New bank code of conduct is 'charter for repossessions', Fianna Fáil claims

Fianna Fáil is demanding changes to how banks are allowed deal with mortgage arrears.

It says the new code of conduct which allows banks contact struggling borrowers more often is a charter for repossessions of family homes.

Finance spokesman Michael McGrath says the party plans to press the government in the Dáil tonight and tomorrow.

"It's very difficult to understand where the government is coming from, because the way that this crisis is evolving, it is going to get worse, it's going to linger on longer than it need," he said.

"The solutions that are there, and that should be embraced and put in place, are not actually happening on the ground.

For the life of me, I cannot understand why the government are doing the bank's bidding fro them and giving them more and more powers, and the people that ultimately will suffer are the citizens of this state."

The Taoiseach rejected Fianna Fáils claims, saying it will be a further two weeks before a report on whether banks met targets on restricting mortgages is ready.

"Let's see have they lived up the targets they've been set," he said.

"These targets will become progressively more strict."