Liam Twomey (Fine Gael)

The Senators on the Government side did not refer to the points of concern raised in the amendment. In addition, the Minister of State appeared to contradict what is stated in the amendment. Clarification is required in respect of these matters.

If the problems that beset the banking system are also at play in respect of credit unions, this will have a major impact on people's lives. I accept that the sums of money involved would not be enormous — they would certainly not be of the order of the billions required to recapitalise the two main banks — but millions of euro would still be required. There is also the fact that a far greater number of people would be affected in an extremely personal way if credit unions began to encounter difficulties. Members of the Green Party, who are in government after all, must take these matters on board.

Senator de Búrca stated that policy decisions must be made. Those in the Green Party should wake up. They are in government and are responsible for making such decisions. If they have good ideas to put forward, we would be delighted to hear them. Whenever Senator Boyle contributes to the debates on Private Members' motions tabled by those on this side of the House, he states that we need to do more, to expand on the points we are making and to put forward proposals. The ball is now in his court and he should follow his own advice. When replying to this debate, perhaps Senator Boyle might put forward the policies he would like to see being implemented and the protection he would like to be afforded to people who have saved their money with credit unions and to those institutions themselves in order that ordinary citizens will not suffer if anything goes wrong.

Senator O'Toole put forward counterpoints to those contained in the original motion which are easily understandable. These counterpoints must be addressed in a serious manner by the Minister of State in the coming days.

The Minister of State referred to the recapitalisation of Allied Irish Banks plc and Bank of Ireland. A number of weeks ago I made a contribution in respect of that matter but on this occasion I will try to shy away from mentioning the billions of euro we will be obliged to pay to get people out of the mess in which they find themselves. I will instead focus on what will happen to ordinary people who entered into fixed rate agreements for mortgages and loans with Allied Irish Banks plc or Bank of Ireland. The individuals to whom I refer are not in a position to break the contracts into which they entered and if they approach their local Deputies, they are informed that they should write to their bank manager. The reply that is usually received from the latter indicates that it will cost X amount to break the contract.

In view of the fact that the Government has recapitalised these banks and taken so much action in respect of the banking system, has any of its Ministers raised with senior bank officials the possibility of people breaking fixed rate contracts in order that they will not be penalised? Given that the Government is now intent on increasing taxes, not being able to break such a contract will have a major effect on many people.