Noonan plans to recoup bailout funds from ESM

The Government is working on a plan to recoup some of the money it ploughed into failing lenders from the euro area’s backstop fund, Finance Minister Michael Noonan has said.

Earlier this month, eurozone finance ministers agreed on the outlines of a plan for the €500bn European Stability Mechanism (ESM) to recapitalise lenders directly.

Retroactive application of this tool, as would be the case if Ireland applies, will be decided on a case-by-case basis.