#Open journalism No news is bad news

Your contributions will help us continue to deliver the stories that are important to you

Support The Journal
Dublin: 13°C Sunday 27 September 2020
Advertisement

BoI signals eventual increase in mortgage interest rates

Richie Boucher says his bank can’t keep absorbing ECB hikes – and that it’ll have to pass on any future increases.

Image: Niall Carson/PA Archive

BANK OF IRELAND has signalled an increase in its variable mortgage rates, on the same day that it reported a €723 million loss for the first half of the year.

Chief executive Richie Boucher told RTÉ News that his bank had not passed on last month’s increase in ECB interest rates to mortgage customers – but that it was not in a position to absorb any other rates.

It is not clear whether the ECB will continue to increase its interest rates for the rest of the year. While it had originally been expected to do so,

This morning the bank said it expected its mortgage arrears and loan losses to increase next year, predicting that house prices would fall by roughly 10 per cent from their current value.

Read more on Boucher’s comments at RTÉ News >

Earlier: Bank of Ireland losses narrow to €723m >

About the author:

Gavan Reilly

Read next:

COMMENTS (3)