Taoiseach to urge banks to pass on rate cuts in meeting

Taoiseach Simon Harris is to seek assurances from the heads of all Irish banks that any possible interest rate reductions will be passed onto householders without delay.

The Taoiseach is to ask the banks to meet with him in the coming weeks.

Many of the banks have made initial contact with Mr Harris following him taking office in April and he is going to use the meetings to highlight that ongoing cost-of-living pressures are affecting householders due to increased mortgage payments.

Mr Harris will tell the banks he expects interest rates to fall in the coming months (or days) and just as mortgage holders saw their monthly rates increase, he will seek assurances from the banks that payments will fall just as quickly.

While any reduction in rates will automatically apply to tracker mortgages, Mr Harris will stress the need to pass on savings to households on variable rates.

It is understood the Taoiseach also wants to discuss the extent to which customers on fixed rates can be protected as they roll off their fixed contracts.

Mr Harris is expected to engage with competitors to the main banks in the coming months too, including the credit union movement and other key players.