Banking probe chief Ciarán Lynch emerged victorious in a bitter Dáil turf war to run the high profile inquiry, but now faces a fresh fight to prove he is no Government stooge.

It was no accident that the banking inquiry — already well behind schedule and six years on from the banking collapse — was announced by Government yesterday with such haste.

Over the past few days, politicians and regulators have reassured angry and bruised taxpayers that another bank meltdown will never happen again.

A broad and effective banking inquiry will go a long way to restoring confidence in the financial regulatory system and in Irish public affairs in general, according to the governor of the Central Bank, Patrick Honohan.

The public grilling of key players involved in the fateful bank guarantee that resulted in costs of €64bn to the Irish people will get underway by October.