Running out of excuses not to cut costly mortgage rates

The interest rate charged to an Irish borrower wishing to take out a new mortgage or to switch mortgage is the highest in the eurozone. The rate is not just a bit higher, it is way higher. The average rate for new business is 3.7% in Ireland compared with 2% across the eurozone.

This means that an Irish borrower with a €200,000 mortgage is paying around €300 a month more than they would be paying in Germany, Spain or France.

How is this justified? Perhaps the reason is that Irish banks have to pay more for their deposits. No, that is not the answer.