Central Bank: Mortgage caps to stay

The Central Bank expects to make permanent controversial loan-to-value and loan-to-income limits on mortgage lending introduced last year, though the levels may be calibrated, its deputy governor said yesterday.

Politicians from across the political spectrum have criticised the limits, which aim to avoid a repeat of the 2008 property crash, saying the required 20% deposit puts house ownership beyond the means of many.

The Central Bank is due to review the rules in November, but deputy governor Sharon Donnery said in an interview with the Sunday Independent that it was not considering removing the limits.