Pearse Doherty (Donegal, Sinn Fein)
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388. To ask the Minister for Finance if there is any legal obligation on banks to inform the Central Bank or the Department of Finance of the securitisation of large amounts of residential mortgages; and if he will make a statement on the matter. [10752/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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I can advise the Deputy that, in respect of securitisations, as defined in Regulation (EU) 2017/2402 (the Securitisation Regulation), any entity, including banks, that wishes to engage in securitisation issuance, regardless of underlying collateral (e.g. residential mortgages), must notify the Central Bank of Ireland of same.

Article 7 of the Securitisation Regulation, supplemented by Commission Delegated Regulation (EU) 2020/1224, sets out in detail the information to be shared by an originator, sponsor and Securitisation Special Purpose Entity (SSPE) with holders of a securitisation position, the competent authority and, upon request, to potential investors. The Central Bank is the designated competent authority with regard to the Securitisation Regulation, with the exception of those competencies allocated to the Pensions Authority under Article 29(1)(d) of the Regulation.

The requirement to notify the Central Bank of Ireland is specified in Section 6 of the European Union (General Framework for Securitisation and Specific Framework for Simple, Transparent and Standardised Securitisation) Regulations 2018 and is applicable to the originator, sponsor, and securitisation SSPE of securitisation transactions under the Central Bank’s competence.

Separately, the Central Bank of Ireland has put in place a range of measures in order to protect consumers who have or are taking out a mortgage. Consumers whose residential mortgages are included in such securitisation transactions retain all regulatory protections afforded under the Code of Conduct on Mortgages Arrears (CCMA) and the Consumer Protection Code 2012 (2012 Code). In addition, though the terms and conditions of individual customer agreements remain the ultimate authority, general points in relation to the assignment of residential mortgages to securitisations are as follows:

• Consent in respect of assignments is usually obtained when the consumer accepts the loan agreement - it is generally covered in the lender’s loan agreement (contract).
• It is standard practice for such contracts to include terms relating to assignments to the effect the lender is entitled to sell, assign or otherwise dispose of its interest in the agreement to any third party at their discretion and without having to give the consumer further prior notice.