Eamon Ryan (Dublin Bay South, Green Party) | Oireachtas source

I share Deputy Doherty's concern for those in difficulty because of Covid-19 not only with regard to mortgage repayments, but with regard to a whole range of financial issues. It is a critical issue. If one is facing a particular debt problem, it sharpens and brings into focus a real difficulty. I roll in with the Deputy in saying that those who are in such a position, and who will have act quickly in advance of 30 September, should, if they intend to make an application, do so in this short interim period.

That will not be the end of the issue and it does not mean that it will not be possible after that period for banks to continue offering loan payment breaks on a case-by-case basis. That is not ruled out by the European regulations. This comes from the European regulatory system and it does not preclude doing so. Even after 30 September, it is our experience of managing such issues that it is always best for customers to approach the banks and to engage with them so that the issue is not put off to become a greater difficulty later. It is better to work to resolve these issues than to ignore them.

If customers experience any difficulties in how banks deal with them and how this is managed, they may work with the Central Bank's consumer protection unit and make use of the code of conduct on mortgage arrears. Banks cannot act in a way that is completely contrary to good public policy and the public interest. They have to consider the wider issue and deal with customers fairly. Failing that, the State offers other supports. It is never ideal to be in such circumstances but systems are in place through the Money Advice & Budgeting Service, MABS, and other offices to provide supports and advice.

The Minister, Deputy Donohoe, has central responsibility for this issue and is, as was reported in the newspapers today, due to meet the banks. I am sure he will remind them that, as I have said, this is not a time to clamp down on customers but a particularly severe period of financial difficulties which we must get through.

In everything we are doing it is recognised that exceptional tolerance and spending are required of the Government in a whole variety of ways to support customers. We have to abide by the regulations as set out by the European Banking Authority. The members of the Banking and Payments Federation of Ireland will have to ensure the new arrangements do not lead to a further shock to the economy, which does not need further shocks. I am confident that the Minister for Finance, Deputy Paschal Donohoe, will express that clearly to the banks and that they will work with him and the Central Bank to ensure we avoid this becoming a further difficulty for the economy and a particular section of the country.

See this speech in context