PTSB results show 24pc increase in mortgage arrears in 2011
Published 31/08/2011 | 13:22
Permanent TSB has experienced a 24pc increase in mortgage arrears in the first six months of 2011, the company revealed today.
The percentage of its Irish mortgages in arrears for more than 90 days has grown from 6.8pc to 8.8pc.
Irish Life & Permanent reported a pre-tax loss of €349m for the first six months of 2011.
This is largely due to loan losses at its Permanent TSB banking business as IL&P has effectively been nationalised after the State injected capital to enable it to reach financial targets set by the Central Bank.
The company is currently preparing a sale of its Irish Life business to raise more capital.
Chief executive Kevin Murphy said that continuing difficulties in the broader economy including rising unemployment levels, reduced disposable income and weak consumer confidence had hit the business.
Permanent TSB set aside €333m to cope with potential loan losses in the period, more than double the same period last year.