Thursday, 5 July 2012

Questions (43)

Robert Troy

Question:

35 Deputy Robert Troy asked the Minister for Finance the progress that has been made in seeking to warehouse tracker mortgages in a manner that reduces the funding pressure on banks; and if he will make a statement on the matter. [32709/12]

View answer

Written answers (Question to Minister for Finance)

As the Deputy can appreciate, officials from the Irish Authorities are in constant on-going dialogue, with all of the covered institutions with a view to considering and implementing structures and solutions which would seek to advance the overall financial system. As and when further measures are agreed/solutions emerge I will inform the Houses as appropriate. The recent very welcome Euro Area summit statement represents a major shift in European policy in terms of breaking the vicious circle between the banks and the sovereign. This is an agreement in principal and the detailed work will now begin to maximise the benefit to the Irish taxpayer. The Irish government has been working extremely hard to secure a deal on the Irish bank debt. This agreement provides an opportunity for the issue of the bank debt to be addressed at an EU level.

The Irish Government has been working extremely hard to secure a deal on the Irish bank debt and further detailed work will be stepped up to ensure that the positive moves in Europe are harnessed to maximise the benefit to the Irish taxpayer. This will be one of our key priorities between now and the end of year with the initial formal steps, at a European level, taking place at the Euro group meeting on 9th July. As part of this process the Government has specifically committed to a number of issues including:

A review of the arrangements that were put in place to capitalise IBRC — formerly Anglo Irish Bank and Irish Nationwide.

The Restructuring plan for Permanent TSB plc was submitted to the European Commission on the 29 June 2012.