Debt-defying problem

THERE is no greater challenge facing the country over the next few years than tackling the mortgage debt crisis.

The scale of the problem was underlined last week by the latest Central Bank figures, which show that €17.5bn worth of mortgages are in arrears by over 90 days. And that is just residential mortgages. The buy-to-let sector is equally troubled (see panels, right).

How the arrears crisis is tackled and resolved will have a huge bearing on the complexion of the economic recovery. Moreover, it will massive implications for the viability of the banking system.