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

We need to see more switching activity, including from the non-bank sector to the banking sector. I have been very clear with the retail banks that I expect them to be receptive and welcoming of applications from customers who are currently in the non-bank sector. There will be mortgages that it will simply not be possible to switch. We are all aware of the requirement on banks to maintain a certain level of non-performing exposures, as in they must not rise beyond a certain point. The European Banking Authority, EBA, and the Central Bank of Ireland engage with the retail banks on that issue on a regular basis. That said, there are many mortgage holders with the non-banks who are fully repaying their mortgage, including the two the Deputy identified who appeared before the committee, and there are others for whom, with forbearance, a solution can be put in place and there is a pathway to them becoming fully performing. We need more switching activity and we need the banks to be more open and more welcoming of customers in the non-bank sector who want to switch their mortgages. I am engaging with the sector and with the Central Bank with a view to bringing that about.

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