Government to let bank’s high rates continue

The Government has ruled out interfering with high mortgage rates being applied by state-owned Permanent TSB despite pressure from the opposition and homeowner groups.

Brian Hayes, minister of state at the Department of Finance, said a decision on cuts to mortgage rates for thousands of PTSB mortgage holders may be known next month when the bank’s future is decided.

Facing down a Fianna Fáil motion to cut the bank’s high mortgage charges, he blamed competition among lenders and the cost of borrowing for banks for the exorbitant rates.