Enda Kenny (Mayo, Fine Gael) | Oireachtas source

The Deputy advised banks himself for a good while over the years. I am not sure that they listened to him in his professional capacity. He talked about putting the boot on the necks of the banks. We rely on external investment into the banks to keep the system moving. This is important as the economy begins to turn around. Banks are regulated, as the Deputy is well aware, by the regulator. We have had interaction with the regulator, who is exceptionally competent in the work that he does. He has required banks to submit to him their proposals on implementing a range of measures to deal with mortgage distress and persons who are in arrears or who have debts. They have outlined these to him, some in a very complex form. The regulator has reported on this matter regularly at EMC meetings.

In plain English, banks have been made aware of their requirements and of what the Government wants them to do. In reality, this means that the family that is distressed today because it cannot meet its mortgage repayments for whatever reason will not have its situation sorted out unless the banks sit down with the client - the family, the husband and wife - and set out the range of issues, solutions and options that they want to talk to the family about. Arising out of those discussions can come a solution to the particular problem. If that does not happen, the insolvency Bill will require the banks to deal with the family's particular problem.

I would like to think that following these genuine interactions, banks will respond and prove that their activity levels are being seriously upgraded to deal with the number of people who are waiting to have resolutions brought about in their cases. This is in respect of those who are not in a position to pay as distinct from those who can. From this point of view, if the Government receives a request from the regulator that further powers are required, further powers will be given.

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