Mortgage-holders ‘refused Covid pay break’

MORTGAGE-HOLDERS are being abandoned by the Government, according to Sinn Féin finance spokesman Pearse Doherty, who claims ministers refused to seek an extension of payment breaks.

The Donegal TD said the ‘holiday’ should continue in line with the European Banking Authority, after thousands of homeowners were forced onto the Pandemic Unemployment Payment. That came following the introduction of Level Five Health Restrictions in a tightened lockdown late last month.

Mr Doherty said he wrote a letter to Tánaiste Leo Varadkar last Friday requesting a three-month extension in mortgage payment breaks but said he had not been given a reply. He has now insisted that both Mr Varadkar and the Minister for Finance, Paschal Donohoe, have ‘refused’ to continue the payment breaks.

Mr Doherty said: ‘The government has abandoned borrowers, mortgage-holders and small businesses in the latest wave of the virus.

‘There are now 400,000 people in receipt of the Pandemic Unemployment Payment. This number is set to rise, with more than one in five to be unemployed by the end of the month.

‘These are people who lost their jobs as a result of public health restrictions. Thousands are mortgage-holders,’ he added.

On December 2, the European Banking Authority extended its payment break guidelines in light of the growth in infection of Covid-19 throughout Europe.

‘They were reactivated to provide support and relief to borrowers. They would have allowed the government and banks to put in place payment break extensions for three months, for the duration of these latest public health restrictions,’ said Mr Doherty.

‘Crucially, this would have ensured that borrowers who availed of these breaks would not be charged additional interest or have their credit ratings impaired.

‘Disgracefully, the government has refused to secure or even seek this extension for mortgage-holders and SMEs,’ added Mr Doherty.

The Government has yet to comment.