Irish banks should hike fees and commission to boost flagging profitability, says credit rating firm S&P

The days of Irish banks writing back large loan-loss provisions are coming to an end and it is “critical” for the lenders to hike fees and commissions to offset a squeeze on their profits, according to S&P Global Ratings.

In its ‘Irish Banks’ Recovery Phase Draws To A Close’ report, the credit rating firm says Irish lenders are in much better shape to survive Brexit and other shocks; predicts lenders will respond to pressure from regulators to cut non-performing loans further this year; but warns profit margins as measured by their net interest margins will likely be capped, as interest rates stay low and regulatory requirements rise.