PTSB may take over credit union

Permanent TSB could gain control of the troubled Newbridge Credit Union as early as this evening, once necessary approval is granted by the High Court.

Newbridge — which has a deficit of around €50m — has been run, on a special manager basis (provided by Ernst & Young) since the beginning of last year, but had its long-term future cast into serious doubt at the end of last week when tentative plans for a merger with Naas Credit Union were rejected by the latter’s board.

While PTSB wasn’t commenting on the matter, ahead of anticipated High Court approval, it is understood the Central Bank approached it with this revised solution plan and that agreement is in place for the bank to take over the full-time running of the ailing business.