Banking inquiry an unnecessary expense

Seven years after the country suffered the worst banking crisis in Europe, Central Bank Governor Patrick Honohan comes along to tell us tougher rules are required to crack down on irresponsible bankers. 

This news is straight from the horse’s mouth, but it’s coming a bit late.

Bertie Ahern and his Government of the day were blamed for not clamping down on the banks and stop them from dishing out money indiscriminately without investigating security or the client’s ability to pay.

We know the truth on that now.

Less than a week ago, Taoiseach Enda Kenny was under pressure to deal with variable mortgage interest rates, but he could not do so because he said he had no authority to interfere in the working of the banks.

And, that despite most are State-owned, having been bailed by it for billions at the expense of taxpayers who are still struggling after years of austerity measures inflicted on them as a result.

Most people are aware that executive and senior bankers overstepped the rules in excessive lending during the boom years, while they too, over-borrowed to build up fat property assets. Many were moved or retired from their positions when the bubble burst, some to set up their own financial businesses, while others shifted to larger outfits at home and abroad. The highly paid regulators, also, have an awful lot to answer for. People aren’t fools and the further expense of a banking inquiry was entirely unnecessary.

James Gleeson

Thurles

Co Tipperary