Olivia Mitchell (Dublin South, Fine Gael)
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Question 139: To ask the Minister for Finance if his attention has been drawn to the recent interest rate increase to variable rate mortgage holders with Permanent TSB; if they require his permission to raise rates; if they are required to notify him of such measures; if so, the justification that was given; and if he will make a statement on the matter. [27102/11]

Michael Noonan (Limerick City, Fine Gael)
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As Minister for Finance, I have no statutory role in the setting of interest rates charged by financial institutions regulated by the Central Bank.

The Central Bank has responsibility for the regulation and supervision of financial institutions in terms of consumer protection and prudential requirements and for ensuring ongoing compliance with applicable statutory obligations. Each institution determines the rate it charges its customers, depending on a number of factors, such as cost of funds and commercial considerations, competition in the market, risk pricing and the impact on deposit rates.