Bank bailout costs fell unfairly on State, says expert Philip Lane

Trinity College professor Philip Lane has joined a chorus of senior figures in criticising the decision not to burn bondholders as part of the 2010 troika bailout, saying the burden of the programme fell unfairly on Ireland.

Prof Lane said that if the decision not to burn bondholders was made at a European level, then it should not have fallen to the Irish taxpayer to protect the stability of the eurozone.

The economist , appearing before the Oireachtas Banking Inquiry, said: “To the extent of the common responsibility [to maintain financial stability], it’s deeply unfortunate that so much happened at national level without, it looks like, too much negotiation in advance with the rest of Europe — as far as my understanding [goes].