Billy Timmins (Wicklow, Fine Gael)
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Question 29: To ask the Minister for Finance his views on a matter (details supplied) regarding action on personal debt and mortgage arrears; and if he will make a statement on the matter. [31745/11]

Michael Noonan (Limerick City, Fine Gael)
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As the Deputy is aware, earlier this year, the Economic Management Council requested an Inter-Departmental Group to consider further necessary actions to alleviate the increasing problem of mortgage over-indebtedness. Following consideration by the Government, the Group's report was published on 12 October and is available on my Department's website. Given the importance of this issue, the findings and recommendations contained in the report are the subject of a Dail debate and that debate continues this week. In the meantime there has been progress in moving forward with a number of the initiatives proposed in the report.

The Minister of State at the Department of the Environment, Community and Local Government with special responsibility for Housing and Planning will launch two mortgage-to-rent schemes in line with the report's recommendations. These will operate on a pilot basis initially subject to prompt review ahead of wider roll-out. Under each scheme households in extreme mortgage distress who are eligible for social housing will be able to remain in their homes as social housing tenants with either their lending institution or a housing association taking ownership of the property.

The Minister for Justice and Equality has already undertaken extensive work on the Heads of a Personal Insolvency Bill as set out in the report and these will be published shortly.

I have instructed the Banking Division of my Department to begin discussions with the banks to ensure speedy implementation of the measures set out in the report.

As I have mentioned in the Dail, I wanted to give Deputies and outside groups the opportunity to make known their views. When these views have been received I will put forward proposals to the Government on next steps including an implementation mechanism.