Peter Mathews (Dublin South, Fine Gael)
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Question 407: To ask the Minister for the Environment, Community and Local Government further to Parliamentary Question No. 336 of 8 November 2011, if he will confirm that a local authority that charged a fixed interest rate of 12.5% on a mortgage on 16 February 1984 was not permitted to charge such an excessive rate; and if he will make a statement on the matter. [34650/11]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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While the majority of the fixed rate mortgages drawn down in the early 1980's were charged rates at around 10.5% - reflecting local authority and Housing Finance Agency (HFA) cost of funds – during 1984 the fixed rate charged to new local authority borrowers went as high as 12.95%. As with all other rates charged, this rate reflects the long-term costs of funds to the HFA prevailing at the time these loans were advanced. Rates on these loans were fixed for the life of the loan (generally 25 – 30 years).