Slowing house prices to impact bank earnings

Half-term reports due next week from two of Ireland’s diminished roster of lenders — Bank of Ireland and Permanent TSB — will likely reflect something of the two-speed turnaround for the once battered banking sector.

Analysts say potential writebacks previously chalked up against souring mortgage and business loan assets may not feature strongly in their results.

There may be some noise at how quickly Bank of Ireland — 14% owned by the State — plans to resume paying out dividends, but few analysts expect any significant news on payouts until this time next year.