Ulster Bank to sell off more non-performing loans, CEO says

Ulster Bank to sell off more non-performing loans, CEO says

Ulster Bank is expected to sell off more non-performing loans in order to reach a European Central Bank target.

Representatives from the bank are appearing before the Committee on Finance, Public Expenditure and Reform today.

Ulster Bank CEO Jane Howard admitted that more work needs to be done to bring down its number of non-performing loans.

She says it is expected that the loans will be sold off by the end of this year.

However, Ms Howard said the ECB target of reducing the stock of bad loans to 5% will not be reached until next year.

She said that the bank has reduced its stock of non-performing loans to 10% and that they are "committed to rebuilding trust with our customers and with Irish society".

The bank said €297m has been set aside split "roughly 50-50" between operational costs and paying redress to customers affected by the tracker mortgage scandal.

Chief Financial Officer Paul Stanley says about €120m has been paid out to customers as of the end of March.

Sinn Fein's Finance Spokesperson Pearse Doherty accused Ulster Bank of feeding their customers "to the vultures".

He told Ms Howard: "You know fine well that these were non-performing loans, that doesn't mean they weren't being paid, it means they (customers) weren't able to pay their full amount, it means they were in arrears.

"The idea of any bank saying 'clear your arrears within 30 days or we are taking your property' is absolute madness, and that's what you've done to 2,200 customers," he said.

You can watch the committee live here:

More on this topic

An unwitting yet vital cog in exposing rotten heart of banking cultureAn unwitting yet vital cog in exposing rotten heart of banking culture

Barclays halts ‘last in town’ and remote branch closures in UK for two yearsBarclays halts ‘last in town’ and remote branch closures in UK for two years

ECB is creating a monster with zero interest rate policyECB is creating a monster with zero interest rate policy

Giving the banks a run for their moneyGiving the banks a run for their money

More in this Section

Amazon deal with Deliveroo investigated by UK competition watchdogAmazon deal with Deliveroo investigated by UK competition watchdog

Falling fuel costs keep UK inflation at lowest since 2016Falling fuel costs keep UK inflation at lowest since 2016

Significant risks in extremely complex UK border Brexit preparations – watchdogSignificant risks in extremely complex UK border Brexit preparations – watchdog

Global fund managers ignore stock market rally to keep cashGlobal fund managers ignore stock market rally to keep cash


Lifestyle

I am dating a lovely guy. However, he seems really awkward about being naked in front of me.Sex File: Boyfriend keeps his T-shirt on during sex

To instantly power up your look, veer towards the hard shoulder.Bold shoulder: How to instantly power up your look

Plums are a wonderful autumn fruit, useful for all sorts of recipes both sweet and savoury. In Ireland we are blessed with wonderfully sweet plums.Currabinny Cooks: Juicy plums work for both sweet and savoury dishes

The rise of home skincare devices doesn't mean that salons and clinics no longer serve a purpose.The Skin Nerd: Don’t try this at home — new treatments in the salon

More From The Irish Examiner