‘No risk’ approach of pillar banks under fire

The lack of competition in banking has led to a failure of the two pillar banks to take calculated risks on lending to new businesses according to the credit reviewer John Trethowan.

“The banks don’t have to try too hard to hold on to their customers at the moment,” he said.

Taking a contrarian view now would be a great time for a new player to come into the banking market as most of the bad debt has emerged. If a new player was to come in, with their eyes open, they could do very well lending to Irish business, he said.