Noonan: Moral pressure on banks to cut rates if they can't justify them

Minister for Finance Michael Noonan has said there is a "moral pressure" on banks to cut their mortgage interest rates if they cannot justify them.

Noonan: Moral pressure on banks to cut rates if they can't justify them

Minister for Finance Michael Noonan has said there is a "moral pressure" on banks to cut their mortgage interest rates if they cannot justify them.

Mr Noonan said banks should not be charging so much to customers when they are able to borrow money so cheaply themselves.

The Minister is meeting the Governor of the Central Bank this afternoon to discuss the issue.

He said he could not force banks to change their rates, but that there was a "moral pressure" for them to do so.

"I would like the Central Bank to compare the variable mortgage interest rate to the cost of money in the market at the moment - there seems to be quite a wide gap," he said.

"I would like then the banks to justify that gap once the bank has produced the under-pinning data.

"It's in that space I would like to exert the moral pressure."

more courts articles

Noonan: Moral pressure on banks to cut rates if they can't justify them Ireland's top-paid lawyers: Jailed solicitor Cahir O'Higgins earned €200k from legal aid cases
Noonan: Moral pressure on banks to cut rates if they can't justify them Love Island star Jack Fincham released on bail pending appeal
Invictus Games - Dusseldorf Prince Harry’s legal claim against Sun publisher to begin on Tuesday

More in this section

Hotel group announces rebrand of Cork hotel Hotel group announces rebrand of Cork hotel
EU Commission to grant car makers leeway on this year's climate targets EU Commission to grant car makers leeway on this year's climate targets
London's first night czar to advise city businesses at Cork event London's first night czar to advise city businesses at Cork event
Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited