Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I respect the fact the Minister does not run the day-to-day business of the banks and that there is a relationship framework in place to provide for that separation. I would expect, however, the Minister and other members of the Government to have regular and ongoing engagement with the banks, in particular the State-supported banks, on the key issues of concern to the people and the economy, such as interest rates, the handling of mortgage arrears and the issue of lending to the SME sector.

The Economic Management Council last met the banks in June 2012, almost three years ago at this stage. At that time there was a detailed discussion on mortgage arrears. The Minister has stated he met the CEOs of the banks in July last year. This level of engagement is not sufficient. It is helpful and to be welcomed that the Minister's officials regularly meet the senior management of the banks. When the CEOs of the banks are contacted, however, and a meeting is requested by the Minister or with the Economic Management Council - we have many issues with that council but it exists and it might as well use its powers and influence - there has not been any meeting with the banks since June 2012, and I find that extraordinary. There is a need to step up engagement with the banks on those key issues, while respecting that a relationship framework is in place which separates the Minister from the day-to-day management of those banks.

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