BoI, AIB and PTSB chiefs expected to say banks among the slowest in Europe to increase rates on foot of ECB hikeson Monday in Government buildings where they will be pressed about lending rates after the European Central Bank cut official borrowing costs earlier this month.
While the three remaining Irish banks in the market each offer headline savings rates of 3 per cent for certain products, almost 90 per cent of customers’ money is in on-demand and current accounts, which are earning little or nothing. This allowed them to avoid passing on the full effect of ECB hikes to mortgage borrowers.Senior bankers will also be expected to remind the Taoiseach that they are prohibited by competition laws from signalling any future interest rate movements.
The State sold its remaining shares in Bank of Ireland in late 2022. It continues to own 57 per cent of PTSB.