The Central Bank of Ireland published Deputy Governor Colm Kincaid’s opening statement to the Joint Oireachtas Committee on Finance, Public Expenditure, Public Service Reform and Digitalisation, and Taoiseach on the role of non-bank entities in the Irish residential mortgage market. The statement sets out how Irish consumer protection requirements and access to the Financial Services and Pensions Ombudsman apply to mortgages over their term regardless of who owns the loan, and summarises the Bank’s supervisory focus on affordability, arrears management and customer service across banks, non-bank lenders and mortgage servicing firms. Updated figures shared with the Committee show the principal dwelling house (PDH) mortgage market comprises 698,445 loan accounts, with banks holding 85.1%, non-bank lenders 5.3% and non-lending firms that service existing mortgages 9.6%. The Bank highlighted differences in funding models, noting non-bank lenders’ greater reliance on wholesale markets, and described the role of non-lending firms in managing arrears and offering alternative repayment arrangements (ARAs). PDH accounts in arrears over 90 days fell to 21,833 at end-December 2025, down from a peak of 98,736 in September 2013, with non-banks holding 75% of 90+ day arrears accounts. Supervisory actions referenced include requiring firms to widen ARA options, improve early arrears detection, ensure long-term arrears cases have a plan for full repayment by loan maturity, review variable rate setting against contractual terms and funding arrangements, and provide redress where interest or balances were miscalculated. The Central Bank’s revised Consumer Protection Code takes effect on 24 March and incorporates the Code of Conduct on Mortgage Arrears as statutory regulations. The changes include enhanced borrower disclosures on ARA decisions, post-repossession property sale outcomes and residual debt, and the implications of personal insolvency arrangements, alongside a 12-month validity period for a completed Standard Financial Statement, consideration of future repayment capacity when assessing ARAs, and a permitted unsolicited visit once every six months in specified circumstances. The Bank is engaging with regulated firms on implementation and linked its work to the Interdepartmental Mortgage Arrears Forum process.
Central Bank of Ireland 2026-03-18
Central Bank of Ireland outlines revised mortgage arrears protections taking effect 24 March and expectations for non-bank mortgage firms
The Central Bank of Ireland released Deputy Governor Colm Kincaid’s statement to the Joint Oireachtas Committee on non-bank entities in the Irish residential mortgage market and consumer protection requirements. Updated figures show banks hold 85.1% of the principal dwelling house mortgage market, with non-bank lenders and servicing firms holding 5.3% and 9.6%, respectively. The Bank's revised Consumer Protection Code, effective 24 March, includes enhanced borrower disclosures and regulations on mortgage arrears.