Wounded bank structure will need more than a few quick patch-ups
Ireland's retail banking system comprises the patched-up remnants of the dysfunctional and swollen structure which arose during the bubble. There were spectacular collapses, every single bank had to be rescued, some remain in majority public ownership, several disappeared and a well-functioning system has yet to re-emerge. As is true in many countries, the banks remain burdened with non-performing loans and there are reservations about balance sheet quality. Customers complain about credit availability and cost and there is an evident lack of competition. There continues to be an over-concentration on housing finance.