Help for those in Mortgage distress a priority

Banks must be forced to renegotiate mortgages

Seamus McDonagh
Seamus McDonagh (Meath West)

Workers Party Meath-West candidate, Seamus McDonagh, has said that what was good enough for the banks should be good enough for their victims - those who are now carrying the can for the recklessness and greed of those banks and financial institutions who knowingly sold sub-prime mortgages to families and young people, in the full knowledge that such loans were never going to be repaid.
"It was the bonus culture within the banking industry" said Seamus McDonagh "and the banks' involvement in fuelling property speculation which has led to the situation where thousands of people, and young couples in particular, are now faced with huge monthly housing costs at a time when they are experiencing severe wage reductions and job losses. These victims must be helped and cannot be allowed to simply fend for themselves at a time when the government has put billions of taxpayers money into saving the banks from collapse".
"The government has bailed out banks on the double. First their was the grossly mistaken Bank Guarantee of September 2008 which has since been used to pump billions into technically insolvent banks like Anglo. The second massive donation of our money to banks occured in the IMF/ECB deal before Christmas where Ireland, as a state, has to borrow billions from these institutions, to secure loans by the big international banks of Germany and France. The amount of money needed to help homeowners in distress in minimal in comparison".
"The Workers Party demand that there be an immediate moratorium on the repossession of family homes, and that domestic mortgages taken out at the height of the artificial property boom be renegotiated to reflect current house values, wage levels and repayment potential" concluded Mr McDonagh.
Issued 14th February 2011

Peace, Work, Democracy & Class Politics