Minister To Aid Struggling Homeowners

Minister for Communications Eamon Ryan has announced the Government is planing to help homeowners struggling with mortgage payments.

Minister Ryan said yesterday the Government was considering a range of measures to assist homeowners struggling to pay their mortgages after a leading bank announced it may be increasing its mortgage rates.

"Today we learned that the Permanent TSB may increase mortgage rates due to increased cost of accessing funds.

"The Government knows that people are hurting and suffering real hardship. That is why we have set up two inter-departmental working group to specifically examine options designed to help those in debt and those in mortgage arrears. These groups will look at initiatives that have been rolled out in other countries."

Minister Ryan added that the Government had secured a 12 moratorium on mortgage arrears for those in arrears with the recapitalised banks of AIB and Bank of Ireland after both banks were pulled out of potential collapse by taxpayers money.

Meanwhile this week the Minister for Finance Brian Lenihan announced the appointment of Klaus Regling to conduct one of the preliminary investigations into the crisis in the banking system.

Minister Lenihan said: “I welcome Mr Klaus Regling’s agreement to conduct the preliminary investigation into the origins of the crisis in our banking system. I am confident Mr Regling’s extensive experience of senior economic and financial positions in the German Ministry of Finance and the European Union will ensure a robust preliminary report that identifies the key causes of the crisis and provides a firm basis for the work of the statutory Commission of Inquiry.

"His experience of senior economic positions will be particularly important in analysing the international, social and macro-economic policy environment in which the banking crisis developed."

(DW/BMcC)