Keane report - Help those drowning in sea of debt

The Government has published the report of the interdepartmental group headed by accountant Declan Keane. It warned that borrowers and lenders must recognise that some of the current mortgage arrangements are unsustainable.

The Government’s Economic Management Council commissioned the group to consider actions that would alleviate the problem. It promptly ruled out the simplistic idea of blanket debt forgiveness, because, for one thing, the state does not have the necessary resources.

Those who can discharge their mortgage obligations must do so. “Given the challenging environment, the unfortunate reality is that some people will lose their home,” the report warns. “The challenge is to minimise the incidence and consequences of this event.”