Noonan To Try To Put Pressure On Banks To Cut Variable Mortgage Rates

Noonan to try to put pressure on banks to cut variable mortgage rates

The Finance Minister says he will try and see if pressure can be put on banks to cut variable mortgage interest rates. Fianna Fáil says some households are being charged in excess of 1,000 euro a year more than they should be because banks are making excessive profits on their rates. Michael Noonan says there are no legal powers for him to act, but he will discuss the matter with the Governor of the Central Bank. "I will again speak to the Governor of the Central Bank and ask the bank to see what influence they can bring to bear to bring the variable mortgage rates closer to the cost of funds" he said. "But the market movement is in that direction at present, and we would hope that further progress can be made" he added.