Over 300,000 families across the country are still being screwed by the banks in regard to standard variable rate mortgages. These are families who have benefited least from the current low interest rate environment across Europe. Their mortgage interest rates have steadily increased while those of others have fallen. The response has been totally inadequate. We are talking about very substantial amounts of money for the families concerned. Someone on €200,000 mortgage over 20 years is paying over €992 more than somebody starting a new mortgage or nearly €4,000 more than someone with an average European mortgage. It is unacceptable and they have borne the brunt for far too long.
The Taoiseach said last April: "From any moral point of view, from any ethical point of view, when banks are now restructured and on their way to making profit again, it is just not acceptable that when they themselves can borrow at much cheaper rates, that they continue to have higher rates applied to mortgage holders." However, nothing has happened since then. The Taoiseach said last week: "We have a budget coming up in October. There are opportunities for the Minister to deal with the banks if that is the case and if that is necessary." Yesterday evening, the Minister, Deputy Michael Noonan, said in Brussels that the banks have moved. He had the incredible nerve to suggest that the banks have moved on this issue, but they have not moved at all with any conviction in regard to standard variable mortgage rates.
