Bobby Aylward (Carlow-Kilkenny, Fianna Fail) | Oireachtas source

I commend my colleague, Deputy Michael McGrath, on the introduction of this Private Members' Bill. During my recent by-election campaign I spoke with many people in my constituency of Carlow-Kilkenny about this issue. The distress on the ground is palpable. The most obvious question that occurs to me and requires an immediate answer is, who in government is going to take action and stand up for these 300,000 standard variable rate mortgage customers. These customers are being charged way over the odds at rates that we now know are double the levels of any other country in the eurozone.

The Taoiseach continues to pass the buck between the Central Bank and his Minister for Finance by deflecting the issue until October's budget. Yesterday, the European Commission continued the trend of backing the banks over the ordinary mortgage holders when it came out against any intervention by the Central Bank in regard to the variable rates that are being charged.

The Central Bank, which has a clear role in consumer protection, is not affording appropriate focus on an individual consumer level. What is worse is that the Government appears happy to accept this position and sit on its hands awaiting a request from the Central Bank to legislate rather than take appropriate action. This was typified by the Minister for Finance ludicrously stating when in Brussels yesterday evening that the banks had moved sufficiently. The reality is that the response from the banks has been totally inadequate, with only two of the six lenders having made minor reductions to their standard variable rates. The Minister should revert to the banks immediately and tell them that their response has not been adequate.

It is obvious that they have fundamentally neglected to deal with the key issue of variable-rate mortgage pricing.

This Fianna Fáil Private Members' Bill represents a real opportunity to deal with the variable-rate mortgage crisis. Mortgage repayments generally represent the single largest financial outgoing for a household. Families have been forced to watch in absolute frustration as their mortgage rates have steadily risen. Effectively, they are trapped in a situation which is costing them hundreds of euro a month. This progressive legislation can make a significant difference to more than 300,000 households across the country. The taxpayers of this State have done their duty by the banks. It is time now for the banks to give something back, and the coaxing by the Minister and Taoiseach clearly is not working. What is needed is strong action. I implore the Government to accept this Private Members' Bill and thereby help the people who are caught in this situation.

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