Joe Costello (Dublin Central, Labour) | Oireachtas source

The State cannot impose a settlement on parties to a private contract involving the provision of goods, services or capital. There are enough lawyers in the House who know it quite well.

The Personal Insolvency Act is one of the key elements of the Government's strategy to return this country to stability and economic growth. Its success depends on the goodwill and determination of debtors and creditors to agree workable arrangements that can be sustained over a number of years to a successful outcome. We cannot allow the emerging economic recovery to bypass families in mortgage arrears or leave a significant number of families in limbo because they have no certainty about their future financial situation. However, neither can we allow situations to arise where people who have the capacity to repay their debts renege on their commitments or, where there is a problem, do not meaningfully engage with the lender. The Government, unlike its predecessor, is delivering the reform process and the real solutions needed by our citizens so that they can engage constructively with financial institutions and creditors to bring about certainty, hope and relief in respect of their homes and mortgage affairs. I thank the Senators for giving me a longer hearing than I was entitled to.