Mortgage arrears and Volkswagen emissions
Deputy McGrath raises the Supreme Court judgment weakening mortgage-arrears protections and asks about Volkswagen emissions. The Tánaiste says the Attorney General is examining the judgment and reiterates the Government’s aim of keeping families in their homes.
I want to raise two issues with the Tánaiste. She may be aware that last May a Supreme Court decision effectively struck down the code of conduct on mortgage arrears as a barrier to repossessions - in other words, banks no longer have to comply in full with the contents of the code of conduct on mortgage arrears before proceeding with repossession action in the courts. In essence, this makes repossessing homes easier for financial institutions. In his judgment in May, Mr. Justice Clarke strongly signalled that the Oireachtas should respond to this and that only it could close the loophole. I do not see any such measure in the legislative programme published by the Government. Does it intend to close what is an unintended loophole? We brought forward proposed legislation which will be moved in the Dáil next week.
I want to raise the scandal of the Volkswagen emissions testing which could have an impact in Europe, as it has had in the United States. I understand news is emerging that the 11 million vehicles involved do not just relate to America, but also to Europe. Is the Minister for Transport, Tourism and Sport taking any steps to assess the possible impact of that scandal on motorist in Ireland? As the Tánaiste knows, since 2008 the motor tax system has linked the amount of tax paid to the CO2 bands and emissions from vehicles. Can she comment on that?
Comment on this
On the Supreme Court judgment, the Attorney General is examining the judgment on behalf of the Government and we will await that detailed analysis and advice. It is the policy of the Government to help families to stay in their homes. As the Deputy knows, the number of solutions for families to stay in the family home has increased. The Government policy is dedicated to continuing to do that in the most effective way possible, in particular for families who could be at risk of losing their homes.
On Volkswagen, the last two cars I bought over the past ten or 12 years were diesel. I am not great on cars, so I ask the Deputy to bear with me. Like most consumers, I am extremely concerned that cars bought in order to reduce emissions could, it appears, be doctored in a particular way to produce false and misleading results. It says a whole lot about how effective modern regulation is, which consumers, in particular, have come to rely on and trust. It is very worrying. I am sure the Department of and Minister for Transport, Tourism and Sport will examine the matter. There is some conflicting evidence as to whether the same mode of testing applies to the European market as appears to apply to the American market. It is extremely disturbing. I will come back to the Deputy on the matter and will ask the Minister to revert to the Deputy when more information is available.