Joan Collins (Dublin South Central, Independent) | Oireachtas source

It is strange to hear the Minister express concern that the banks would make gains on the backs of people who find themselves in difficult circumstances. We bailed out the banks to the tune of €64 billion and citizens must repay the interest on this bailout every year. We also gave them millions of euro ostensibly to prevent repossessions at the start of the period of austerity. The difference in the case of mortgage interest supplement is that it is intended to protect mortgage holders for a short period and prevent them from getting into difficulties. If a person who was unable to work because of illness and could still not make mortgage interest repayments after one year or 16 months on the scheme, he or she would enter the mortgage arrears resolution process. The scheme is designed to provide protection for a short time and is targeted at specific circumstances.

Single Parents Acting for the Rights of Kids, SPARK, made a presentation to Deputies in which it expressed concern that the cessation of the mortgage interest supplement scheme would result in homelessness. If a parent in a one-parent family contracts a long-term illness, there is a real risk that the family will be on such a trajectory if some short-term support is not provided.

This is a targeted short-term scheme and those who are still in difficulty after 16 or 18 months should be advised to contact their bank or enter the mortgage arrears resolution process. I ask the Minister to consider the proposal which would not protect the banks but provide protection to people who could find themselves in difficulties for a 16-month period.

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