(Cavan) asked the Minister for Finance if he is aware that the delay in paying the interest on national loans is inflicting severe hardship on many people in receipt of modest incomes; and what steps he proposes to take to remedy the position.
21.
Ceisteanna—Questions. Oral Answers. - Interest Payments.
20.
asked the Minister for Finance if he is aware of the dissatisfaction of stock holders in national loans that no interest has yet been paid since the closure of the banks; and if he will make a statement on the matter.
22.
asked the Minister for Finance why the Government have not paid interest due on the national debt since the beginning of May, 1970; whether the Bank of Ireland is remunerated for acting for the State in this respect; and what arrangements are being made to pay interest on the national debt during the present closure of the banks.
I propose, a Cheann Comhairle, with your permission to take Questions Nos. 20, 21 and 22 together.
The position is that the registers of many Government stocks are kept by the Bank of Ireland which also has the function of making the interest payments. The bank is remunerated for this service. I regret that it is not practicable to have payments of interest on those stocks made during the currency of the bank dispute. Payment of all such outstanding interest will be made by the bank as soon as possible on its reopening. Interest payments on stock registered in the Central Bank continue to be made in the usual way.
(Cavan): Having regard to the fact that the Government have found ways and means of paying civil servants and other people during the bank strike, would the Minister not consider finding some way of paying this interest to people who are depending on it for their existence and who are suffering great hardship as a result of its being with-held?
I am aware of the fact that hardship is being caused in some cases. This is an inevitable consequence of disputes of this kind. I have examined closely the possibility of finding some way of making payments, but it has not been found to be practicable. One of the difficulties is that the registers on which the payments are based are in the bank. From this the Deputy will realise something of the dimensions of the problem. Any attempt to remove the registers could be deemed to be an interference in the dispute. This is only one of the difficulties.
(Cavan): Is the Minister aware that some of the finance houses and institutions have offered to put interest due on deposits if the depositor so desires? Would the Minister agree in this particular case that he would arrange when the bank strike is over to pay interest on the overdue dividends?
That is a separate question. There is provision in the Finance Bill relating to the payment of interest on stocks which should be redeemed and which will be redeemed after the banks have opened. The question that the Deputy has just asked is a separate one. I could not give any undertaking on it at the moment.
(Cavan): Does the Minister agree that this would relieve the hardship?
It would not relieve the immediate hardship.
I asked the Minister whether the Bank of Ireland is remunerated for acting for the State in this respect. Have the Government any intention of cutting the remuneration due to the bank in view of the fact that they are not carrying out their duties for a long period of time this year?
That is a separate question.
I will ask it.
I am always willing to answer questions when properly asked.