Results 3,501-3,520 of 16,492 for speaker:Ciarán Lynch

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Can you cite the document Deputy please, in fairness?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: It's on the screen Mr. McCreevy, anyway, it will save you a few issues.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Is the budget packages spreadsheet showing there, Deputy?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Last question now, Deputy, I'll be bringing you in again.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Okay, final question, Deputy, and then I'll come back to you later.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Thank you, Deputy, I'll come back to you in the wrap-up. Mr. McCreevy, I just want to deal with one or two matters before I bring in the next questioner, who is Deputy O'Donnell, and then we'll break for a coffee break at that stage. If I can maybe just return to the Bacon report, which was discussed earlier.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: And Mr. Bacon wrote three reports for the Government on the housing market. His measures ... and we have engaged with Mr. Bacon in the earlier part of this inquiry, his measures resulted in the pace ... in the pace of price growth halving from the first quarter of 1998 to the same period of 2000. This was largely undone in 2001 when the measure to exclude interest deductibility was...

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Yes.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Okay. Just to summarise the response you gave to me, Mr. McCreevy, yes, there was lobbying going on at the time, and, as you said in your earlier questioning, that the Minister, the politician is independent of officials, they stand over decision, and, of course, they're independent, the lobbyists. So, can you explain to us the reason why you took the decision?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Okay.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Okay, Mr. McCreevy, I need to come back in again. So, during 2001 there was also a measure in place which recommended in the third Bacon report, to limit mortgage relief for investment properties. In the 2001 budget, you withdrew these measures in order to encourage what would seem to be more rental properties. Can you explain why you done that?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Okay. And, I'll afford you plenty of time at the end of today's hearing, Mr. McCreevy, for anything you want to add, but I want to particularly come back to the graph that's in front of you, and it's the lower graph, and it's "Residential House Prices Quarterly". And, if you can look at the portion of the graph that is between 2001, quarter 1, and 2002, quarter 1. Well, this would-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: It should ... no, no, it should be up in front of you there at the moment. If the graph is not, there I can get you a copy down there but it should be up in front of you at the moment.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Yes, okay. And, if you look-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: This is ... it's "Residential House Prices Quarterly". It's the lower graph ... yes, figure 32, my apologies.

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Right. And, if you look there at quarter 1, 2001, and quarter 1, 2002, this is the period I'm talking about. And, what we see in the graph there is that residential new house prices and second-hand house prices are kind of flat-lined going back to '92, then they're rising, then the impact of the Bacon report is beginning to kick in, and we see a modest reduction in house prices, and then we...

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Can I talk about one of the other factors that's at play actually during that time and I bring up the next graph? This is the ratio of average new house price to average industrial wage. If you look at both graphs one is new house price and the other is average second hand house price. What we see here is that the ratio is in and around '96 or '97, is about four times the income of a...

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: That would be your view?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Indeed. Just to get that on the record Mr. McCreevy, the graphs I have shown you this afternoon, the relationship with the cost of trying to buy a home after 2002, and the relationship of that the cost of buying a home was actually having on a person's earning capacity, you don't see any relationship of the pullback on the measures by Bacon to those two outcomes?

Committee of Inquiry into the Banking Crisis: Nexus Phase (1 Jul 2015)

Ciarán Lynch: Would you recognise that the Bacon measures are reflected or not reflected in the graphs?