Cabinet ‘backs down’ on bank rates

Just days after Taoiseach Enda Kenny signaled moves would be taken to deal with lenders in the October budget because of their refusal to make substantial cuts to variable mortgage rates, Brussels declared such action could undermine the financial sector.
Opposition TDs insisted Government threats to take on the banks were always empty and Finance Minister Michael Noonan would now use the European Commission report as cover to do nothing after claiming lenders had moved on the issue.