Local Loans Fund

Dáil Éireann Debate, Thursday - 17 November 2011

Thursday, 17 November 2011

Ceisteanna (106)

Peter Mathews

Ceist:

106 Deputy Peter Mathews asked the Minister for Public Expenditure and Reform if the Office of Public Works sourced Small Dwelling Act loans on the open market in 1984 or if this money was provided from the Exchequer; the rate of interest that the OPW is paying on the bonds if the money was sourced on the open markets; if the Office of Public Works or the local authority it advanced money to would bear a financial cost from reducing the interest rate of 12.5% on a local authority mortgage; and if he will make a statement on the matter. [35210/11]

Freagraí scríofa

Minister of State at the Department of Public Expenditure and Reform (Deputy Brian Hayes)

The Local Loans Fund, of which the Small Dwelling Act forms part, raised its finance from general Exchequer borrowings in 1984 and was not sourced on the open markets.

Any reduction in the interest rate on repayments from Local Authorities to the Local Loans Fund would bear a cost to the Exchequer.