Fianna Fáil Finance spokesperson Michael McGrath has welcomed an acknowledgment from the Minister for Finance Michael Noonan and the Governor of the Central Bank Patrick Honohan of the fact “that standard variable rates charged in Ireland are higher than other euro area countries and have not fallen in line with ECB wholesale rates.”
Deputy McGrath commented “For some time there has been an attempt by them to downplay the problem of excessive standard variable mortgage rates. I welcome the implicit acceptance by the Minister and Governor Honohan that the issue of high standard variable mortgage rates needs to be addressed.
“There is now clear momentum behind this campaign. However it is important to state that this is only the start of a process to ensure fair and transparent pricing of mortgage products in the Irish market. We need a competitive banking structure that works for families and individuals.
“The real test will be in securing a positive reaction on the part of the banks resulting in a reduction in the exorbitant rates being paid by variable rate mortgage customers. Fianna Fáil will continue to press this issue until progress is secured.”