Rose Conway-Walsh (Mayo, Sinn Fein)
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48. To ask the Minister for Finance for an update on his engagement with the Banking and Payments Federation and his Department with respect to the defective concrete blocks redress scheme; and if he will make a statement on the matter. [45420/24]

Jack Chambers (Dublin West, Fianna Fail)
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As the Deputy is aware, the overall Government response relating to the defective concrete blocks grant scheme is led by my colleague the Minister for Housing, Local Government and Heritage who has put in place a scheme of financial support to help affected homeowners.

As part of this engagement, I am aware that the Minister for Housing has established an Implementation Steering Group to work through administrative issues around the scheme as they arise and make recommendations if further changes to the regulations or guidelines of the scheme are needed.

In order to explore certain financial issues facing homeowners, the Department of Housing established a subgroup of the Implementation Group, which is chaired by that Department and attended by officials from the Department of Finance and the BPFI, as well as officials from Local Authorities, the Housing Agency, the Homeowners’ Liaison Officer and affected homeowners.

My Department maintains contact with the BPFI on an on-going basis across a range of issues. At an official level, there is also ongoing engagement on a range of matters, as required, between the Department of Housing, Local Government and Heritage and the Department of Finance.

The Government fully understands the importance of this issue in the communities affected by defective concrete blocks and I will continue to work with my Government colleagues, as necessary, to ensure that the Scheme operates effectively and consistently for all affected homeowners who access it.

Rose Conway-Walsh (Mayo, Sinn Fein)
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49. To ask the Minister for Finance to provide an update on his engagements with the retail banking sector regarding the provisions for forbearance measures and financing for mortgage holders whose homes are affected by defective blocks; and if he will make a statement on the matter. [45421/24]

Jack Chambers (Dublin West, Fianna Fail)
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I understand the very difficult situation faced by homeowners whose houses are affected by defective concrete blocks and, as the Deputy is aware, the Government response on this issue is led by my colleague the Minister for Housing, Local Government and Heritage.

In relation to impacted households who have a mortgage with a Central Bank regulated entity, the provisions of the relevant financial services regulatory framework is available to protect and assist such borrowers. This includes the Central Bank Code of Conduct on Mortgage Arrears 2013 (CCMA) which provides important protections for borrowers who are in, or who are facing, arrears on a mortgage which is secured on a primary residence.

The CCMA requires that all regulated mortgage entities have fair and transparent processes in place to deal with relevant borrowers and it sets out the process that such entities must follow when a borrower is experiencing repayment difficulty. It also provides that due regard must be given to the fact that each case of mortgage repayment difficulty is unique and that it needs to be considered on its own merits.

Also, all cases must be handled sympathetically and positively by the regulated entity, with the objective at all times of assisting the borrower to meet his or her mortgage obligations. In the case of a mortgage repayment difficulty, entities must explore all of the options for alternative repayment arrangements (ARAs) offered in order to determine which ARA, if any, is appropriate and sustainable for the borrower’s individual circumstances. The CCMA also provides for an appeals mechanism, including where the entity declines to offer an ARA or where the borrower is not willing to enter into the ARA offered by the regulated entity.

In relation to any request for new credit, subject to compliance with the applicable consumer protection regulatory framework governing the provision of credit to consumers, the decision on such applications are a commercial matter for the individual lender. Regulated entities must also ensure that their staff are adequately trained to deal with the type of arrears (and pre-arrears) cases presenting to them and with any mortgage application.

This regulatory framework should ensure that all Central Bank regulated entities will deal with defective concrete block impacted households in an appropriate and supportive manner having regard to the unique circumstances that they face and I would call on all regulated mortgage entities to ensure that all such mortgaged households are supported in their difficult situation.