Neale Richmond (Dublin Rathdown, Fine Gael) | Oireachtas source

I am grateful to the Senator for raising this timely and pertinent issue. A robust consumer protection framework is in place in respect of mortgages and other credit agreements.The consumer protection framework seeks to ensure that all Central Bank-regulated entities are transparent and fair in all their dealings with borrowers and that borrowers are protected from the beginning to the end of their mortgage's life cycle.

In addition, the Financial Services and Pensions Ombudsman plays a vital role for consumers of financial services in Ireland. The ombudsman is an independent, impartial, fair and free service that helps resolve complaints from consumers, including small businesses and other organisations, against regulated financial service providers and pension providers. The Consumer Protection (Regulation of Credit Servicing Firms) Act 2015 was a key development in the financial services consumer protection framework. The purpose of the 2015 Act was to protect consumers in the situation where an entity regulated by the Central Bank sold or signed its rights under a relevant credit agreement to an entity which, at the time, was not subject to Central Bank regulation. In particular, it made the activity of credit servicing a regulated activity and as such, any entity engaged in that activity, unless it was already subject to the relevant Central Bank regulation, came within the regulatory mandate of the Central Bank as a credit servicing firm.

As the Senator knows, it is the case that a number of queries and potential issues have recently been raised with regard to access to the ombudsman and its jurisdiction. The Department of Finance, in consultation with the ombudsman, the Central Bank and the Government's legal advisers, is currently examining the issues the Senator raised. The Minister fully recognises the importance of all mortgage holders having access to the ombudsman to have their complaints adjudicated upon. He has indicated that he is willing to introduce a legislative amendment to address the issue should that be necessary and possible. In the event that a legitimate amendment is required and possible, the Minister will seek to do this in the Financial Services and Pensions Ombudsman (Amendment) Bill 2023, which is currently before the Houses of the Oireachtas.

I hope this information is of assistance to the Senator. I share his frustration and anger. I have no doubt that if this needs to be done, the Minister, Deputy Michael McGrath, will ensure it is done as soon as possible.