Banks lobby for An Post to cut deposit rate

Banks are piling pressure on the Government to force An Post to cut interest rates on its savings accounts because they are more competitive that those offered by other financial institutions.

The three domestic banks have been lobbying the Department of Finance to introduce interest rate reductions on An Post savings accounts. They have argued that the higher interest rates offered by An Post distort competition and create an uneven playing field in attracting deposit flows.

The department declined to comment, although a department source said, “this is an issue and it is something we are looking at”.