I welcome Trim's Men's Shed with us in the Gallery. I commend all the Men's Sheds across the State for the work they do.

Ó mhí Iúil na bliana seo caite, tá rátaí úis morgáiste méadaithe sé huaire ag an mBanc Ceannais Eorpach. Tá cuma go n-ardóidh an banc na rátaí seo arís an tseachtain seo chugainn, rud a chiallaíonn go mbeidh na mílte oibrithe agus teaghlaigh ag díol na céadta euro breise in aghaidh na míosa ar an gcostas a bhaineann le díon a choinneáil os cionn a gcloigne i gcomparáid leis an am seo anuraidh. Inné, d’fhoilsigh Banc Ceannais na hÉireann a mheasúnú ar an tionchar a bheidh ag na harduithe rátaí seo ar theaghlaigh le morgáistí agus fuarthas amach go bhfuil 20% dóibh siúd a bhfuil morgáiste á dhíol acu, ar an meán, ag díol €4,860 níos mó ar a gcuid morgáistí i gcomparáid le mí Iúil anuraidh. Caithfidh an Rialtas faoiseamh ar ús morgáiste a thabhairt isteach agus é seo a dhéanamh gan mhoill.

Since July last year the European Central Bank, ECB, has increased mortgage rates six times. It is anticipated that the ECB, when it meets this day next week, will increase rates again. This means that tens of thousands of workers and families are paying hundreds of euro extra per month compared with where they were last year in the effort to keep a roof over their heads. For those with even a modest mortgage this can equate to thousands of euro extra per year. This as the Tánaiste knows is on top of a cost-of-living crisis that mortgages aside, is putting real financial pressure on households. For those whose mortgages have been sold to vulture funds, a policy which the Tánaiste’s party, in opposition, facilitated, the situation is unbearable for many. A mortgage holder whose mortgage was sold to Pepper contacted me recently. Her interest rate has increased from 4.5% to 8% and her mortgage repayments have increased by €300 per month. That is more than €3,500 per year. With this income shock she is terrified of having to cut back on her payments and falling into mortgage arrears. Another borrower contacted me whose mortgage was sold by Permanent TSB to a vulture fund. She has seen her repayments increased by €523 per month. That is more than €6,000 she has to find. That is the increase. These are not isolated cases. Yesterday the Central Bank published its assessment of the impact of rate increases on mortgage holders. It found that 20% of all mortgage holders are paying on average €4,860 more on servicing their mortgage compared with July of last year. That is an impossible sum for many families to make up. Arrears will increase as a result.

Despite the report of the Central Bank pointing out that 20% of all mortgage holders are seeing a 50% increase in the cost of servicing their mortgages, the solution offered by the Government has been to do nothing. This is despite the fact that Fianna Fáil campaigned to maintain mortgage interest relief when it was in opposition. Sinn Féin has a proposal to introduce mortgage interest relief that will absorb a portion of the borrower’s increased interest cost, benefiting families by up to €1,500. As with every measure to combat the cost-of-living crisis, the State cannot cover the entire cost. However, it can help. It can lend a helping hand. The reality is that tens of thousands of workers and families need support. Therefore, the Government should support Sinn Féin’s proposal and mortgage interest relief should be introduced without delay. However, last night the Tánaiste, his party and his Government colleagues voted against that.

What is the Tánaiste going to do? What policy actions will he take? What actions will he take to support those families who are under severe pressure due to a dramatic increase in their mortgage costs?

Níl aon amhras ach go bhfuil rátaí morgáiste ag ardú ó thosach na bliana agus níos luaithe. Níl aon amhras ach go bhfuil sé sin ag cur brú ar dhaoine agus ar theaghlaigh. Tá a fhios againn faoi sin. Mar aon leis sin, is léir go ndearna an Rialtas an-chuid sa bhliain seo caite ó thaobh an chostais mhaireachtála. Ó thosach na bliana seo caite go dtí an lá atá inniu ann, tá an-chuid déanta againn ó thaobh cabhair agus tacaíocht a thabhairt do dhaoine go hiomlán, trí cháin a ísliú, níos mó cabhair a thabhairt do dhaoine ó thaobh seirbhísí ón Stát, an costas a bhaineann leis sin a ísliú agus mar sin de. Is éard atá ón Teachta ná faoiseamh faoi leith a thabhairt isteach roimh an gcáinaisnéis.

The formulation of monetary policy and the setting of interest rates in the first instance is an independent matter for the ECB. The ECB responded to the inflationary spiral with a series of interest rate increases. As the Deputy knows, the Government has no role in setting official interest rates nor in setting the retail interest rates that lenders may charge on their loans.

Mortgage interest relief for principle private residences was phased out on a gradual basis over a period from 2009 to 2020. It cost more than €700 million in 2008. Prior to its curtailment and eventual abolition the top two income deciles accounted for close to half of the tax foregone through tax relief. As the Deputy also knows, the recent report to the Commission on Taxation and Welfare put forward no case or recommendation for the reintroduction of mortgage interest relief.

The average interest rate on new mortgages here was 2.9% in February compared with 3.3% across the Eurozone on average. Rates here on new mortgages are the third lowest in the euro area. That does not mean of course that people are not being impacted by the significant increases from the low levels at which interest rates historically had been. People are being impacted. We cannot look at our response to it as an ad hoc measure alone. We have to look at it in the broader context, as I said earlier as Gaeilge, of the cost-of-living measures that have already been provided but also in the budgetary process. Our view is that the budgetary process is the most appropriate way to consider further action in respect of the cost-of-living challenge and in respect of those particularly under pressure from increased mortgage interest payments.

I note that there was no mention at all of mortgage interest relief in Sinn Féin's pre-budget submission which was published last September, even though the ECB had already increased rates. There was a wide expectation of further rate increases but Sinn Féin was silent on it, on that occasion. Again, the Minister for Finance and senior officials met with providers recently in the non-bank sector to discuss mortgage interest rates and he has engaged with the Central Bank in regard to his concerns about the impact of recent mortgage interest rises on borrowers and the potential this may have to increase mortgage arrears. We will continue to work on that agenda also with the Central Bank. Overall, the Government will look at this in the context of the budget and the wider cost-of-living measures we have introduced.

I thank the Tánaiste and call Deputy Doherty.

These families need support now. They need support from the Government. Yes, the ECB will set the rates independently but the Government can act. Mortgage interest relief was here until 2021 and the Tánaiste's party campaigned for its extension.

I gave examples of people who are paying an interest rate of 8%. The governing council of the ECB is going to meet next Thursday. The decision it will have to make is to what level interest rates are going to rise. The rates are going to rise further. The Central Bank has informed the Government of the impact on citizens in this State. It indicated that 20% of all mortgage holders are paying 50% more to service their mortgages. That is close to €5,000. That is based on where we are at now; it does not even factor in the increase that is will happen next Thursday. Things are going to get worse for these families. What is the Government telling them? That it might consider this in October. These people are under massive pressure. The Central Bank outlined in its report that families are going to fall into arrears. The Government has decided to wash its hands and say nothing.

The Government voted against our proposal. I know what Sinn Féin would do; it would introduce a targeted, tailored measure that would bring €1,500 relief to these people.

The time is up.

What is the Government going to do for these families who are absolutely being penalised?

Over the past 12 months and before that, the Government has introduced unprecedented cost-of-living measures worth billions in order to put money back into the pockets of households----

A lot of bluster.

-----with a view to reducing the impact of cost-of-living increases. I remember Sinn Féin's response to the energy crisis. Thanks be to God we did not follow it, because the same proposal the party put forward was adopted by-----

Ah stop.

It was adopted by Germany at Christmas.

-----the Liz Truss Cabinet, which caused a huge crisis in the UK. The bottom line is that we are very conscious of the pressures on people in respect of mortgage interest rate increases.

The Government is not conscious of it.

It definitely is not.

We have intervened across the board on a whole range of fronts to reduce costs, in the first instance, for people availing of public services, be it with hospital inpatient charges or the free book scheme coming in at primary level from September. Mortgage holders will also benefit from the measures we have introduced. However, we are looking at a taxation measure. In the past, the Deputy was supportive of a reorientation of taxation policy and reliefs in order to target them more.

I thank the Tánaiste. This time is up.

That has been a consensual view for quite some time, but I have no doubt Sinn Féin will always develop an ad hoc policy in respect of topic of the day. We will have to deal-----

We will stand up for mortgage holders. There is no doubt about that.

Sinn Féin will stand up for everybody.