Reduced mortgage rates from Ulster Bank hailed a 'major breakthrough'

By Kim O'Leary Local Fianna Fail TD and Deputy Spokesperson on Finance, Frank O’Rourke, has described Ulster Bank’s decision to cut its 2 year fixed mortgage interest rate to a market best of 2.3% as a major breakthrough for consumers and a validation of the strategy pursued by Fianna Fail over the last number of years.   “Ulster Bank have announced that they are lowering their 2 year fixed rate mortgage interest rate to 2.3%. Over the last two years, I have raised the importance of bringing fairness to the mortgage rates in Ireland and this move by the bank is a recognition that their rates to-date were not fair.”   “The average standard variable rate for a mortgage in Ireland is currently around 3.2%. This is nearly 1.5% higher than the average Eurozone rate which stands at 1.8%. This means that a borrower with a mortgage of €200,000 is paying around €250 per month more than they would be paying in the average Euro area.”   “There is little point in reducing the USC and PAYE taxes if the cost of living expenses are going up by a multiple of the reduced taxes. Let’s continue to focus on reducing the cost of living for people, such as mortgage rates and motor insurance rates and allow more money into the local economy and reduce the pressure on wage inflation.”   “Ulster Bank’s move is hugely significant and proves the point that Fianna Fáil, and myself, have been consistently making; Irish banks have been ripping off mortgage holders. Other banks operating in Ireland must now follow Ulster Bank’s move. Mortgage holders should not tolerate paying more than they need to, or that is fair to pay. We are entitled to be treated like other EU citizens when it comes to mortgage rates and I will continue working with my colleagues, in particular our party’s Finance spokesperson, Michael McGrath TD, to achieve better interest rates for all Irish consumers and lower the cost of living," concluded Deputy O'Rourke.