Govt determined to recoup every cent of taxpayers’ money from the banks – Harris

Minister of State at the Department of Finance, Simon Harris, has said that the Government is determined to recoup every cent of the taxpayers’ money from the banks. Minister Harris was speaking after today’s set of results from AIB show a strong financial performance putting the taxpayer in a good position to recoup their €20.8 billion investment.

“AIB results today report a profit before tax of €1.2 billion, an increase of €0.8 billion on the same period in 2014. This is not just good news for the bank itself, but more importantly for the Irish taxpayer. €20.8 billion of Irish taxpayers’ money was pumped into AIB as a result of the economic crisis. Minister for Finance, Michael Noonan, has welcomed AIB’s indication that they are now well positioned to start returning material amounts of capital to the Irish State.

“While the last Government put depositors’ money at risk, this Government is determined to recoup every cent of that €20.8 billion, invested by the taxpayer.

“In further good news for hard pressed families, who are struggling with their mortgages, AIB has announced a 0.25% cut in their Standard Variable Rate (SVR) for new and existing customers. The banks’ findings that owner occupier mortgage arrears have reduced by 13% in the first half of this year is also positive.

“Under successive Fianna Fáil led Governments the banks were allowed to grow at unsustainable levels. They were not compliant with their obligations and showed unwieldy profits, far in excess of other EU member states. With an excessive reliance on property and overseas funds the banks became dangerously exposed putting Irish people’s savings and homes at risk. Fine Gael, challenged this consistently in opposition. It’s now time for functioning banks to work for the real economy.”