and know the categories and sectors involved and have the recapitalised lenders sit down to deal with these issues. Banks have not pursued a rigorous policy of taking people's roofs from over their heads. A small number of people will find it virtually impossible to meet the requirements of the mortgages they undertook at the height of the property boom but there are other cases where a solution can be achieved to give families relief and allow them to meet their commitments, depending on the options considered.

We take into account what the Governor and others have said. As I pointed out to Deputy McDonald, stress tests showed losses assumed on the mortgage books of between €5.7 billion and €9 billion for 2011 to 2013 under base case and stress case scenarios. This is a case where the Government is rigorously pursuing, in so far as it can, the solution for each case. It requires the banks and lenders to sit down with borrowers to work out a solution in each case. This will have our utmost consideration.

See this speech in context