Fiach MacConghail (Independent)

I congratulate Senators Marc MacSharry and Thomas Byrne on drawing up the Family Home Bill 2011, the spirit of which I commend. Sometimes the Legislature needs to be led by public opinion, but it also has to be one step ahead. I disagree with Senator Michael D'Arcy that the Bill is not required at present. We are in grave and uncertain times and if we were to enact legislation in keeping with the spirt of this Bill, we would be a step ahead and able to introduce its provisions to deal with the potential immediate danger arising from the non-payment of mortgage arrears. It is on that basis that I would prefer the Bill to be enacted in order that we would be prepared for what will result from the increasing credit squeeze and the lack of significant economic growth. The Bill could be reassuring for citizens.

The Free Legal Advice Centres have commented on the Bill, the purpose of which is to give options to the courts in dealing with those in mortgage arrears. This is to be welcomed. The options range from deferring debt payments into the future which would work for some individuals with short-term problems to more radical solutions which would require the lender to reduce the level of debt. This in itself, without it being exploited, offers reassurance and it means that the Government and the Seanad are listening to the day-to-day concerns of citizens.

Bearing in mind Senator D'Arcy's comments, we might not be in a position to do as proposed. David Hall of New Beginning said that, by the end of March of this year, more than 11% of the 782,429 private residential mortgages held in Ireland, to the value of more than €116 billion, were either in arrears of 90 days or had been restructured. That could be the tip of the iceberg. I suggest that the principle and spirit of this Bill be taken on board on an all-party basis. I am sure the Government could adopt it. I am not an expert on this but am sure Fianna Fáil would agree to it if the spirit of the Bill were taken on board by the Government side. I suggest that we have, for once, leadership in a way that will provide succour, security and confidence to citizens.

FLAC stated that, while it is certainly necessary to provide solutions relating to mortgage debt, it is concerned that a feature of this recession is that so many people are indebted to a number of creditors. It implied it is crucial to have a settlement that takes an overview of the entire range of a person's debts and that mortgage debt that is likely to present a serious problem feature within that holistic solution. I commend the Bill to the House and support it.