Pearse Doherty (Donegal South West, Sinn Fein)
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To ask the Minister for Finance further to Parliamentary Question 194 of 26 March 2013, in which he stated that banks have been given targets of proposing sustainable mortgage solutions to 20% of mortgage loans that are 90 days in arrears by 30 June 2013, and that this would equate to 20% of 94,488 PDH and 28,421 BTL loans by reference to arrears at 31 December 2012, his views on whether it is feasible that banks can propose solutions to 25,000 mortgage accounts in the forthcoming three months, equivalent to 2,000 per week or 400 per working day; and if the Central Bank of Ireland will be monitoring progress on reaching targets on an ongoing basis. [16363/13]

Michael Noonan (Limerick City, Fine Gael)
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The Deputy refers to the targets set by the Central Bank which require the main lenders to systematically work through their mortgage book to offer durable solutions to mortgage holders covering arrears cases that are 90 days or more overdue. The Public Targets will have the following elements:

- Quarterly targets will be set in relation to the number of sustainable solutions proposed to customers. These will become progressively more demanding over time. The application of targets will commence at the end of Q2

2013, and will be enhanced in subsequent quarters, with 2014 targets to be set in due course;

- Progressively more demanding quarterly targets will be set for the conclusion of sustainable solutions. These will apply from the end of Q4 2013 onwards; and

- Targets regarding subsequent performance of these solutions will be set.

The Central Bank has informed me that, while demanding, the level of the targets have been calibrated taking account of the current operational capability of the banks’ arrears management. The banks will be required to publish their performance against the targets and make quarterly reports to the Central Bank. The Central Bank will consider each bank’s performance against the targets, including assessing whether the modifications provided are in fact sustainable solutions.